Change the gross pay and watch each withholding step it down to net pay, with the employer's cost growing beside it.
| Gross pay | $10,000 |
| Social Security (6.2%) | ($620) |
| Medicare (1.45%) | ($145) |
| Federal income tax withheld | ($1,500) |
| Medical insurance withheld | ($200) |
| Net pay | $7,535 |
| Gross pay | $10,000 |
| Social Security (6.2%) | $620 |
| Medicare (1.45%) | $145 |
| FUTA (0.6%) | $60 |
| SUTA (5.4%) | $540 |
| Total cost of payroll | $11,365 |
is what an employee earns. — , , , insurance — come out of it to leave , the number on the check.
The employer pays a matching share of , plus and — taxes the employee never sees, because they are never withheld from anyone's pay. The true cost of a $10,000 payroll is higher than $10,000.