Question

If you earned up to $113,700 in 2013 from an employer, your social security tax rate was 6.2% of your income. If

you earned over $113,700, you paid a fixed amount of $7,049.40.
c. How much money would you have made if you paid $4,000 in social security tax in 2013?

Answer 1

Answer with Step-by-step explanation:

We are given that

If you earned upto $113,700 in 2013 from an employer then your security tax=6.2% of income

If you earned over $113,700 then, you paid amount of tax=$7049.40

We have to find the money you would have made when you paid $4000 in social security tax in 2013.

Let x be the income and f(x) be the amount of tax.

`f(x)=\left\{\begin{matrix}0.062x&,if\ \ 0<x\leq113700 \\ 7049.40&,if\ \ 113700<x\end{matrix}\right.`

Substitute the values then we get

`4000=0.062x`

`x=(4000)/(0.062)=`$64516.13

When you would have mad $64516.13 then you paid $4000 in social security tax in 2013.