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Example 3-2 Wallington Company has 100 employees, each earning $525.25 a week. OASDI Amount of OASDI tax withheld from each employee's paycheck each week:
Example 3-2 Wallington Company has 100 employees, each earning $525.25 a week. OASDI Amount of OASDI tax withheld from each employee's paycheck each week: $32.57 (6.2% x $525.25) Total tax withheld from the 100 employees' wages: $3,257.00 ($32.57 x 100) Tax on employer: $3,256.55 [6.2% ($525.25 x 100)] HI Amount of HI tax withheld from each employee's paycheck each week: $7.62 (1.45% x $525.25) Total tax withheld from the 100 employees' wages is: Tax on employer: $762.00 $761.61 ($7.62 x 100) [1.45% x ($525.25 x 100)] Audrey Martin and Beth James are partners in the Country Gift Shop, which employs the individuals listed below. Paychecks are distributed every Friday to all employees. Based on the information given, compute the amounts listed below for a weekly payroll period. Hint: It is important to ascertain whether a person's wages are considered wages or drawings. If an amount is zero, enter "0". Round your answers to the nearest cent. Name and Position Salary Zena Vertin, Office Nicole Norge, Sales $730 per week 1,880 per month Bob Mert, Delivery 475 per week Audrey Martin, Partner 796 per week Beth James, Partner 796 per week Totals OASDI Taxable Earnings OASDI Tax HI Taxable Earnings HI Tax +A +A Employer's OASDI Tax Employer's HI Tax
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