🚀 go-pugleaf

Shari L Brooks (bafta@cats.ucsc.edu) wrote:
: 
: In article <1992Dec29.164256.18889@murdoch.acc.Virginia.EDU> 
: rbw3q@rayleigh.mech.Virginia.EDU (Brad Whitehurst) writes:
: 
: >	By the time you also pay for FICA, pension, benefits, and
: >overhead, a $50,000 engineer can easily cost a company double his base
: >pay!

Don't forget state payroll taxes (if your state has one - paid by the
employer, not the employee) and workman's-compensation (also paid by
the company).  Other figures in he cost can include the rent/lease
payments for the office and the property taxes on the toys that the
engineer gets to play with all day.  These are ongoing costs, not
one time costs like paying for a desk or workstation (unless your
organization rents/leases those as well).
 
: Wow, your lab pays for FICA?  I'm impressed.  It takes up about a third
: of *my* salary, when combined with income taxes.  Right out of my pay.
: I was under the impression it came out of everyone's pay, that that was
: the idea behind "Social Security".

FICA payments come from employee "contributions" and from matching
contributions from the employer.  "Self Employment Tax" is FICA, only
you pay *both* parts.

Take what ever you are paying (~7%-9%, I forget exactly what) and add in
an equal amount from your employer.  Now kiss it goodbye, because anyone
under 50 ain't gonna see it come back :-(

-ethan