During the First Week of January, Sam Jones Earned $200

During the first week of January, Sam Jones earned $200. Assume that FICA taxes are 7.65 percent of wages up to $50,000, state unemployment tax is 5.0 percent of wages up to $13,000, and federal unemployment tax is 0.8 percent of wages up to $13,000. Assume that Sam has voluntary withholdings of $10 (in addition to taxes) and that federal and state income tax withholdings are $18 and $6, respectively.
Using the information above, what is the employer's payroll tax expense for the week, assuming that Sam Jones is the only employee?

A) $6.32
B) $26.90
C) $10.00
D) $19.05

Correct Answer:

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Access For Free