Question

In 2018, Yolanda paid $4,526 in Social Security tax. If the Social Security tax rate was 6.2% to the maximum income of $128,400 that year, what was Yolanda’s taxable income?

Answer 1

Explanation:

Salary x social security tax rate = social security tax

salary x .062 (6.2%)=4526

salary=4526/.062

salary=73000

Answer 2

$73000

Explanation:

Given: Social security tax paid by Yolanda is $4562.

6.2% tax to be paid on earning to the maximum income of $128400.

Lets assume Yolanda´s income be `x`.

Now, calculating the taxable income of Yolanda

∴
`62\% * x= \$ 4526`

⇒
`(62)/(100) * x= 4526`

Cross multiplying both side

⇒ x=
`(4526* 100)/(6.2)`

∴x= $73000

∴ Yolanda´s taxable income is $73000.