How much do I have to pay on taxes for 4 employees?

Question

I am going to pay the minimum wage.
taxes regarding, social security, fed, and all that
I am in Texas

Answer 1

The Texas minimum wage is same as the Federal CURRENTLY $5.15 / hr. (See DOL website).

So starting with that (Some assumptions made):

$5.15 * 40 hrs = $206.00

Employer Paid Tax would be:

Social Security - .062 * 206 = 12.77
Medicare - .0145 * 206 = 2.99
Federal Unemployment = Rate * 206.00 (Rate determined by many factors, but not a huge expense)
State Unemployment = Rate * 206.00 (Same as above)
Workers Comp. = Rate and amount determined by insurance company, based on workers role employers experience, etc.)

Answer 2

First how big is your business; are you at home or rent/lease a building, and if you need to know now, the buy Turbo Tax for small business software and enter your amounts of salary payed out and their deductions, and let the tax program figure it out for you. Or, you can download an accounting program from Microsoft.com. It's easy and it's free.

Good luck.

Answer 3

As the employer you will pay social security tax at 7.65% on 50% of their wages. They will pay on the other 50% - you need to withhold this and Federal income tax from their wages. See Employer's Tax Guide Publication 15 at www.irs.gov.

Answer 4

I believe SS and Medicare are the same for all states, 6.2% on SS and 1.45% on Medicare. FIT is based on their W-4's and the withholdings they specify.