Question
The Social Security Administration increased the taxable wage base from
Burns earned over
What is the percent increase in the base?
Note: Round your answer to the nearest hundredth percent.
Burns earned over
What is the percent increase in the base?
Note: Round your answer to the nearest hundredth percent.
Ask by Mullins Paul. in the United States
Mar 20,2025
Upstudy AI Solution
Tutor-Verified Answer
Answer
The base increased by approximately 3.70%.
Solution
To find the percent increase in the base, we need to calculate the difference between the new base and the old base, and then divide that difference by the old base and multiply by 100.
Given:
- Old taxable wage base: $137,700
- New taxable wage base: $142,800
- Tax rate: 6.2%
Let’s calculate the percent increase in the base:
- Calculate the difference between the new base and the old base:
- Calculate the percent increase:
Now, let’s calculate the percent increase in the base.
Calculate the value by following steps:
Calculate the value by following steps:
- step0: Calculate:
- step1: Remove the parentheses:
- step2: Subtract the numbers:
- step3: Reduce the fraction:
- step4: Multiply:
The percent increase in the base is approximately 3.70%.
Answered by UpStudy AI and reviewed by a Professional Tutor
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Simplify this solution The Deep Dive
To find the percent increase in the taxable wage base, we can use the formula for percent change:
In this case, the old value is
Calculating the difference:
Now, plug it into the formula:
Thus, the percent increase in the taxable wage base is approximately
