Which of the following are covered by FICA (indicate Yes or No)? ___1. Andrian Mitchell, a full-time life insurance salesperson. _2. John Sain, a federal government employee, hired in 1990. _3. Bonnie Stone, a real estate agent. ___4. Stuart Schuck, who offers lawn care service to homeowners in the neighborhood.

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Answer 1

Textbook Question

Chapter 3, Problem 1SSQ

Which of the following are covered by FICA (indicate Yes or No)?

_____1. Andrian Mitchell, a full-time life insurance salesperson.
_____2. John Sain, a federal government employee, hired in 1990.
_____3. Bonnie Stone, a real estate agent.
_____4. Stuart Schuck, who offers lawn care service to homeowners in the neighborhood.

Expert Solution & Answer

To determine

Identify whether the given persons are covered by FICA.

Explanation of Solution

FICA tax refers to the Federal Insurance Contribution Act tax, which is Country U.S law that creates the payroll tax requiring deductions.

FICA imposes two taxes on the employer and the employee. In this, one tax would finances the federal old age, survivors and disability insurance programs which would be called as the OASDI. The other tax would finance the hospital insurance (HI) or the Medicare program.

1. Yes, Person AM is covered by FICA. Person AM is a full-time life insurance sales person. The full-time life insurance sales persons are covered as the statutory employees for the purposes of social security tax, Medicare tax and FUTA tax.
2. Yes, Person JS is covered by FICA. The Federal government employees hired after the year 1983 are subject to full FICA coverage.
3. No, Person BS is not covered by FICA. The real estate agents are considered as the independent contractors.
4. No, Person SS is not covered by FICA. Person SS offers lawn services to general public and that is considered as the independent contractors.

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Answer 2

Textbook Question

Chapter 3, Problem 1SSQ

Which of the following are covered by FICA (indicate Yes or No)?

_____1. Andrian Mitchell, a full-time life insurance salesperson.
_____2. John Sain, a federal government employee, hired in 1990.
_____3. Bonnie Stone, a real estate agent.
_____4. Stuart Schuck, who offers lawn care service to homeowners in the neighborhood.

Expert Solution & Answer

To determine

Identify whether the given persons are covered by FICA.

Explanation of Solution

FICA tax refers to the Federal Insurance Contribution Act tax, which is Country U.S law that creates the payroll tax requiring deductions.

FICA imposes two taxes on the employer and the employee. In this, one tax would finances the federal old age, survivors and disability insurance programs which would be called as the OASDI. The other tax would finance the hospital insurance (HI) or the Medicare program.

1. Yes, Person AM is covered by FICA. Person AM is a full-time life insurance sales person. The full-time life insurance sales persons are covered as the statutory employees for the purposes of social security tax, Medicare tax and FUTA tax.
2. Yes, Person JS is covered by FICA. The Federal government employees hired after the year 1983 are subject to full FICA coverage.
3. No, Person BS is not covered by FICA. The real estate agents are considered as the independent contractors.
4. No, Person SS is not covered by FICA. Person SS offers lawn services to general public and that is considered as the independent contractors.

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Answer 3

Textbook Question

Chapter 3, Problem 1SSQ

Which of the following are covered by FICA (indicate Yes or No)?

_____1. Andrian Mitchell, a full-time life insurance salesperson.
_____2. John Sain, a federal government employee, hired in 1990.
_____3. Bonnie Stone, a real estate agent.
_____4. Stuart Schuck, who offers lawn care service to homeowners in the neighborhood.

Expert Solution & Answer

To determine

Identify whether the given persons are covered by FICA.

Explanation of Solution

FICA tax refers to the Federal Insurance Contribution Act tax, which is Country U.S law that creates the payroll tax requiring deductions.

FICA imposes two taxes on the employer and the employee. In this, one tax would finances the federal old age, survivors and disability insurance programs which would be called as the OASDI. The other tax would finance the hospital insurance (HI) or the Medicare program.

1. Yes, Person AM is covered by FICA. Person AM is a full-time life insurance sales person. The full-time life insurance sales persons are covered as the statutory employees for the purposes of social security tax, Medicare tax and FUTA tax.
2. Yes, Person JS is covered by FICA. The Federal government employees hired after the year 1983 are subject to full FICA coverage.
3. No, Person BS is not covered by FICA. The real estate agents are considered as the independent contractors.
4. No, Person SS is not covered by FICA. Person SS offers lawn services to general public and that is considered as the independent contractors.

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Answer 4

Textbook Question

Chapter 3, Problem 1SSQ

Which of the following are covered by FICA (indicate Yes or No)?

_____1. Andrian Mitchell, a full-time life insurance salesperson.
_____2. John Sain, a federal government employee, hired in 1990.
_____3. Bonnie Stone, a real estate agent.
_____4. Stuart Schuck, who offers lawn care service to homeowners in the neighborhood.

Expert Solution & Answer

To determine

Identify whether the given persons are covered by FICA.

Explanation of Solution

FICA tax refers to the Federal Insurance Contribution Act tax, which is Country U.S law that creates the payroll tax requiring deductions.

FICA imposes two taxes on the employer and the employee. In this, one tax would finances the federal old age, survivors and disability insurance programs which would be called as the OASDI. The other tax would finance the hospital insurance (HI) or the Medicare program.

1. Yes, Person AM is covered by FICA. Person AM is a full-time life insurance sales person. The full-time life insurance sales persons are covered as the statutory employees for the purposes of social security tax, Medicare tax and FUTA tax.
2. Yes, Person JS is covered by FICA. The Federal government employees hired after the year 1983 are subject to full FICA coverage.
3. No, Person BS is not covered by FICA. The real estate agents are considered as the independent contractors.
4. No, Person SS is not covered by FICA. Person SS offers lawn services to general public and that is considered as the independent contractors.

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Answer 5

Textbook Question

Answer 6

Textbook Question

Answer 7

Expert Solution & Answer

To determine

Identify whether the given persons are covered by FICA.

Explanation of Solution

FICA tax refers to the Federal Insurance Contribution Act tax, which is Country U.S law that creates the payroll tax requiring deductions.

FICA imposes two taxes on the employer and the employee. In this, one tax would finances the federal old age, survivors and disability insurance programs which would be called as the OASDI. The other tax would finance the hospital insurance (HI) or the Medicare program.

1. Yes, Person AM is covered by FICA. Person AM is a full-time life insurance sales person. The full-time life insurance sales persons are covered as the statutory employees for the purposes of social security tax, Medicare tax and FUTA tax.
2. Yes, Person JS is covered by FICA. The Federal government employees hired after the year 1983 are subject to full FICA coverage.
3. No, Person BS is not covered by FICA. The real estate agents are considered as the independent contractors.
4. No, Person SS is not covered by FICA. Person SS offers lawn services to general public and that is considered as the independent contractors.

Answer 8

Expert Solution & Answer

To determine

Identify whether the given persons are covered by FICA.

Explanation of Solution

FICA tax refers to the Federal Insurance Contribution Act tax, which is Country U.S law that creates the payroll tax requiring deductions.

FICA imposes two taxes on the employer and the employee. In this, one tax would finances the federal old age, survivors and disability insurance programs which would be called as the OASDI. The other tax would finance the hospital insurance (HI) or the Medicare program.

1. Yes, Person AM is covered by FICA. Person AM is a full-time life insurance sales person. The full-time life insurance sales persons are covered as the statutory employees for the purposes of social security tax, Medicare tax and FUTA tax.
2. Yes, Person JS is covered by FICA. The Federal government employees hired after the year 1983 are subject to full FICA coverage.
3. No, Person BS is not covered by FICA. The real estate agents are considered as the independent contractors.
4. No, Person SS is not covered by FICA. Person SS offers lawn services to general public and that is considered as the independent contractors.

Answer 9

Expert Solution & Answer

Answer 10

Expert Solution & Answer

Answer 11

To determine

Identify whether the given persons are covered by FICA.

Answer 12

Explanation of Solution

FICA tax refers to the Federal Insurance Contribution Act tax, which is Country U.S law that creates the payroll tax requiring deductions.

FICA imposes two taxes on the employer and the employee. In this, one tax would finances the federal old age, survivors and disability insurance programs which would be called as the OASDI. The other tax would finance the hospital insurance (HI) or the Medicare program.

1. Yes, Person AM is covered by FICA. Person AM is a full-time life insurance sales person. The full-time life insurance sales persons are covered as the statutory employees for the purposes of social security tax, Medicare tax and FUTA tax.
2. Yes, Person JS is covered by FICA. The Federal government employees hired after the year 1983 are subject to full FICA coverage.
3. No, Person BS is not covered by FICA. The real estate agents are considered as the independent contractors.
4. No, Person SS is not covered by FICA. Person SS offers lawn services to general public and that is considered as the independent contractors.

Answer 13

Ch. 3 - Which of the following are covered by FICA...Ch. 3 - Prob. 2SSQ Ch. 3 - Prob. 3SSQ Ch. 3 - Lori Kinmark works as a jeweler for a local...Ch. 3 - _____1. Johnson Industries, a semiweekly...Ch. 3 - _____1. Employees FICA tax rates A. Severance pay...Ch. 3 - For social security purposes, what conditions must...Ch. 3 - Prob. 2QR Ch. 3 - Prob. 3QR Ch. 3 - Prob. 4QR

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