bruce.armstrong wrote: Somebody just said it better than I did, and with more chops to say it:
Open Letter to Mark Zuckerberg, Sheryl Sandberg & Facebook Mobile
May. 8, 2012 02:11 PM EDT
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Small Business 101: What Are FICA taxes?
What are FICA taxes?
By: Casey Yang
Sep. 30, 2011 03:51 PM
FICA stands for the Federal Insurance Contributions Act. FICA taxes are comprised of two separate taxes, social security and Medicare taxes, that are paid on wages earned for services performed. Employers withhold and pay their employees' share of the FICA taxes and also pay the employer share. For Year 2011, the maximum taxable earnings amount for Social Security is $106,800. The Social Security tax (OASDI) rate for wages paid in 2011 is 4.2 percent for employees and 6.2 percent for employers. The Medicare Taxes Rate is 1.45% for both employers and employees. Related link: Source: http://www.halfpricesoft.com/business-blog/post/2011/09/29/What-are-FICA-taxes.aspx
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