Calculating Social Security and Medicare Taxes

Assume a Social Security tax rate of 6.2% is applied to maximum earnings of $118,500 and a Medicare tax rate of 1.45% is applied to all earnings. Calculate the Social Security and Medicare taxes for the following situations:

If an amount box does not require an entry, leave it blank. If required, round your answers to the nearest cent.

Cumul. Pay Before Current Weekly Payroll	Current Gross Pay	Year-to-Date Earnings	Soc. Sec. Maximum	Amount Over Max. Soc. Sec.	Amount Subject to Soc. Sec.	Soc. Sec. Tax Withheld	Medicare Tax Withheld
$ 22,000	$1,700	$	$118,500		$	$	$
54,000	4,200		118,500
115,900	3,925		118,500	$
117,900	4,600		118,500

Answer rating: 100% (QA)

Cumul Pay Amount Amount Medicare Before Current Current YeartoDate Soc S... View the full answer