Aliza Grajek is a​ self-employed nurse with 2020 salary income of;$78,000.00 and taxable annual income​ (federal and​ state) of $55,000.00 after adjustments and deductions. Calculate her total 2020 income tax​ liability, including federal and FICA taxes.

To calculate Aliza Grajek's 2020 total income tax liability, we need to break it down into two main components:

1. **Federal Income Tax**
2. **FICA Taxes (Social Security and Medicare)**

### 1. Federal Income Tax
First, let's estimate the **federal income tax** based on her taxable annual income of $55,000. In 2020, the federal income tax brackets for single filers are:

- 10% on income up to $9,875
- 12% on income from $9,876 to $40,125
- 22% on income from $40,126 to $85,525

To compute the federal income tax:

- **10%** of the first $9,875:  
  \[
  0.10 \times 9,875 = 987.50
  \]
  
- **12%** on income from $9,876 to $40,125:  
  \[
  0.12 \times (40,125 - 9,875) = 0.12 \times 30,250 = 3,630
  \]
  
- **22%** on income from $40,126 to $55,000:  
  \[
  0.22 \times (55,000 - 40,125) = 0.22 \times 14,875 = 3,272.50
  \]

Total federal income tax = $987.50 + $3,630 + $3,272.50 = **$7,890**

### 2. FICA Taxes
FICA taxes for a self-employed individual are 15.3%, which covers:

- **Social Security**: 12.4% (on income up to the Social Security wage base, which in 2020 is $137,700)
- **Medicare**: 2.9% (on all income)

Since Aliza’s salary of $78,000 is below the Social Security wage base, we calculate:

- **Social Security tax**:  
  \[
  0.124 \times 78,000 = 9,672
  \]

- **Medicare tax**:  
  \[
  0.029 \times 78,000 = 2,262
  \]

Total FICA tax = $9,672 + $2,262 = **$11,934**

### 3. Total Tax Liability
Adding the federal income tax and FICA taxes together:

- **Federal income tax**: $7,890
- **FICA taxes**: $11,934

Total 2020 tax liability = **$7,890 + $11,934 = $19,824**

---

Would you like to review any of these calculations in more detail or need further clarifications?

Here are some related questions:
1. What are the income tax brackets for different filing statuses?
2. How does self-employment tax differ from regular FICA taxes for employees?
3. Can deductions or credits lower a self-employed individual's FICA tax?
4. What strategies can self-employed individuals use to reduce taxable income?
5. How does the Social Security wage base limit affect high earners?

**Tip**: Self-employed individuals can deduct half of their self-employment taxes when calculating their adjusted gross income (AGI), which can reduce taxable income.

Aliza Grajek is a​ self-employed nurse with 2020 salary income of $78,000.00 and taxable annual income​ (federal and​ state) of $55,000.00 after adjustments and deductions. Calculate her total 2020 income tax​ liability, including federal and FICA taxes.

Calculate the 2020 total income tax liability for a self-employed nurse with a salary of $78,000. This detailed breakdown includes federal income tax using tax brackets and FICA taxes, covering Social Security and Medicare contributions for self-employed individuals.

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