Question

Trey Morgan is an employee who is paid monthly. For the month of January of the current year, he earned a total of $4,538. The FICA tax for social security is 6.2% and the FICA tax rate for Medicare is 1.45% for both the employee and the employer. The amount of federal income tax withheld from his earnings was $680.70. What is the total amount of taxes withheld from the Trey's earnings

Answer 1

$1,027.86

Step-by-step explanation:

Data provided in the question:

Total earnings = $4,538

FICA tax for social security = 6.2%

FICA tax rate for Medicare = 1.45%

The amount of federal income tax withheld from earnings = $680.70

Now,

Total Taxes withheld

= Federal Income Tax + social security Tax + Medicare Tax

or

Total Taxes withheld = $680.70 + 6.2% of $4,538 + 1.45% of $4,538

or

Total Taxes withheld = $680.70 + $281.36 + $65.80

or

Total Taxes withheld = $1,027.86