Example $3-1$

Casey Berra, employed by Gobel Company, earned $$460$ during the week ended January $25,20-.$ Prior to January $25,$ Berra's cumulative gross earnings for the year were $$2,765,70.$ FICA taxes to be withheld on $$460$ are computed as follows:

OASDI

Taxable Wages

Tax Rate

OASDI Tax to Be Withheld

HI

Taxable Wages

Tax Rate

HI Tax to Be Withheld

$$460$

$1\mathrm{.}45\%$

$$6\mathrm{.}67$

Francis Aha, a salaried employee of Wilson Advertising Agency, is paid every Friday. She earned $$1,925$ for this pay. Prior to the pay of November $1,20--,$ she had earned $$159,750.$ The FICA taxes to be withheld from Aha's pay on November $1$ are computed as follows:

OASDI

Taxable Wage Limit

Wages Paid to Date

Taxable Wages This Pay

Tax Rate

OASDI Tax to Be Withheld

$\backslash$table$[[$$$160,200$