One possible solution to a diminishing social security payroll is to decrease the social security benefit by 13%. how would such a decrease effect the benefits on a salary of $54,000?
a. benefit would decrease by $1,404 annually.
b. benefit would decrease by $7,020 annually.
c. benefit would decrease by $8,640 annually.
d. benefit would decrease by $15,660 annually

Answer and Explanation

13%of 54000

13/100*54000=$7020

Benefit would decrease by $7,020 annually.

Social security payroll is the that match 1.45 percentage of ones earning. It is calculated by  multiplying the employees wage to the amount the company must withhold from the employees pay check for the social security payroll while social benefits are the benefits that are paid to divorced spouses of workers who are receiving social security benefits which provides you 50 percent of the amount of your spouse's Social Security benefit as calculated at their full retirement age