1.
29. An employee has gross earnings of $1,200 and withholdings of $91.80 for Social Security
and Medicare taxes
and $120 for income taxes. The employer pays $91.80 for Social Security and Medicare taxes,
$9.60 for FUTA,
and $64.80 for SUTA. The total cost of this employee to the employer is? Please show your
work.
29. An employee has gross earnings of $1,200 and withholdings of $91.80 for Social Security
and Medicare taxes
and $120 for income taxes. The employer pays $91.80 for Social Security and Medicare taxes,
$9.60 for FUTA,
and $64.80 for SUTA. The total cost of this employee to the employer is? Please show your
work.
Solution
Total cost of employee to the employer = Gross earnings of employee + Social security paid by
employer + FUTA paid by the employer + FUTA paid by the employer
Total cost of employee to the employer = 1200 + 91.80+9.60+64.80
= $1,366.20