Ann hires a nanny to watch her two children while she works at a local hospital. She

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Ann hires a nanny to watch her two children while she works at a local hospital. She pays the 19 year-old nanny $125 per week for 48 weeks during the current year.
a. What is the employer’s portion of Social Security and Medicare tax for the nanny that Ann should pay when she files her Form 1040 for 2014?
$ _____________
b. What is the nanny’s portion of the FICA and Medicare tax?
$ _____________
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Income Tax Fundamentals 2015

ISBN: 9781305177772

33rd Edition

Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven Gill

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