Maria Garza's regular hourly wage rate is $35, and she receives a wage of 1 times the
Question:
Maria Garza's regular hourly wage rate is $35, and she receives a wage of 1½ times the regular hourly rate for work in excess of 40 hours. During a March weekly pay period, Maria worked 42 hours. Her gross earnings prior to the current week were $6,000. Maria is married and claims three withholding allowances. Her only voluntary deduction is for group hospitalization insurance at $25 per week.
Instructions
a. Compute the following amounts for Maria's wages for the current week.
1. Gross earnings.
2. FICA taxes. (Assume a 7.65% rate on maximum of $132,900.)
3. Federal income taxes withheld.
4. State income taxes withheld. (Assume a 2.0% rate.)
5. Net pay.
b. Record Maria's pay.
Step by Step Answer:
Accounting Principles
ISBN: 9781119707110
14th Edition
Authors: Jerry J. Weygandt, Paul D. Kimmel, Jill E. Mitchell