Question 13 • FL-2102373-Personal Finance and Money Management Honors
Social Security tax is limited to the maximum taxable earnings: $106,800 × 6.2% = $6,621.60. Medicare tax applies to the full salary: $235,430 × 1.45% = $3,413.735, or about $3,413.74. Choice D gives those amounts, with the Medicare figure rounded to the nearest ten cents.
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