1. Sally hires a maid to work in her home for $250 per month. The maid is 25 years old and not related to Sally. During 2011 the maid worked 10 months for Sally.c. What is the amount of Social Security and Medicare tax which must be withheld from the maid s wages?A. None of the choicesB.$160.22C.$155.00D.$136.25E.$141.25F.$250.002. Ann hires a nanny to watch her two children while she works at a local hospital. She pays the 19-year-old- nanny $125 per week for 48 weeks during the current year.a. What is the employer s portion of Social Security and Medicare tax for the nanny that Ann should pay when she files her Form 1040 for 2011?A.$77.29B.$360.00C.$459.00D.$488.22E.$511.23F. None of the choices3. Ann hires a nanny to watch her two children while she works at a local hospital. She pays the 19-year-old- nanny $125 per week for 48 weeks during the current year.b. What is the nanny s portion of FICA and Medicare tax?A. None of the choicesB.$488.22C.$339.00D.$77.29E.$459.00F.$360.004. Which of the following is not subject to self-employment tax?A. Net earnings of the owner of a shoe storeB. Net earnings of a self-employed lawyerC. Distributive share of earnings of a partnershipD. Gain on the sale of real estate held for investmentE. Net earnings of the owner of a dry cleaner
