Gary Marks is paid on a monthly basis. For the month of January of the current year, he earned a total of $9,188. Federal Insurance Contributions Act (FICA) tax for Social Security is 6.2% on the first $137,700 of earnings each calendar year and the Federal Insurance Contributions Act (FICA) tax for Medicare is 1.45% of all earnings. The 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 employee's pay. The amount of Federal Income Tax withheld from his earnings was $1,524.57. What is the amount of the employer's payroll taxes expense for this employee? (Round your intermediate calculations to two decimal places.)

Multiple Choice

$1,254.17

$420.00

$1,122.89

$2,778.74

$2,226.55