As we go to press, the federal income tax rates for 2021 are being determined by budget talks in Washington and not available for publication. For this edition, the 2020 federal income tax tables for Manual Payroll Systems with Forms W-4 from 2019 or earlier and 2020 FICA rates have been used. Example 4-13 To use the wage-bracket method tables for Manual Payroll Systems with Forms W-4 From 2019 or Earlier, follow the steps illustrated below. Step 1 Select the withholding table that applies to the employee's marital status and pay period. Adrienne Huff is married and claims 3 allowances. She is paid weekly at a rate of $815. Step 2 Locate the wage bracket (the first two columns of the table) in which the employee's gross wages fall. Locate the appropriate wage bracket (see Figure 4.20): At least $805 but less than $820 Step 3 Follow the line for the wage bracket across to the right to the column showing the appropriate number of allowances. Withhold this amount of Move across the line to the column showing 3 allowances. The tax to withhold is $34. tax. Sean Matthews is a waiter at the Duluxe Lounge. In his first weekly pay in March, he earned $300.00 for the 40 hours he worked. In addition, he reports his tips for February to his employer ($500.00), and the employer withholds the appropriate taxes for the tips from this first pay in March. Click here to access the Wage-Bracket Method Tables. Round your answer to the two decimal places. Calculate his net take-home pay assuming the employer withheld federal income tax (wage-bracket, married, 2 allowances), social security taxes, and state income tax (2%)