If you have ever received a paycheck, then you have probably noticed that a portion of your pay is taken out for various taxes. What you might not know is that your employer pays taxes on your wages as well - out of their own pocket. These taxes are called payroll taxes.
The payroll tax is a multitude of taxes that are paid by the employer and in some cases, withheld from an employee's paycheck. The employer then remits these taxes to the appropriate tax authority.
There are numerous types of payroll taxes, including:
1. Federal income tax withholding
2. Social Security tax withholding
3. Medicare tax withholding
4. Additional Medicare tax withholding
5. State income tax withholding
6. Various local tax withholdings (city, county, school district)