Question
An employee earned $6,600 in February working for an employer. The Federal Insurance Contributions Act (FICA) tax rate for Social Security is 6.2% of the
An employee earned $6,600 in February working for an employer. The Federal Insurance Contributions Act (FICA) tax rate for Social Security is 6.2% of the first $137,700 earned during each calendar year and the Federal Insurance Contributions Act (FICA) tax rate for Medicare is 1.45% of all earnings. The employee has $844 in federal income taxes withheld and has voluntary deductions for health insurance of $50 and contributes $660 to a retirement plan each month. The employer pays the $200 remainder of the health insurance premium and an equal amount of contribution to the retirement fund. What is the amount of net pay for the employee for the month of February?
A. $4,541.10
B. $5,096.00
C. $5,251.10
D. $5,046.00
E. $3,881.10
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