Question

R ACC 203 - 204 Exa... ... 0. The payroll taxes the employer is responsible for are: a) FICA, SUTA, and FUTA b) FICA, FIT, and Sir. c) FICA, workers compensation, and FIT. d) None of these answers are correct. "1. The FICA rate for an employer is: a) twice the individual rate. b) equal to the employee rate. c) 7.25% d) 6.2% 2. The Federal Unemployment Tax is: a) pald by the cmployer. b) paid by employees c) paid by unemployed workers. d) All of these answers are correct. 13. Currently the FUTA da: a) 6.2% with a base limit of $76,200. b) 5.4% with a base limit of $7,000. c) 5.4% with a base limit of $76,200. d).8% with a base limit of $7,000. .4;. This law requires most employers to pay an hourly employee more per hour for any hour over 40 during a work week. a) Federal Insurance Contributions Act b) Federal Income Tax Act c) Fair Labor Standards Act d) Fair Employment Act The Federal Insurance Contributions Act is better known as: a) FIT b) workers' compensation c) FICA d) FUTA .6. ..The amount of federal income tax withheld is computed using tje: a) employee's income, number of allowances, and marital status. b) net earnings and Form W-4. c) W-2 charts. J) FICA tax tables. 7.1. There are two parts to FICA: a) old age benefits and workers' compensation b) retirement and income tax withholdings. c) OASDI and Medicare. d) All of these answers are correct.

Answer 1

QUESTION : 0 : THE PAYROLL TAXES THE EMPLOYER IS RESPONSIBLE FOR ARE ?

ANSWER : [ A ] : FICA, SUTA, FUTA

The companies are responsible for for paying their portion of payroll taxes. These are the added expenses on the amount of employees gross pay. The employer portion of payroll taxes includes :

1. MEDICAL CARE TAXES OF 1.45% OF WAGES
2. SOCIAL SECURITY TAXES OF 6.2% OF WAGES
3. SUTA
4. FUTA

Incorrect option [ b] : FIT and SIT are paid by the employee only . FIT is calculated on the total income of employees. SIT is the personel income tax withholding on the wages.

incorrect option [c] : FIT doesnot included in employer's list of payroll taxes.

QUESTION : [1] : FICA RATE FOR AN EMPLOYER IS ?

ANSWER : [ B] : EQUAL TO THE EMPLOYEE RATES.

The FICA tax rate for 2019 is 7.65% for employers. Since employees share this tax equally with employees, the tax rates will be also same for employees payroll deduction. That is social security tax of 6.2% and 1.45 % of medicare tax.