Question

Kyle, a single taxpayer, worked as a free-lance software engineer for the first three months of 2019. During that time, he earned $58,000 of self-employment income. On April 1, 2019, Kyle took a job as a full-time software engineer with one of his former clients, Hoogle Inc. From April through the end of the year, Kyle earned $172,000 in salary.

What amount of FICA taxes (self-employment and employment related) does Kyle owe for the year? (Round your intermediate calculations to the nearest whole dollar amount.)

Answer 1

	Kyle's liability of FICA Taxes
	As a free-lance Software Engineer	As a full time Employee with Hoogle Inc.
	Figures in $
Income (A)	58,000	1,72,000
Tax Rates (B)
Up to $ 132900	15.30%	7.65%
For balance		Nil
Tax Liability (A*B)
Up to $ 132900	8,874	10,167
On balance $ 39100		NIL
Total Tax (FICA) (in $)	19,041
Note : $10167 also need to pay by Hoogle Inc. as a Employer.
Kyle owes $19041 FICA Taxes for the year 2019.