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Andrea is an employee of Fern Corporation and single. She also has her own business working as a life coach. For 2020, Andrea's wages
Andrea is an employee of Fern Corporation and single. She also has her own business working as a life coach. For 2020, Andrea's wages from Fern were $210,000. Her self-employment income was $30,000 (line 4, Form SE, based on 92.35% of net earnings as a life coach). If required, round any computations to two decimal places. Round final answers to the nearest dollar. a. Compute the total payroll, self-employment, and additional Medicare taxes for Andrea for 2020. 360 X Feedback Y Check My Work Payroll (employment) taxes can be a significant cost for a business and its owners. Such costs can be classified into two categories: (1) FICA taxes (Social Security and Medicare) and (2) Self-employment tax. b. Assume the same facts except that Andrea's 2020 self-employment activities resulted in a loss of $15,000. Compute the total payroll, self-employment, and additional Medicare taxes for Andrea for 2020. 90 X Feedback Check My Work
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