What percent of peters after tax income is replaced by ui

Reference no: EM131500032

Question: Peters earnings are taxed at a rate of 15 percent by the personal income tax and at a combined rate of 7.45 percent by the Social Security and Medicare payroll taxes. Suppose that if Peter becomes unemployed, unemployment insurance replaces 50 percent of his before-tax earnings. Recall that UI is subject to the income but not the payroll tax. What percent of Peters after tax income is replaced by UI? What are the implications for the effects of UI on unemployment?

Reference no: EM131500032

Questions Cloud

How the patient financial services personnel assist : Explain how the patient financial services personnel assist in determining which category the uncollectible account should be placed.

Discuss aspects of the tax and transfer systems : Consider Eleanor, who qualifies for the earned income tax credit as depicted in Figure. Suppose that Eleanor can earn $8 per hour.

Stylistic development into abstraction : Choose one of the following artists for an examination of their stylistic development into abstraction:

How much of the third loan payment is interest : How much of the third loan payment is interest?

What percent of peters after tax income is replaced by ui : Peters earnings are taxed at a rate of 15 percent by the personal income tax and at a combined rate of 7.45 percent by the Social Security and Medicare payroll.

Alternative trading systems and registered stock exchanges : Describe some similarities and differences among broker-dealer networks, alternative trading systems (ats), and registered stock exchanges.

Explain how abc creates thee given benefits : Explain how ABC creates these benefits. Explain how this additional information could help you in your analysis? Determine other information to gather.

What would be the economic implications for sex workers : In 2004, the city of Cologne, Germany instituted a "pleasure tax." Among other things, the tax applied to massage parlors, table-dancing clubs, and brothels.

Under what conditions is this view likely to be correct : In 2004, Congress adopted a Medicare prescriptivism drug benefit which would, in effect, subsidize the purchase of drugs by the elderly.

User Account

All Pages