On Mon, Aug 2, 2010 at 5:37 PM, Larry Daniels <ladaniels@sbcglobal.net>
wrote:
No, Lester, there is no "extra for no good reason".
If you are "self employed" you pay the employee's and the employer's
portion. That is all you pay. No "extra". Gee, the same also goes
for your Medicare withholdings. Shouldn't be a huge surprise since you
occupy both seats. Duh!
Not wanting to start any problems here but perhaps the "extra" that
Lester refers to is the higher rate that the employer pays... The
employer also has to pay the State and Federal Unemployment taxes.
Most people don't know that these taxes are based on their wages up to
a certain point and some think that the FICA is higher for the
employer than it is for the employee. It isn't because the employer
pays Social Security (matching), Medicare (matching), SUTA and FUTA,
(no employee contribution).
--
Kent
1960 Bugeye
1967 Sprite - following in the 73's footsteps to the boneyard...
_______________________________________________
Donate: http://www.team.net/donate.html
Suggested annual donation $12.75
Archive: http://www.team.net/archive
Forums: http://www.team.net/forums
|