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is general manager of NationalNational Salons. During 2016, Worthington worked for the company all year at a $12,200 monthly salary. He also earned a year-end

is general manager of

NationalNational

Salons. During

2016,

Worthington

worked for the company all year at a

$12,200

monthly salary. He also earned a year-end bonus equal to

10%

of his annual salary.

Worthington

federal income tax withheld during

2016

was

$976

per month, plus

$1,464

on his bonus check. State income tax withheld came to

$140

per month, plus

$120

on the bonus. FICA tax was withheld on the annual earnings.

Worthington

authorized the following payroll deductions: Charity Fund contribution of

44%

of total earnings and life insurance of

$ 25

per month.

For all payroll calculations, use the following tax rates and round amounts to the nearest cent:

Employee:

OASDI:

6.2%

on first

$117,000

earned; Medicare:

1.45%

up to

$200,000,

2.35%

on earnings above

$200,000.

Employer:

OASDI:

6.2.%

on first

$117,000

earned; Medicare:

1.45%

on allearnings; FUTA:

0.6%

on first

$7,000

earned; SUTA:

5.4%

on first

$7,000

earned.

Compute

WorthingtonWorthington's

gross pay, payroll deductions, and net pay for the full year

20162016.

Round all amounts to the nearest dollar.

Begin by computing

WorthingtonWorthington's

gross pay for the year

Now compute

WorthingtonWorthington's

payroll deductions and net pay for the year

withholding's deductions

net take home pay

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