Kristy Casey earns $49,200 per year and is paid once a month. For January, she had $222 withheld from her pay for federal income taxes, and $69 withheld for health insurance. Social Security tax is 6.2% on a maximum of $122,700 of gross wages per year, and Medicare tax is 1.45%; the federal unemployment tax rate is 0.6% and state unemployment tax rate is 5.4%. What is the total employer payroll tax expense for Kristy's January paycheck?

• $385.13

• $162.50

• $248.63

• $404.63

Answer rating: 100% (QA)

Employer and employee both pay equal amount of Social Security tax and Medicare ... View the full answer