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Brown's Technology has three employees who work on an hourly basis and are paid semi-monthly. The current CPP rate is 5.95%, the current EI rate
- Brown's Technology has three employees who work on an hourly basis and are paid semi-monthly. The current CPP rate is 5.95%, the current EI rate is 1.63%, and the appropriate income tax rate is 20%. Each employee contributes a portion of their pay to the United Way. The employer pays half the amount of the health care premium for the employees, and the employees pay the other half. Assume the employer contributes 100% toward CPP and 140% toward EI. Payroll information for the period ending June 3, 2023, is listed below.
Employee | Total Hours | Hourly Rate | United Way | Health Care |
Walking Out | 80.00 | $14.50 | $8.00 | $20.00 |
Running Thru | 83.00 | $15.00 | $6.00 | $18.00 |
Skipping Up | 74.00 | $16.00 | $10.00 | $16.00 |
The CPP Exemption is $3,500.
1) What is the total amount deducted for income tax for the period?
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