A:

B:

Use the percentage method of income tax calculation to complete the payroll roster (in $). David Grange is married and claims 4 withholding allowances. If he is paid biweekly and earns $1,842 per period, use the percentage method to find his income tax withholding each pay period. (Use Exhibit 9-1 and Exhibit 9-2 from your text. Round your answer to the nearest cent.) $ 1303.22 x EXHIBIT 9-1 Percentage Method Amount for One Withholding Allowance Payroll Period One Withholding Allowance Weekly. Biweekly Semimonthly Monthly Quarterly Semiannually Annually Daily or miscellaneous (each day of the payroll period). $ 79.80 159.60 172.90 345.80 1,037.50 2,075.00 4,150.00 16.00 EXHIBIT 9-2 Tables for Percentage Method of Withholding Percentage Method Tables for Income Tax Withholding (For Wages Paid in 20XX) TABLE 1-WEEKLY Payroll Period HERE (a) SINGLE person (including head of household)- (b) MARRIED person- If the amount of wages If the amount of wages (after subtracting The amount of income tax (after subtracting The amount of income tax withholding allowances) is: to withhold is: withholding allowances) is: to withhold is: Not over $71 ...$0 Not over $222 ..$0 Over- But not over- of excess over- Over- But not over- of excess over- $71 -$254 $0.00 plus 10% -$71 $222 -$588 $0.00 plus 10% -$222 $254 -$815 ..$18.30 plus 12% -$254 $588 -$1,711 ......$36.60 plus 12% -$588 $815 - $1,658 $85.62 plus 22% -$815 $1,711 $3,395......$171.36 plus 22% - -$1,711 $1,658 -$3,100 $271.08 plus 24% -$1,658 $3,395 -$6,280 $541.84 plus 24% -$3,395 $3,100 -$3,917 ..$617.16 plus 32% -$3,100 $6,280 -$7,914 $1,234.24 plus 32% -56,280 $3,917 59,687 $878.60 plus 35% -53,917 $7,914 -$11,761 $1,757.12 plus 35% -$7,914 $9,687 ..$2,898.10 plus 37% -$9,687 $ $11,761 $3,103.57 plus 37% -$11,761 TABLE 2-BIWEEKLY Payroll Period (a) SINGLE person (including head of household) (b) MARRIED person- If the amount of wages If the amount of wages (after subtracting The amount of income tax (after subtracting The amount of income tax withholding allowances) is: to withhold is: withholding allowances) is: to withhold is: Not over $142 ......... ...$0 0 Not over $444............ $ ..$0 Over- But not over- of excess over- Over- But not over- of excess over- $142 -$509 ......$0.00 plus 10% -$142 $444 $1,177 $0.00 plus 10% -$444 $509 - $1,631 $36.70 plus 12% -$509 $1,177 -$3,421 $73.30 plus 12% -$1,177 $1,631 -$3,315 $171.34 plus 22% -$1,631 $3,421 - $6,790 $342.58 plus 22% -$3,421 $3,315 56,200 $541.82 plus 24% -$3,315 $6,790 -$12,560 $1,083.76 plus 24% _$6,790 $6,200 -$7,835 ..$1,234.22 plus 32% $6,200 $12,560 -$15,829 $2,468.56 plus 32% -$12,560 $7,835 -$19,373 $1,757.42 plus 35% -$7,835 $15,829 -$23,521 $3,514.64 plus 35% -$15,829 $19,373 $5,795.72 plus 37% -$19,373 $23,521 $6,206.84 plus 37% -$23,521 TABLE 3-SEMIMONTHLY Payroll Period (a) SINGLE person (including head of household) (b) MARRIED person- If the amount of wages (after If the amount of wages subtracting withholding The amount of income tax (after subtracting The amount of income tax allowances) is: to withhold is: withholding allowances) is: to withhold is: Not over $154 $0 Not over $481............ .$0 Over- But not over- of excess over- Over- But not over- of excess over- $154 -$551 $0.00 plus 10% -$154 $481 $1,275 $0.00 plus 10% - $481 $551 $ $1,767 - $39.70 plus 12% -$551 $1,275 -$3,706 $79.40 plus 12% -$1,275 $1,767 $3,592 $185.62 plus 22% $1,767 $3,706 $7,356 $371.12 plus 22% $3,706 $3,592 -$6,717 $587.12 plus 24% -$3,592 $7,356 -$13,606 $1,174.12 plus 24% -$7,356 $6,717 -$8,488 $1,337.12 plus 32% -$6,717 $13,606 -$17,148 $2,674.12 plus 32% -$13,606 $8,488 -$20,988 $1,903.84 plus 35% -$8,488 $17,148 -S$25,481 $3,807.11 plus 35% -$17,148 $20,988. .$6,278.84 plus 37% -$20,988 $25,481 $6,724.11 plus 37% -$25,481 TABLE 4MONTHLY Payroll Period (a) SINGLE person (including head of household) (b) MARRIED person- If the amount of wages If the amount of wages (after subtracting The amount of income tax (after subtracting The amount of income tax withholding allowances) is: to withhold is: withholding allowances) is: to withhold is Not over $308.......... $0 Not over $963. $0 Over- But not over of excess over- Over- But not over of excess over- $308 -$1,102 $0.00 plus 10% -$308 $963 -$2,550 .....$0.00 plus 10% -$963 $1,102 -$3,533 .$79.40 plus 12% -$1,102 $2,550 57,413 $158.70 plus 12% -$2,550 $3,533 - $7,183 ..$371.12 plus 22% -53,533 $7,413 $14,713 $742.26 plus 22% -$7,413 $7,183 -$13,433 $1,174.12 plus 24% -$7,183 $14,713 -$27,213 $2,348.26 plus 24% -$14,713 $13,433 -$16,975 $2,674.12 plus 32% -$13,433 $27,213 -$34,296 $5,345.26 plus 32% -$27,213 $16,975 -$41,975 $3,807.56 plus 35% -$16,975 $34,296 $50,963 $7,614.82 plus 35% $34,296 $41,975 $12,557.56 plus 37% -$41,975 $50,963 $13,448.27 plus 37% $50,963 LE Use the combined wage bracket tables, Exhibit 9-3 and Exhibit 9-4, to solve. Employee Marital Status Withholding Allowances Pay Period Gross Earnings Combined Withholding Alton, A. S 3 Monthly $4,653 $ 1303.22 x And the wages are At least But less than 0 9 10 915 925 935 945 955 965 975 985 995 1,005 1,015 1,025 1,035 1,045 1,055 1,065 1,075 1,085 1,095 1,105 1,115 1,125 1,135 1,145 1,155 1,165 1,175 1,185 1,195 1,205 1,215 1,225 1,235 1,245 1,255 1,265 1,275 1,285 1,295 1,305 1,315 1,325 1,335 1,345 1,355 1,365 1,375 1,385 1,395 1,405 1,415 1,425 1,435 1,445 1,455 1,465 1,475 1,485 1,495 1,505 1,515 1,525 1,535 1,545 1,555 925 935 945 955 965 975 985 995 1,005 1,015 1,025 1,035 1,045 1,055 1,065 1,075 1,085 1,095 1,105 1,115 1,125 1,135 1,145 1,155 1,165 1,175 1,185 1,195 1,205 1,215 1,225 1,235 1,245 1,255 1,265 1,275 1,285 1,295 1,305 1,315 1,325 1,335 1,345 1,355 1,365 1,375 1,385 1,395 1,405 1,415 1,425 1,435 1,445 1,455 1,465 1,475 1,485 1,495 1,505 1,515 1,525 1,535 1,545 1,555 1,565 146.38 149.15 150.91 152.68 154.44 156.21 158.97 160.74 162.50 164.27 166.03 168.80 170.56 172.33 174.09 175.86 178.62 180.39 182.15 183.92 185.68 188.45 190.21 191.98 193.74 195.51 198.27 200.04 201.80 203.57 205.33 208.10 209.86 211.63 213.39 215.16 217.92 219.69 221.45 223.22 224.98 227.75 229.51 231.28 233.04 234.81 237.57 239.34 241.10 242.87 244.63 247.40 249.16 250.93 252.69 254.46 257.22 258.99 260.75 262.52 264.28 267.05 268.81 270.58 272.34 MARRIED PersonsWEEKLY Payroll Period (For Wages Paid through December 20XX) And the number of withholding allowances claimed is- 1 2 3 4 5 6 7 8 The amount of income, social security, and Medicare taxes to be withheld is, 137.38 127.38 118.38 108.38 100.38 92.38 84.38 76.38 139.15 129.15 120.15 110.15 102.15 94.15 86.15 78.15 140.91 131.91 121.91 112.91 103.91 95.91 87.91 79.91 142.68 133.68 123.68 114.68 105.68 97.68 89.68 81.68 145.44 135.44 125.44 116.44 107.44 99.44 91.44 83.44 147.21 137.21 128.21 118.21 109.21 101.21 93.21 85.21 148.97 138.97 129.97 119.97 110.97 102.97 94.97 86.97 150.74 141.74 131.74 122.74 112.74 104.74 96.74 88.74 152.50 143.50 133.50 124.50 114.50 106.50 98.50 90.50 155.27 145.27 135.27 126.27 116.27 108.27 100.27 92.27 157.03 147.03 138.03 128.03 119.03 110.03 102.03 94.03 158.80 148.80 139.80 129.80 120.80 111.80 103.80 95.80 160.56 151.56 141.56 132.56 122.56 113.56 105.56 97.56 162.33 153.33 143.33 134.33 124.33 115.33 107.33 99.33 165.09 155.09 145.09 136.09 126.09 117.09 109.09 101.09 166.86 156.86 147.86 137.86 128.86 118.86 110.86 102.86 168.62 158.62 149.62 139.62 130.62 120.62 112.62 104.62 170.39 161.39 151.39 142.39 132.39 122.39 114.39 106.39 172.15 163.15 153.15 144.15 134.15 125.15 116.15 108.15 174.92 164.92 154.92 145.92 135.92 126.92 117.92 109.92 176.68 166.68 157.68 147.68 138.68 128.68 119.68 111.68 178.45 168.45 159.45 149.45 140.45 130.45 121.45 113.45 180.21 171.21 161.21 152.21 142.21 132.21 123.21 115.21 181.98 172.98 162.98 153.98 143.98 134.98 124.98 116.98 184.74 174.74 164.74 155.74 145.74 136.74 126.74 118.74 186.51 176.51 167.51 157.51 148.51 138.51 128.51 120.51 188.27 178.27 169.27 159.27 150.27 140.27 131.27 122.27 190.04 181.04 171.04 162.04 152.04 142.04 133.04 124.04 191.80 182.80 172.80 163.80 153.80 144.80 134.80 125.80 194.57 184.57 174.57 165.57 155.57 146.57 136.57 127.57 196.33 186.33 177.33 167.33 158.33 148.33 138.33 129.33 198.10 188.10 179.10 169.10 160.10 150.10 141.10 131.10 199.86 190.86 180.86 171.86 161.86 151.86 142.86 132.86 201.63 192.63 182.63 173.63 163.63 154.63 144.63 134.63 204.39 194.39 184.39 175.39 165.39 156.39 146.39 137.39 206.16 196.16 187.16 177.16 168.16 158.16 148.16 139.16 207.92 197.92 188.92 178.92 169.92 159.92 150.92 140.92 209.69 200.69 190.69 181.69 171.69 161.69 152.69 142.69 211.45 202.45 192.45 183.45 173.45 164.45 154.45 144.45 214.22 204.22 194.22 185.22 175.22 166.22 156.22 147.22 215.98 205.98 196.98 186.98 177.98 167.98 157.98 148.98 217.75 207.75 198.75 188.75 179.75 169.75 160.75 150.75 219.51 210.51 200.51 191.51 181.51 171.51 162.51 152.51 221.28 212.28 202.28 193.28 183.28 174.28 164.28 154.28 224.04 214.04 204.04 195.04 185.04 176.04 166.04 157.04 225.81 215.81 206.81 196.81 187.81 177.81 167.81 158.81 227.57 217.57 208.57 198.57 189.57 179.57 170.57 160.57 229.34 220.34 210.34 201.34 191.34 181.34 172.34 162.34 231.10 222.10 212.10 203.10 193.10 184.10 174.10 164.10 233.87 223.87 213.87 204.87 194.87 185.87 175.87 166.87 235.63 225.63 216.63 206.63 197.63 187.63 177.63 168.63 237.40 227.40 218.40 208.40 199.40 189.40 180.40 170.40 239.16 230.16 220.16 211.16 201.16 191.16 182.16 172.16 240.93 231.93 221.93 212.93 202.93 193.93 183.93 173.93 243.69 233.69 223.69 214.69 204.69 195.69 185.69 176.69 245.46 235.46 226.46 216.46 207.46 197.46 187.46 178.46 247.22 237.22 228.22 218.22 209.22 199.22 190.22 180.22 248.99 239.99 229.99 220.99 210.99 200.99 191.99 181.99 250.75 241.75 231.75 222.75 212.75 203.75 193.75 183.75 253.52 243.52 233.52 224.52 214.52 205.52 195.52 186.52 255.28 245.28 236.28 226.28 217.28 207.28 197.28 188.28 257.05 247.05 238.05 228.05 219.05 209.05 200.05 190.05 258.81 249.81 239.81 230.81 220.81 210.81 201.81 191.81 260.58 251.58 241.58 232.58 222.58 213.58 203.58 193.58 263.34 253.34 243.34 234.34 224.34 215.34 205.34 196.34 70.38 71.15 71.91 73.68 75.44 77.21 78.97 80.74 82.50 84.27 86.03 87.80 89.56 91.33 93.09 94.86 96.62 98.39 100.15 101.92 103.68 105.45 107.21 108.98 110.74 112.51 114.27 116.04 117.80 119.57 121.33 123.10 124.86 126.63 128.39 130.16 131.92 133.69 135.45 137.22 138.98 140.75 143.51 145.28 147.04 148.81 150.57 153.34 155.10 156.87 158.63 160.40 163.16 164.93 166.69 168.46 170.22 172.99 174.75 176.52 178.28 180.05 182.81 184.58 186.34 70.38 71.15 71.91 72.68 73.44 74.21 74.97 75.74 76.50 77.27 78.03 79.80 81.56 83.33 85.09 86.86 88.62 90.39 92.15 93.92 95.68 97.45 99.21 100.98 102.74 104.51 106.27 108.04 109.80 111.57 113.33 115.10 116.86 118.63 120.39 122.16 123.92 125.69 127.45 129.22 130.98 132.75 134.51 136.28 138.04 139.81 141.57 143.34 145.10 146.87 149.63 151.40 153.16 154.93 156.69 159.46 161.22 162.99 164.75 166.52 169.28 171.05 172.81 174.58 176.34 But less 9 10 419.11 463.77 3,565 298,61 SINGLE PersonsMONTHLY Payroll Period (For Wages Paid through December 20XX) And the wages are And the number of withholding allowances claimed is- At least 0 1 2 2 31 4 5 6 7 8 than The amount of income, social security, and Medicare taxes to be withheld is 2,765 2,805 494.05 453.05 411.05 370.05 328.05 288.05 253.05 219.05 213.05 2,805 2,845 502.11 461.11 378.11 336.11 295.11 260.11 226.11 216.11 2,845 2,885 510.17 468.17 427.17 385.17 344.17 302.17 267.17 233.17 219.17 2,885 2,925 518.23 476.23 435.23 393.23 352.23 310.23 274.23 240.23 222.23 2,925 2,965 526.29 484.29 443.29 401.29 360.29 318.29 281.29 247.29 225.29 2,965 3,005 533.35 492.35 450.35 409.35 367.35 326.35 288.35 254.35 228.35 3,005 3,045 541.41 500.41 458.41 417.41 375.41 334.41 295.41 261.41 231.41 3,045 3,085 549.47 507.47 466.47 424.47 383.47 341.47 302.47 268.47 234.47 3,085 3,125 557.53 515.53 474.53 432.53 391.53 349.53 309.53 275.53 240.53 3,125 3,165 565.59 523.59 482.59 440.59 399.59 357.59 316.59 282.59 247.59 3,165 3,205 572.65 531.65 489.65 448.65 406.65 365.65 323.65 289.65 254.65 3,205 3,245 580.71 539.71 497.71 456.71 414.71 373.71 331.71 296.71 261.71 3,245 3,285 588.77 546.77 505.77 422.77 380.77 339.77 303.77 268.77 3,285 3,325 596.83 554.83 513.83 471.83 430.83 388.83 347.83 310.83 275.83 3,325 3,365 604.89 562.89 521.89 479.89 438.89 396.89 355.89 317.89 282.89 3,365 3,405 611.95 570.95 528.95 487.95 445.95 404.95 362.95 324.95 289.95 3,405 3,445 620.01 579.01 537.01 496.01 454.01 413.01 371.01 332.01 297.01 3,445 3,485 628.07 586.07 545.07 503.07 462.07 420.07 379.07 339.07 304.07 3,485 3,525 636.13 594.13 553.13 511.13 470.13 428.13 387.13 346.13 311.13 3,525 645.19 602.19 561.19 519.19 478.19 436.19 395.19 353.19 318.19 3,565 3,605 656.25 610.25 568.25 527.25 485.25 444.25 402.25 361.25 325.25 3,605 3,645 668.31 618.31 576.31 535.31 493.31 452.31 410.31 369.31 332.31 3,645 3,685 680.37 625.37 584.37 542.37 501.37 459.37 418.37 376.37 339.37 3,685 3,725 692.43 633.43 592.43 550.43 509.43 467.43 426.43 384.43 346.43 3,725 3,765 704.49 641.49 600.49 558.49 517.49 475,49 434.49 392.49 353.49 3,765 3,805 715.55 649.55 607.55 566.55 524.55 483.55 441.55 400.55 360.55 3,805 3,845 727.61 657.61 615.61 574.61 532.61 491.61 449.61 408.61 367.61 3,845 3,885 739.67 664,67 623.67 581.67 540.67 498.67 457.67 415.67 374.67 3,885 3,925 751.73 675.73 631.73 589.73 548.73 506.73 465.73 423.73 382.73 3,925 3,965 763.79 687.79 639.79 597.79 556.79 514.79 473.79 431.79 390.79 3,965 4,005 774.85 698.85 646.85 605.85 563.85 522.85 480.85 439.85 397.85 4,005 4,045 786.91 710.91 654.91 613.91 571.91 530.91 488.91 447.91 405.91 4,045 4,085 798.97 722.97 662.97 620.97 579.97 537.97 496.97 454.97 413.97 4,085 811.05 735.03 671.03 629.03 588.03 546.03 505.03 463.03 422.03 4,125 4,165 823.09 747.09 679.09 637.09 596.09 554.09 513.09 471.09 430.09 4,165 4,205 834.15 758.15 686.15 645.15 603.15 562.15 520.15 479.15 437.15 4,205 4,245 846.21 770.21 694.21 653.21 611.21 570.21 528.21 487.21 445.21 4,245 4,285 858.27 782.27 706.27 660.27 619.27 577.27 536.27 494.27 453.27 4,285 4,325 870.33 794.33 718.33 668.33 627.33 585.33 544.33 502.33 461.33 4,325 4,365 882.39 806.39 730.39 676.39 635.39 593.39552.39 510.39 469.39 4,365 4,405 893.45 817.45 741.45 684.45 642.45 601.45 559.45 518.45 476.45 4,405 4,445 905.51 829.51 753.51 692.51 650.5 609.51 567.51 526.51 484.51 4,445 4,485 917.57 841.57 765.57 699.57 658.57 616.57 575.57 533.57 492.57 4,485 4,525 929.63 853.63 777.63 707.63 666.63 624.63 583.63 541.63 500.63 4,525 4,565 941.69 865.69 789.69 715.69 674.69 632.69 591.69 549.69 508.69 4,565 4,605 952.75 876.75 800.75 724.75 681.75 640.75 598.75 557.75 515.75 4,605 4,645 964.81 888.81 812.81 736.81 689.81 648.81 606.81 565.81 523.81 4,645 4,685 976.87 900.87 824.87 748.87697.87 655.87 614.87 572.87 531.87 4,685 4,725 988.93 912.93 836.93 760.93 705.93 663.93 622.93 580.93 539.93 4,725 4,765 1,000.99 924.99 848.99 771.99 713.99 671.99 630.99 588.99 547.99 4,765 4,805 1,012.05 936.05 860.05 784.05 721.05 680.05 638.05 597.05 555.05 4,805 4,845 1,024.11 948.11 872.11 796.11 729.11 688.11 646.11 605.11 563.11 4,845 4,885 1,036.17 960.17 884.17 808.17 737.17 695.17 654.17 612.17 571.17 4,885 4,925 1,048.23 972.23 896.23 820.23745.23 703.23 662.23 620.23 579.23 4,925 4,965 1,060.29 984.29 908.29 831.29 755.29 711.29 670.29 628.29 587.29 4,965 5,005 1,071.35 995.35 919.35 843.35 767.35 719.35 677.35 636.35 594.35 5,005 5,045 1,083.41 1,007.41 931.41 855.41 779.41 727.41 685.41 644.41 602.41 5,045 5,085 1,095.47 1,019.47 943.47 867.47 791.47 734.47 693.47 651.47 610.47 5,085 5,125 1,107.53 1,031.53 955.53 879.53 803.53 742.53 701.53 659.53 618.53 5,125 5,165 1,119.59 1,043.59 967.59 890.59 814.59 750.59 709.59 667.59 626.59 5,165 5,205 1,130.65 1,054.65 978.65 902.65 826.65 758.65 716.65 675.65 633.65 5,205 5,245 1,142.71 1,066.71 990.71 914.71 838.71 766.71 724.71 683.71 641.71 5,245 5,285 1,154.77 1,078.77 1,002.77 926.77 850.77 774.77 732.77 690.77 649.77 5,285 5,325 1,166.83 1,090.83 1,014.83 938.83 862.83 785.83 740.83 698.83 657.83 5,325 5,365 1,178.89 1,102.89 1,026.89 949.89 873.89 797.89 748.89 706.89 665.89 213.05 213.05 216.11 216.11 219.17 219.17 222.23 222.23 225.29 225.29 228.35 228.35 231.41 231.41 234.47 234.47 237.53 237.53 240.59 240.59 243.65 243.65 246.71 246.71 249.77 249.77 252.83 252.83 255.89 255.89 258.95 258.95 262.01 262.01 269.07 265.07 276.13 268.13 283.19 271.19 290.25 274.25 297.31 277.31 304.37 280.37 311.43 283.43 318.49 286.49 325.55 291.55 332.61 339.67 305.67 346.73 312.73 353.79 319.79 360.85 326.85 367.91 333.91 374.97 340.97 382.03 348.03 389.09 355.09 396.15 362.15 404.21 369.21 411.27 376.27 419.33 383.33 427.39 390.39 435.45 397.45 443.51 404.51 450.57 411.57 458.63 418.63 466.69 425.69 474.75 432.75 482.81 440.81 489.87 448.87 497.93 456.93 505.99 464.99 514.05 472.05 522.11 480.11 529.17 488.17 537.23 496.23 545.29 504.29 553.35 511.35 561.41 519.41 568.47 527.47 576.53 535.53 584.59 543.59 592.65 550.65 600.71 558.71 607.77 566.77 615.83 574.83 623.89 582.89 4,125