Question
(15 points) Jeff Jones, an employee that is paid weekly. He earns a salary of $800 per week plus hourly rate of $10. He worked
(15 points) Jeff Jones, an employee that is paid weekly. He earns a salary of $800 per week plus hourly rate of $10. He worked 40 hours this week. He is married and claims four withholding allowances (himself, his wife and two children). The FICA rate for Social Security is 6.2% on the first $118,500; and the Medicare rate is 1.45% on all earnings. To date his cumulative wages are $118,000. Each paycheck, his employer also deducts the following for health insurance: $27.50 for the employee plus $5.00 for each additional withholding allowance. Complete the pay stub for Jeff. (Calculate FIT by percentage method.). Show your work.
Tax year 2018
| Name | Allow-ances | Previous YTD Earnings | Salary pay | Hourly pay | Gross pay | New YTD Earnings | FIT | SS Taxable earn. | Med taxable earn. | SS Tax | Med Tax | Health Ins | Net Pay |
| Jeff Jones | M-4 | 118,000 |
Salary Pay =
Hourly Pay =
Gross Pay for the pay period =
Year to date earnings =
FIT =
Social Security taxable earnings =
Medicare taxable earnings:
SS Tax =
Medicate Tax =
Health Insurance =
Net Pay =
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Accounting for Governmental and Nonprofit Entities
Authors: Jacqueline Reck, Suzanne Lowensohn, Earl Wilson
17th edition
78025826, 978-1259564239, 1259564231, 978-0078025822
