Exercise 9-11A (Algo) Calculating employee and employer payroll taxes LO 9-5 Sky Company employed Tom Mills in Year 1 . Tom earned $5,200 per month and worked the entire year. Assume the Social Security tax rate is 6 percent for the first $130,000 of eamings, and the Medicare tax rate is 1.5 percent. Tom's federal income tax withholding amount is $890 per month. Use 5.4 percent for the state unemployment tax rate and 0.6 percent for the federal unemployment tax rate on the first $7,000 of eamings per employee. Required a. Answer the following questions: 1. What is Tom's net puy per month? 2. What amount does Tom pay monthly in FICA taxes? 3. What is the total payroll tax expense for Siky Company for January. Year 1? February, Year 1? March, Year t? December, Year 1 ? b. Assume that instead of $5,200 per month Tom earned $11,600 per month, Based on this new level of income Tom's new federal income tax withhoiding is $2,000. Answer the following questions. 1. What is Tom's net pay per month? 2. What amount does Tom pay monthly in FICA payroll taxes? 3. What is the totai payroll tax expense for Sky Company for January. Year t? February, Year 1? March, Year t? December, Year 1? Complete this question by entering your answers in the tabs below, What is Tom's net pay per month? Note: Round your-answer to 2 decimal ploces, Income tax withholding is $2,000. Answer the following questions. 1. What is Tom's net pay per month? 2. What amount does Tom pay monthly in FICA payroll taxes? 3. What is the total payroll tax expense for Sky Company for January, Year 1 ? February, Year 1 ? March, Year 1 ? December, Year 1 ? Complete this question by entering your answers in the tabs below. What amount does Tom pay monthly in FICA taxes? Note: Round your answer to 2 decimal places. Complete this question by entering your answers in the tabs below. What is the total payroll tax expense for Sky Company for January, Year 1 ? Fobruary, Year 17 March, Year 17 December, Year 17 Hote: Round yout answers to 2 derimal places. What amount does Tom pay monthly in FICA payroll taxes? What is the total payroll tax expense for Sky Company for January, Year 1 ? February, Year 1? March, Year 1 ? December, Year 1 ? Complete this question by entering your answers in the tabs below. Assume that instead of $5,200 per month Tom earned $11,600 per month. Based on this new level of income Tom's new federal income tax withholding is $2,000. What is Tom's net pay? Note: Round your answers to 2 decimal places. Complete this question by entering your answers in the tabs below. Assume that instead of $5,200 per month Tom eamed $11,600 per month. Aased on this new level of income Tom's new federal income tax withholding is $2,000. What amount does Tom pay monthly in FICA payroll taxes? Note: Round your answers to 2 decimal placett. What is Tom's net pay per month? What amount does Tom pay monthly in FICA payroll taxes? What is the total payroll tax expense for Sky Company for January, Year 1 ? February, Year 1? March. Year 1? December, Year 1 Complete this question by entering your answers in the tabs below. Assume that instead of 55,200 per month Tom earned 411,600 per month. Based on this new level of income Tom's new federal income tax withholding is $2,000. What is the total payroll tax expense for Sty Company for January, Year 17 February. Year 17 March, Year 27 December, Vear 17 Note: Round your answers to 2 decimal places
