The fica is taken out of your paychecks and added to the Social Security fund.
A Fica tax has several different purposes that serve different people. A Fica tax serves to finance government educational programs and developmental projects. A Fica tax also provides those who are disabled and/or retired with insurance.
MED tax is the tax that is paid to Medicare. FICA tax is the tax paid to pay for Social Security benefits.
employers pay the fica tax
You do not calculate FICA tax by asking Answers.com. You calculate the FiCA tax by going to the Internal Revenue Web Site and looking at the information on their form. Then you plug your numbers into their formula.
Yes, plus Medicare tax. FICA is the acronym for the Federal Insurance Contributions Act.
The maximum amount of wages subject to the FICA-Social Security tax for 2009 is $106,800. There is no limit on the amount of wages subject to the FICA-Medicare tax.
You do not calculate FICA tax by asking Answers.com. You calculate the FiCA tax by going to the Internal Revenue Web Site and looking at the information on their form. Then you plug your numbers into their formula.
1996
If one has income subject to the FICA tax (such as wages, tips, self-employment, etc.), then yes. There is no age limit on FICA tax.
$8423.
Still 6.2% for both employer & employee. Actually, that 6.2% is just for the social security tax portion of FICA. FICA consists of social security and medicare. The total FICA tax is 7.65%, which includes the 1.45% medicare tax. There is currently a limit on the social security tax portion (6.2% of $106,800--which is $6,621.60), while there is no medicare limitation.
Debit FICA Tax payable Credit Cash / bank