March 2025

Payroll Explained: Step-by-Step Guide to Calculating Payroll Taxes Determine the amount of withholding for Social Security and Medicare taxes by multiplying each payment by the employee tax rate. A payroll tax cut would mean that fewer Social Security and Medicare taxes are withheld and taken out of paychecks. The idea is that workers and businesses

Business Owners and Managers May Have Personal Liability for Unpaid Payroll Taxes and Not Know It This is calculated by adding the Social Security tax rate of 6.2% (or 12.4% when you include the employer contribution) with the Medicare tax rate of 1.45% (or 2.9% with the employer contribution). In this sense, the employer acts

These are the costs incurred in the day-to-day running of the business and generally provide economic benefit over a shorter period, usually one accounting period. These are similar to operating/ non-operating day-to-day business running expenditures. It’s important for businesses to carefully monitor their operating expenses to ensure they stay within budget while still being able