Employers are required to do what regarding FICA payroll taxes?

Employers are required to match employee contributions for FICA payroll taxes, which consist of Social Security and Medicare taxes. This means that for every dollar an employee pays into these programs through payroll deductions, the employer must contribute an equivalent amount. This matching requirement is crucial for ensuring that both employees and employers contribute fairly to the funding of these social insurance programs, which provide benefits to retirees, the disabled, and other eligible recipients.

The two primary components of FICA taxes include a percentage withheld from the employee's wages for Social Security and Medicare, and the employer's matching contribution that helps sustain these vital federal programs. This system supports the financial stability of Social Security and Medicare, ensuring that funds are available for current and future beneficiaries.

The other options, such as withholding double the amount, paying an annual fee, or providing additional benefits are not accurate descriptions of the employer's responsibilities regarding FICA. The key aspect of FICA compliance revolves around the employer's obligation to match employee contributions, which reinforces the collaborative nature of funding these essential social programs.