Question

Louise Gaines is paid a bi-weekly salary of $6,000. To date, she has earned $96,000. Her filing

status is Head of Household.
What is her Social Security tax withholding for this pay period?

Answer 1

$5952

Explanation:

By the Federal Insurance Contributions Act which is a U.S. payroll tax meant to fund Medicare and Social Security, the FICA tax is shared among the employer and the employee whereby the employers share is 7.65% of the employees gross income and the employees share is also 7.65% of their gross income with 6.2% being for social security and 1.45% being for Medicare.

Louise Gaines, therefore will have 6.2% of $96,000 or $96,000 × 0.062 = $5952 withheld for the period.