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a company has total payments for the month of march for its 20 employees of $100,000. the fica tax rate (social security and medicare) is 7.65%. what is the total amount due to the government for fica taxes?

User Alexey Kiselev
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Final answer:

To calculate FICA tax payments for a company's total salaries of $100,000 with a tax rate of 7.65%, multiply the total payments by the tax rate, resulting in $7,650 due to the government for FICA taxes.

Step-by-step explanation:

Calculating FICA Tax Payments

To calculate the total amount of FICA taxes due to the government for a company's total payments to its employees, we apply the given FICA tax rate to the total amount paid to the employees. As stated, the FICA tax rate is 7.65%, which includes both Social Security and Medicare taxes. In this case, for the total payments of $100,000 made for the month of March, the calculation is as follows:

  • Total payments = $100,000
  • FICA tax rate = 7.65%
  • Total FICA taxes due = Total payments × FICA tax rate
  • Total FICA taxes due = $100,000 × 0.0765
  • Total FICA taxes due = $7,650

Therefore, the total amount due to the government for FICA taxes on the company's total payments for the month of March is $7,650.

User HDs Sergiu
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