To determine the employee's yearly contribution to the U.S. Medicare tax on a salary of [tex]$40,000, we need to use the appropriate rate for the employee's part of the Medicare tax.
Based on the given tax rates in the provided table:
- The employee's responsibility for Medicare tax is \( 1.45\% \).
We start by calculating 1.45% of the salary to find the employee's yearly contribution.
1. Convert the percentage to a decimal by dividing by 100:
\[
1.45\% = \frac{1.45}{100} = 0.0145
\]
2. Multiply the salary by this decimal to find the contribution:
\[
\text{Medicare contribution} = 40,000 \times 0.0145
\]
3. Performing the multiplication:
\[
40,000 \times 0.0145 = 580
\]
Therefore, the employee's yearly contribution to the U.S. Medicare tax on a salary of $[/tex]40,000 is [tex]\(\$580.00\)[/tex].
