E 1. Employee’s FICA Tax Rates
D 2. Form SS-4
H 3. Semi Weekly Depositor
J 4. Taxable for FICA
A 5. Non Taxable for FICA
I 6. Self-Employed’s FICA Tax Rates
C 7. Form 941
B 8. Monthly Depositor
G 9. Taxable Wage Base
F 10. Form SS-5
1. If the person employs 1 or more individuals for performances of services in the US unless such services or employment are specifically exempt by law.
2. Defined by the common-law relationship of employer/employee
3. If the business has the right to tell a worker how, when, and where to work
4. a person who follows an independent trade, business, or profession. Where they offer their services to the public the following is the “test”: Hire, supervise, & pay assistants Determine the sequence of their work Set their own hours Work for as many employers as they wish Are paid by the job Make their services available to the public Have an option for profit or loss Furnish their own tools Have a substantial investment in their trade May be dismissed only under terms of a contract
5a. They must collect the employee’s FICA tax on tips that each employee reports. Then deduct the FICA taxes from other wages due to the employee
5b. Employers are liable for their share of the FICA tax on any tips subject to the employees FICA tax
6. After 6 months of consecutive calendar months the sick pay is not taxed. Period off work MUST be consecutive any return to work restarts the 6 month count.
7. They are subject to FICA tax but the employer’s match portion is tax free.
8. YES!!!! The amount of over payment is credited against the employee’s federal income tax for the year. Instructions are given on the Individual Income Tax Return (Form 1040) that explain how the over payment should be treated. So file your taxes John!!!
9a. 13.3 % 2013-Projected
10.4% for OASDI
2.9% for HI
b. Usually the net business income