Question

Shelly kelso's gross pay this month is $6,223. Her earnings to date for this year are $23,631. How much does her employer deduct from her paycheck this month for (a) social security and (b) medicare? 1. A. Find the social security amount

Answer 1

Social Security = $385.83

Medicare = $90.23

Explanation:

Social security rate in 2021 is 6.2% on your first $142,800 for the year. Shelly has not reached that threshold so her Social security tax is:

= 6.2% * 6,223

= $‭385.83

Medicare has no threshold and the rate in 2021 is 1.45%:

= 1.45% * 6,223

= $90.23