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For each of the following employees, calculate both the Social Security tax and the Medicare tax for the weekly pay period described: For simplicity, all
For each of the following employees, calculate both the Social Security tax and the Medicare tax for the weekly pay period described: For simplicity, all calculations throughout this exercise, both intermediate and final, should be rounded to two decimal places at each calculation.
1: Bradley Banks' filing status is qualifying widower, and he has earned gross pay of $1,570. Each period he makes a 401(k) contribution of 6% of gross pay and makes a contribution of 2% of gross pay to a flexible spending account. His current year taxable earnings for Social Security tax and Medicare tax, to date, are $212,900. 0.00 Social Security tax = $ Medicare tax = $ 36.16 2: Kyle Struck's filing status is single, and he has earned gross pay of $2,400. Each period he makes a 403(b) contribution of 9% of gross pay; and makes a contribution of 1.5% of gross pay to a cafeteria plan. His current year taxable earnings for Social Security tax and Medicare tax, to date, are $199,500. 0.00 Social Security tax = $ Medicare tax = $ 51.05 3: Sebastian Wayne's filing status is married filing jointly, and he has earned gross pay of $3,820. Each period he makes a 401(k) contribution of 10% of gross pay and contributes $150 to a dependent care flexible spending account. His current year taxable earnings for Social Security tax and Medicare tax, to date, are $92,500. Social Security tax = $ 227.54 Medicare tax = $ 53.22 4: Lukas Douglas' filing status is married filing separately, and he has earned gross pay of $2,000. Each period he makes a 403(b) contribution of 12% of gross pay and contributes $75 to a cafeteria plan. His current year taxable earnings for Social Security tax and Medicare tax, to date, are $132,600. Social Security tax = $ 18.60 Medicare tax = $ 126.48 XStep by Step Solution
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