Assume a tax rate of 6.2% on $106,800 for Social Security and 1.45% for Medicare
ID: 2704100 • Letter: A
Question
Assume a tax rate of 6.2% on $106,800 for Social Security and 1.45% for Medicare. No one will reach the maximum for FICA. Complete the following payroll register. (Use the percentage method to calculate FIT for this weekly period.) (Use Table 9.1 and Table 9.2). (Do not round intermediate calculations and round your final answers to 2 decimal places. Omit the "$" sign in your response.)
Assume a tax rate of 6.2% on $106,800 for Social Security and 1.45% for Medicare. No one will reach the maximum for FICA. Complete the following payroll register. (Use the percentage method to calculate FIT for this weekly period.) (Use Table 9.1 and Table 9.2). (Do not round intermediate calculations and round your final answers to 2 decimal places. Omit the "$" sign in your response.)
Assume a tax rate of 6.2% on $106,800 for Social Security and 1.45% for Medicare. No one will reach the maximum for FICA. Complete the following payroll register. (Use the percentage method to calculate FIT for this weekly period.) (Use Table 9.1 and Table 9.2). (Do not round intermediate calculations and round your final answers to 2 decimal places. Omit the "$" sign in your response.)Explanation / Answer
1) First calculate her gross pay at 50 weeks: 50 x $2200 per week = $110,000
2) She only has to pay 6.2% Social Security tax on the first $106,800 she earned, so we calculate this as: $106,800 x .062 = $6621.60 Total social security tax deducted so far this year.
3) She has to pay 1.45% Medicare tax on her full gross pay, so we calculate this as: $110,000 x .0145 = $1595 Total Medicare tax deducted so far this year.
PROBLEM # 1: B
1) State unemployment rate is 5.1%, so we calculate her deduction as: $7000 x .051 = $357
2) Federal unemployment rate is .8%, so we calculate this as: $7000 x .008 = $56
Related Questions
drjack9650@gmail.com
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.