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Incidence of of the social security tax

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Reference no: EM131483937

Workers in the United States pay 6.2% of the first $118,500 of their earnings and employers also pay a 6.2% of the worker's first $118,500 in earnings as a Social Security tax. Which of the following is definitely true?

  1. The incidence of of the Social Security tax is that the workers and employers each pay an equal amount of the tax.
  2. Employers the full amount of the tax.
  3. Workers pay the full amount of the tax.
  4. More information is needed to determine the incidence of the tax.

Reference no: EM131483937

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