Question

Suppose you land a job with Google right out of college. Your economics training is very valuable to them, so you receive a starting annual salary of $65,000. What is the total amount of social insurance taxes you will be responsible for after your first year of work?

Answer 1

The answer is: $4,030

Step-by-step explanation:

Your total social insurance taxes represent 12.4% of your gross income. You are responsible for paying half of those taxes (6.2%) and your employer must pay the other half.

So you will have to pay $4,030 (= $65,000 x 6.2%) in social security taxes for your first year of work.