An employee earned $4,790 in February working for an employer. Cumulative earnings of the previous pay periods are $4,990. The Federal Insurance Contributions Act (FICA) tax rate for Social Security is 6.2% of the first $137,700 of earnings each calendar year and the Federal Insurance Contributions Act (FICA) tax rate for Medicare is 1.45% of all earnings. The current Federal Unemployment Taxes (FUTA) tax rate is 0.6%, and the State Unemployment Taxes (SUTA) tax rate is 5.4%. Both unemployment taxes are applied to the first $7,000 of an employees pay. What is the amount the employer should record as payroll taxes expense for the month of February?

Multiple Choice

$366.44

$239.50

$100.50

$605.94

$487.04