Which of the following are standard payroll deductions?
Question 4 options:
Federal income tax
State income tax
FICA withholding
All of the choices are correct.
All of the choices are correct. Federal income tax, state income tax, and FICA withholding are all standard payroll deductions.
Correct. All of the choices - federal income tax, state income tax, and FICA withholding - are standard payroll deductions.
To determine which of the given options are standard payroll deductions, we can break down each option and explain them:
1. Federal income tax: This is a mandatory deduction required by the federal government. The amount of federal income tax withheld from an employee's paycheck depends on factors such as income level, tax filing status, and number of allowances claimed on the W-4 form.
2. State income tax: This deduction applies to employees who reside in states that impose a state income tax. Not all states have income taxes, so this deduction may not be applicable for everyone. Similar to federal income tax, the amount of state income tax withheld depends on factors specific to each state.
3. FICA withholding: FICA stands for the Federal Insurance Contributions Act, and it comprises two main elements — Social Security and Medicare. These deductions are mandatory for most employees in the United States. A specific percentage is withheld from each paycheck to fund these federal social insurance programs.
Given these explanations, all of the provided options — federal income tax, state income tax, and FICA withholding — are indeed standard payroll deductions.