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BMX Company has one employee. FICA Social Security taxes are 6.2% of the first $137,700 paid to its employee, and FICA Medicare taxes are
BMX Company has one employee. FICA Social Security taxes are 6.2% of the first $137,700 paid to its employee, and FICA Medicare taxes are 1.45% of gross pay. For BMX, its FUTA taxes are 0.6% and SUTA taxes are 5.4% of the first $7,000 paid to its employee. a. b. c. Gross Pay through August 31 $ 6,400 2,000 131,400 Gross Pay for September $ 800 2,100 8,000 Compute BMX's amounts for each of these four taxes as applied to the employee's gross earnings for September under each of three separate situations (a), (b), and (c). (Round your answers to 2 decimal places.) Answer is complete but not entirely correct. a) Tax September Earnings Subject to Tax Tax Rate Tax Amount FICA-Social Security $ 800.00 6.20% $ 49.60 FICA-Medicare 800.00 1.45% 11.60 FUTA 2,100.00 0.60% 12.60 SUTA 2,100.00 5.40% 113.40 b) Tax September Earnings Subject to Tax Tax Rate Tax Amount FICA-Social $ 2.600.00 6.20% $ 161.20 Security FICA-Medicare 2,600.00 1.45% 37.70 FLITA 15 An
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