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GodBlessYou
In 1935, the FICA tax rate was 1% on the first $3,000 annually. In 1995, the FICA tax rate was 7.65% on the first $61,200 annually. Find the maximum annual FICA tax for 1935 and 1995 respectively.
Hi! :) How's it going?
What is the maximum taxed in 1935?
What is the maximum amount that can be taxed in 1935? (according to the information provided by the problem.
I read it as $3,000. What do you read it as?
I'm not sure.. I have the answers $30 and $4,681.80 but I'm not sure how they got that..
Now what is 1% of that, that will be the maximum tax for 1935, which is what the problem is wanting from you.
Ok so now they want on percen of that would i divide by 100?
Don't worry about the answers, focus on the problem, The maximum amount (earnings) that can be taxed in 1935 is as stated by the problem is $3,000.00. Yes, 1% converted to a decimal is .01 (1/100).
|dw:1374683161153:dw|
Do you understand the drawing? What is the maximum amount of EARNINGS taxed in 1995?
Please read again my last question and respond with a correct answer.
oh ok so lets see it would be..
And, yes, $30.00 is the maximum amount of tax for 1935.
would you multiply by 7.65%?
|dw:1374683423547:dw| What would you multiply by 7.65%
You have never answered my question regarding what is the maximum FICA earnings that is taxed at the 7.65% rate.
g2g for a minute will be back
Again, it is information provided to you in the problem, it's there, see if you can find it. Please focus on information provided. I have copied it here for you top read again. In 1935, the FICA tax rate was 1% on the first $3,000 annually. In 1995, the FICA tax rate was 7.65% on the first "$61,200" annually.
Do you understand the last sentence in the above post? What is the maximum FICA earnings that can be taxed in 1995?
|dw:1374684533266:dw| Solve this for the maximum FICA tax for the 1995 income. g2g, good luck with your studies.