Sentences with phrase «taking fica»

Not exact matches

Maybe 15 percent of your income is taken right off the paycheck by the FICA [Federal Insurance Contributions Act] for Social Security and essentially pre-saving for Social Security medical care (which provides the government with enough money to cut taxes on the higher brackets.)

He said that essentially, the FICA withholding being taken away from workers paychecks is really just a concealed tax, that it was to cut taxes on the rich, and so there really isn't any money to pay social security and he would like to stop it right now.

There are a few estimators that predict a monthly value given a yearly income, but I wanted one that takes specifically FICA contributions into account.

Taxes to finance Social Security were established in 1935 as a payroll deduction - these are the payroll taxes you see taken directly out of your paycheck, labeled on pay stubs as Social Security and Medicare taxes or as «FICA,» an abbreviation for the Federal Insurance Contributions Act.

Focus on FICA Taxes Because FICA taxes are required to be withheld from all employee paychecks, they are an important tax, so take a few minutes to focus on how FICA taxes work.

For example, your income or deductions might cause the Alternative Minimum Tax (AMT) to take affect, or your earnings beyond a certain level may cause the Social Security portion of your FICA tax to drop off.

If you aren't part of one of these groups or you joined them after already being enrolled in the Social Security system (i.e. paid FICA taxes, etc.), you don't have to take Social Security payments, but you are not exempt from FICA payroll taxes.

Calculate employee take - home pay, which is the amount they earn after income tax, FICA, health insurance deductions, retirement fund payments, child support, etc..

The IRS treatment of royalties means they are not subject to self - employment or FICA taxes - so the tax would be just 28 %, and because it's a royalty on monthly profits it means my payment is guaranteed even if the other company owners decide not to take a drawing for themselves in a given month - and as my royalty would be an expense for the company instead of a drawing it's pre-tax for them.

When you get your paycheck, the first thing that will be taken off is FICA, also called Social Security, Medicare, or the Payroll tax.