Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

An employee earned $ 5 , 7 0 0 in February working for an employer . The Federal Insurance Contributions Act ( FICA ) tax

An employee earned $ 5,700 in February working for an employer . The Federal Insurance Contributions Act ( FICA ) tax rate for Social Security Is 6.2% of the first $ 137,700 earned during each calendar year and the Federal Insurance Contributions Act ( FICA ) tax rate for Medicare is 1.45% of all earnings . The employee has $ 754 in federal income taxes withheld and has voluntary deductions for health insurance of $ 50 and contributes $ 570 to a retirement plan each month . The employer pays the $ 200 remainder of the health insurance premium and an equal amount of contribution to the retirement fund . What is the amount of net pay for the employee for the month of February ?

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Information Technology Auditing

Authors: James A. Hall

4th edition

1133949886, 978-1305445154, 1305445155, 978-1133949886

More Books

Students also viewed these Accounting questions