EmpleoPregunta 928 de 1605

Under FICA, how are Social Security and Medicare taxes generally allocated between employer and employee?

a.The employee pays 100%
b.The employer and employee each pay half of the combined rate
c.Only self-employed persons pay them
d.The employer pays 100%

Explicación

The Federal Insurance Contributions Act (FICA) funds Social Security and Medicare, and the tax is shared: the employer withholds the employee's half from wages and pays a matching half. Self-employed individuals pay both halves themselves through SECA (self-employment tax). This shared structure is a key reason misclassifying employees as contractors shifts tax burdens improperly.

Referencia Legal: FICA; Internal Revenue Code

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Revisado por Abraham Chen Licensed California General Contractor (CSLB License #1101856 verificar)
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