Answered step by step
Verified Expert Solution
Question
1 Approved Answer
BMX Company has one employee. FICA Social Security taxes are 6.2% of the first $128,400 paid to its employee, and FICA Medicare taxes are 1.45%
BMX Company has one employee. FICA Social Security taxes are 6.2% of the first $128,400 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. Gross Pay through August 31 $ 6,200 2,850 123,800 Gross Pay for September $1,600 2,950 9,700 b. C. 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 (). (Round your answers to 2 decimal places.) a) Tax Tax Rate Tax Amount September Earnings Subject to Tax $ 1,600.00 1,600.00 99.20 6.20% $ 1.45% 23.20 FICASocial Security FICA-Medicare FUTA SUTA b) Tax September Earnings Subject to Tax Tax Rate Tax Amount FICASocial Security FICAMedicare FUTA SUTA c) ax September Earnings Subject to Tax Tax Rate Tax Amount FICASocial Security FICA-Medicare FUTA SUTA
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started