Question

britney is a private detective who earns 905.77 per week. She is single and claims three withholding allowances. determine the total of her social security tax and medicare tax

Answer 1

Britney’s taxable income per week is:

$905.77 - ($88.46 \times 3) = $640.39

The social security tax rate for 2023 is 6.2% for both the employee and the employer2. The medicare tax rate for 2023 is 1.45% for both the employee and the employer2. There is no additional medicare tax for Britney because her income does not exceed the threshold of $200,000 per year2.

Therefore, Britney’s social security tax per week is:

$640.39 \times 6.2% = $39.70

Britney’s medicare tax per week is:

$640.39 \times 1.45% = $9.29

The total of Britney’s social security tax and medicare tax per week is:

$39.70 + $9.29 = $48.99