Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Edward Dorsey is a part-time employee, and during the biweekly pay period, he earned $395. In addition, he is being paid a bonus of $300
Edward Dorsey is a part-time employee, and during the biweekly pay period, he earned $395. In addition, he is being paid a bonus of $300 along with his regular pay. If Dorsey is single, how much would be deducted from his pay for FIT, based on the two methods outlined below? There are NO allowances here
Hint: There are two ways to determine the deduction. Do NOT use the table for the percentage method.
a. Wage-bracket table: b. Percentage method:
10/31/23, 8:10 PM 2022 Wage Bracket Method Tables for Manual Payroll Systems With Forms W-4 From 2020 or Later 2022 Wage Bracket Method Tables for Manual Payroll Systems With Forms W-4 From 2020 or Later BIWEEKLY Payroll Period \begin{tabular}{|c|c|c|c|c|c|c|c|} \hline \multicolumn{2}{|c|}{\begin{tabular}{c} If the Adjusted Wage \\ Amount (line 1h) is \end{tabular}} & \multicolumn{2}{|c|}{ Married Filing Jointly } & \multicolumn{2}{|c|}{ Head of Household } & \multicolumn{2}{|c|}{\begin{tabular}{c} Single or Married Filing \\ Separately \end{tabular}} \\ \hline \multirow[t]{2}{*}{ At least } & \multirow[t]{2}{*}{ But less than } & \begin{tabular}{c} Standard \\ withholding \end{tabular} & \begin{tabular}{c} Form W-4, Step \\ 2, Checkbox \\ withholding \end{tabular} & \begin{tabular}{c} Standard \\ withholding \end{tabular} & \begin{tabular}{c} Form W-4, Step \\ 2, Checkbox \\ withholding \end{tabular} & \begin{tabular}{c} Standard \\ withholding \end{tabular} & \begin{tabular}{c} Form W-4, Step \\ 2, Checkbox \\ withholding \end{tabular} \\ \hline & & \multicolumn{6}{|c|}{ The Tentative Withholding Amount is: } \\ \hline$390 & $400 & $0 & $0 & $0 & $2 & $0 & $15 \\ \hline$400 & $410 & $0 & $0 & $0 & $3 & $0 & $16 \\ \hline$410 & $420 & $0 & $0 & $0 & $4 & $0 & $17 \\ \hline$420 & $430 & $0 & $0 & $0 & $5 & \$0 & $18 \\ \hline$430 & $440 & $0 & $0 & $0 & $6 & $0 & $19 \\ \hline$440 & $450 & $0 & $0 & $0 & $7 & $0 & $20 \\ \hline$450 & $465 & $0 & $0 & $0 & $8 & \$0 & $21 \\ \hline$465 & $480 & $0 & $0 & $0 & $10 & \$o & $23 \\ \hline$480 & $495 & $0 & $0 & $0 & $11 & \$0 & $25 \\ \hline$495 & $510 & $0 & $2 & $0 & $13 & $0 & $26 \\ \hline$510 & $525 & $0 & $2 & $0 & $14 & $2 & $28 \\ \hline$525 & $540 & $0 & $3 & $0 & $16 & $3 & $30 \\ \hline$540 & $555 & $0 & $5 & $0 & $17 & $5 & $32 \\ \hline$555 & $570 & $0 & $5 & $0 & $19 & $6 & $34 \\ \hline$570 & $585 & $0 & $8 & $0 & $20 & $8 & $35 \\ \hline$585 & $600 & $0 & $9 & $0 & $22 & $9 & $37 \\ \hline$600 & $615 & $0 & $11 & $0 & $23 & $11 & $39 \\ \hline$615 & $630 & \$0 & $12 & \$0 & $25 & $12 & $41 \\ \hline$630 & $645 & $0 & $14 & $0 & $26 & $14 & $43 \\ \hline$645 & $660 & $0 & $15 & $0 & $28 & $15 & $44 \\ \hline$660 & $675 & $0 & $17 & \$0 & $30 & $17 & $46 \\ \hline$675 & $690 & $0 & $18 & $0 & $31 & $18 & $48 \\ \hline$690 & $705 & $0 & $20 & $0 & $33 & $20 & $50 \\ \hline$705 & $720 & $0 & $21 & $0 & $35 & $21 & $52 \\ \hline$720 & $735 & $0 & $23 & $0 & $37 & $23 & $53 \\ \hline$735 & $750 & $0 & $24 & $0 & $39 & $24 & $55 \\ \hline$750 & $765 & $0 & $26 & $1 & $40 & $26 & $57 \\ \hline$765 & $780 & $0 & $27 & $3 & $42 & $27 & $59 \\ \hline$780 & $795 & \$0 & $29 & $4 & $44 & $29 & $61 \\ \hline$795 & $810 & $0 & $30 & $6 & $46 & $30 & $62 \\ \hline$810 & $825 & $0 & $32 & $7 & $48 & $32 & $64 \\ \hline$825 & $840 & $0 & $33 & $9 & $49 & $33 & $66 \\ \hline$840 & $855 & $0 & $35 & $10 & $51 & $35 & $68 \\ \hline$855 & $870 & $0 & $36 & $12 & $53 & $36 & $70 \\ \hline$870 & $885 & $0 & $38 & $13 & $55 & $38 & $71 \\ \hline$885 & $900 & $0 & $39 & $15 & $57 & $39 & $73 \\ \hline$900 & $915 & \$o & $41 & $16 & $58 & $41 & $75 \\ \hline$915 & $930 & $0 & $43 & $18 & $60 & $43 & $77 \\ \hline$930 & $945 & $0 & $45 & $19 & $62 & $45 & $79 \\ \hline$945 & $960 & $0 & $47 & $21 & $64 & $47 & $80 \\ \hline$960 & $975 & $0 & $48 & $22 & $66 & $48 & $82 \\ \hline$975 & $990 & $0 & $50 & $24 & $67 & $50 & $84 \\ \hline$990 & $1,005 & $0 & $52 & $25 & $69 & $52 & $86 \\ \hline$1,005 & $1,020 & $2 & $54 & $27 & $71 & $54 & $88 \\ \hline$1,020 & $1,035 & $3 & $56 & $28 & $73 & $56 & $89 \\ \hline$1,035 & $1,050 & $5 & $57 & $30 & $75 & $57 & $91 \\ \hline$1,050 & $1,070 & $6 & $60 & $31 & $77 & $60 & $94 \\ \hline$1,070 & $1,090 & $8 & $62 & $33 & $79 & $62 & $99 \\ \hline$1,090 & $1,110 & $10 & $64 & $35 & $82 & $64 & $103 \\ \hline$1,110 & $1,130 & $12 & $67 & $37 & $84 & $67 & $107 \\ \hline$1,130 & $1,150 & $14 & $69 & $39 & $86 & $69 & $112 \\ \hline$1,150 & $1,170 & $16 & $72 & $41 & $89 & $72 & $116 \\ \hline \end{tabular} 2022 Percentage Method Tables for Manual Payroll Systems With Forms W-4 From 2020 or Later BIWEEKLY Payroll Period \begin{tabular}{|c|c|c|c|c|c|c|c|c|c|} \hline \multicolumn{5}{|c|}{\begin{tabular}{c} STANDARD Withholding Rate Schedules \\ (Use these if the box in Step 2 of Form W-4 is NOT checked) \end{tabular}} & \multicolumn{5}{|c|}{\begin{tabular}{l} Form W-4, Step 2, Checkbox, Withholding Rate Schedules \\ (Use these if the box in Step 2 of Form W-4 IS checked) \end{tabular}} \\ \hline \multicolumn{2}{|c|}{\begin{tabular}{l} If the Adjusted \\ Wage Amount (line \\ lh) is: \end{tabular}} & \multirow{2}{*}{\begin{tabular}{l} The \\ tentative \\ amount to \\ withhold is: \end{tabular}} & \multirow[b]{2}{*}{\begin{tabular}{l} Plus this \\ percentage- \end{tabular}} & \multirow{2}{*}{\begin{tabular}{l} of the \\ amount that \\ the Adjusted \\ Wage \\ exceeds-- \end{tabular}} & \multicolumn{2}{|c|}{\begin{tabular}{l} If the Adjusted \\ Wage Amount (line \\ 1h) is: \end{tabular}} & \multirow{2}{*}{\begin{tabular}{l} The \\ -tentative \\ amount to \\ withhold is: \end{tabular}} & \multirow[b]{2}{*}{\begin{tabular}{l} Plus this \\ percentage- \end{tabular}} & \multirow{2}{*}{\begin{tabular}{l} of the \\ amount that \\ the Adjusted \\ Wage \\ exceeds-- \end{tabular}} \\ \hline At least- & \begin{tabular}{l} But less \\ than- \end{tabular} & & & & At least- & \begin{tabular}{l} But less \\ than- \end{tabular} & & & \\ \hline A & B & C & D & E & A & B & C & D & E \\ \hline \multicolumn{5}{|c|}{ Married Filing Jointly } & \multicolumn{5}{|c|}{ Married Filing Jointly } \\ \hline$0 & $996 & $0.00 & 0% & \$0 & $0 & $498 & $0.00 & 0% & $0 \\ \hline$996 & $1,787 & $0.00 & 10% & $996 & $498 & $893 & $0.00 & 10% & $498 \\ \hline$1,787 & $4,210 & $79.10 & 12% & $1,787 & $893 & $2,105 & $39.50 & 12% & $893 \\ \hline$4,210 & $7,848 & $369.86 & 22% & $4,210 & $2,105 & $3,924 & $184.94 & 22% & $2,105 \\ \hline$7,848 & $14,077 & $1,170.22 & 24% & $7,848 & $3,924 & $7,038 & $585.12 & 24% & $3,924 \\ \hline$14,077 & $17,608 & $2,665.18 & 32% & $14,077 & $7,038 & $8,804 & $1,332.48 & 32% & $7,038 \\ \hline$17,608 & $25,913 & $3,795.10 & 35% & $17,608 & $8,804 & $12,957 & $1,897.60 & 35% & $8,804 \\ \hline$25,913 & & $6,701.85 & 37% & $25,913 & $12,957 & & $3,351.15 & 37% & $12,957 \\ \hline \multicolumn{5}{|c|}{ Single or Married Filing Seperately } & \multicolumn{5}{|c|}{ Single or Married Filing Seperately } \\ \hline$0 & $498 & $0.00 & 0% & $0 & $0 & $249 & $0.00 & 0% & $0 \\ \hline$498 & $893 & $0.00 & 10% & $498 & $249 & $447 & $0.00 & 10% & $249 \\ \hline$893 & $2,105 & $39.50 & 12% & $893 & $447 & $1,052 & $19.80 & 12% & $447 \\ \hline$2,105 & $3,924 & $184.94 & 22% & $2,105 & $1,052 & $1,962 & $92.40 & 22% & $1,052 \\ \hline$3,924 & $7,038 & $585.12 & 24% & $3,924 & $1,962 & $3,519 & $292.60 & 24% & $1,962 \\ \hline$7,038 & $8,804 & $1,332.48 & 32% & $7,038 & $3,519 & $4,402 & $666.28 & 32% & $3,519 \\ \hline$8,804 & $21,263 & $1,897.60 & 35% & $8,804 & $4,402 & $10,632 & $948.84 & 35% & $4,402 \\ \hline$21,263 & & $6,258.25 & 37% & $21,263 & $10,632 & & $3,129.34 & 37% & $10,632 \\ \hline \end{tabular}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