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For each employee listed, use the wage-bracket method to calculate federal income tax withholding, assuming that each has submitted a pre-2020 Form W-4. Then
For each employee listed, use the wage-bracket method to calculate federal income tax withholding, assuming that each has submitted a pre-2020 Form W-4. Then calculate both the state income tax withholding (assuming a state tax rate of 5.0% of taxable pay, with taxable pay being the same for federal and state income tax withholding), and the local income tax withholding. Refer to Publication 15-T NOTE: For simplicity, all calculations throughout this exercise, both intermediate and final, should be rounded to two decimal places at each calculation 1: Paul Bronson (single, 1 federal withholding allowance) earned weekly gross pay of $1.247. For each period, he makes a 401(k) retirement plan contribution of 10% of gross pay. The city in which he works (he lives elsewhere) levies a tax of 1.5% of an employee's taxable pay (which is the same for federal and local Income tax withholding) on residents, and 0.8% of an employee's taxable pay on nonresidents Federal income tax withholding $ State income tax withholding-S Local income tax withholding S 2 Stephen McPherson (manted; 5 federal withholding allowances) earned weekly gross pay of $980. He participates in a flexible spending account, to which he contributes $75 during the period. The city in which he lives and works levies a tax of 2.3% of an employee's taxable pay (which is the same for federal and local income tax withholding) on residents, and 1.6% of an employee's taxable pay on nonresidents. Federal Income tax withholding-S State income tax withholding S Local income tax withholding S 3 Tyler Howard (marned, 4 federal withholding allowances) eamed weekly gross pay of $1,310, For each period, be makes a 403(b) retirement plan contribution of 7% of gross pay. The city in which he lives and works levies a tax of 1.4% of an employee's taxable pay (which is the same for federal and local income tax withholdings on both residents and nonresidents Federal income tax withholdings State income tax withholding 5 Local income tax withholding D
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