Unlike the Social Security Tax There Is No Maximum Wage

question 72

True/False

Unlike the Social security tax there is no maximum wage base for the Medicare portion of the FICA tax.

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Definitions:

Exact Simple Interest

Interest calculated precisely based on the principal amount, rate of interest, and time, without considering the effects of compounding.

365-Day Year

A term referring to the normal count of days in a calendar year, not including leap years which have 366 days.

Quarterly Payroll

The total amount of wages paid by a business to its employees in a three-month period.

Ordinary Simple Interest

A method of calculating the interest charge on a loan based on the principal amount, interest rate, and time.