payroll taxes\na) payroll taxes essentially fund ___.\nb) deductions from employees’ pay stub includes ___%…

payroll taxes\na) payroll taxes essentially fund ___.\nb) deductions from employees’ pay stub includes ___% of ___ and ___% of ___ under fica (___).\nc) self - employment tax rate is ___% an additional amount of tax needed to be paid if the self - employment income exceeds $___

payroll taxes\na) payroll taxes essentially fund ___.\nb) deductions from employees’ pay stub includes ___% of ___ and ___% of ___ under fica (___).\nc) self - employment tax rate is ___% an additional amount of tax needed to be paid if the self - employment income exceeds $___

Answer

Brief Explanations:

a) Payroll taxes in the US are mainly used to fund Social - Security and Medicare programs. b) Under FICA (Federal Insurance Contributions Act), deductions from employees' pay stubs include 6.2% of their wages for Social - Security and 1.45% of their wages for Medicare. c) The self - employment tax rate is 15.3%. For self - employment income that exceeds a certain threshold (as of 2023, $160,200 for Social - Security portion), an additional tax may apply for the Medicare part.

Answer:

a) Social - Security and Medicare b) 6.2, wages, 1.45, wages, Federal Insurance Contributions Act c) 15.3, 160200 (amount may change over time)