In 2011, the Social Security tax rate was lowered to 4.2% to help stimulate the economy. The government figured that if people paid less taxes they would have more money to buy goods and services. How much did a worker who earned $128,900 in 2011 save on FICA taxes with this reduction?

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Social Year Security (%) 1978 6.05% 1980 6.13% 1982 6.7% 1984 6.7% 1986 7.15% 1988 7.51% 1990 7.65% Maximum Taxable Income ($) 17,700 25,900 32,400 37,800 42,000 45,000 51,300 Maximum You Could Pay Into Social Security a. b. C. d. e. f. g.