The total wage expense for Orange Co. was $150,000. Of this total, $26,000 was above the OASDI wage base limit and not subject to this tax. All earnings are subject to Medicare tax, and $62,000 was above the federal and state unemployment wage base limits and not subject to unemployment taxes. Please calculate the total payroll tax expense for Orange Co. given the following rates and wage base limits:
a. FICA tax rate: OASDI, 6.2% with a wage base limit of $106,800; Medicare, 1.45% with no wage base limit.
b. State unemployment tax rate 5.6% with a wage base limit of $7,000.
c. Federal unemployment tax rate (after credit): 0.8% with a wage base limit of $7,000.

  • CreatedApril 24, 2014
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