Mattola Company is giving each of its employees a holiday bonus of $100 on December 13, 20- (a nonpayday). The company wants each employee's check to be $100. The supplemental tax percent is used. Nobody has capped for OASDI prior to the bonus check. As we go to press, the federal income tax rates for 2021 are being determined by budget talks in Washington and not available for publication. For this edition, the 2020 federal income tax tables for Manual Systems with Forms W-4 from 2020 or later with Standard withholding and 2020 FICA rates have been used. a. What will be the gross amount of each bonus if each employee pays a state income tax of 2.8% (besides the other payroll taxes)? You may need to add one penny to the gross so that net bonus is exactly $100.00. Round your calculations and final answers to the nearest cent. b. What would the net amount of each bonus check be if the company did not gross-up the bonus? Round your intermediary calculations to the nearest cent. TABLE OF ALLOWANCE VALUES FOR PERCENTAGE METHOD TABLES FOR MANUAL PAYROLL SYSTEMS WITH FORMS W-4 FROM 2019 OR EARLIER Payroll Period One Withholding Allowance Weekly $ 83.00 Biweekly 165.00 Semimonthly 179.00 Monthly 358.00 Quarterly N. 1,075.00 Semiannually 2,150.00 Annually 4,300.00 Daily or miscellaneous (each day of the payroll period) 17.00 2020 Percentage Method Tables for Manual Payroll Systems with Forms W44 From 2019 or Earlier WEEKLY Payrol Perlod NARRED Persons SINGLE Penons I the Adjusted Wage of the W the Adjusted Wage Amount (line 1d is amount Amount (Wne 1d) is The tentative Plus this The tentative Plus this amount that But less amount to percentage wage But loss amount o percentage he waga withhold - exceeds... at least... than... wilholdi... C E 3 C $0.00 $0 $0.00 $229 $73 30.00 $38.00 $309 $8.45 $3.518 $177.56 $845 $88.84 226 3.510 $561 68 $3.518 $1.718 3213 $280.90 510 56.510 $3,213 $639.70 $12 191 $1.821.84 $8,204 $10.042 $12.191 37% $12.191 $10.042 $3004 41 $10.042 35% BIWEEKLY Payroll Period MARRIED Pons SINGLE Pensions I the Adjusted Wage Amount dine 10 is of the Adjusted Wage Amount (line 1d) is of the amount Plus this percentage wage The tentative amount to withhold is.... But less of the The tentative Plus this mount that Mount to percentage the wage withhold is Bulles at least... B B $18 c $0.00 $0.00 $38 00 101 $458 $1217 0.00 $75.90 $145 $5.26 $526 $7,037 $3,019 $3438 1642 $7037 $7.00 $336 SEMIMONTHLY Payroll Period MARRIED Persons SINGLE Persons than... the Adjusted Wage of the if the Adjusted Wage Amount (line 1d) is amount Amount (line 1d) is The tentative Plus this that the But less amount to percentage wage But less at least... withhold is... exceeds... at least... than... B C D E B $0.00 0% $0 $0 $158 $496 $1,319 $0.00 10% $496 $158 $570 $1,319 $3,840 $82.30 12 $1,319 $570 $1.830 $3,840 $7.623 $384.82 229 $3,840 $1.830 $3,722 $1.217.08 249 $7.623 $3.722 $6.963 $2,772 52 $14,104 $6.963 $8.798 $17 775 $26,415 359 $17.775 $8,798 $21.758 $26 415 $6.971 24 3796 $26.415 $21,758 of the The tentative Plus this amount that amount to percentage the wage withhold Is... exceeds... D E $0.00 00 $0.00 10% 12 $570 $192.40 $808.64 $3.722 $1 386.48 $6.963 $1.973.68 $8,798 $6,509 68 $21.758 MONTHLY Payroll Period HARRIED Persons SINGLE Persons W the Adjusted Wage Amount (line id) is If the Adjusted Wage Amount (line 1d) is The tentative of the amount Plus this that the percentage wie exceeds But less Bul less The tentative Plus this amount that amount to percentage the wage at least at least B D 10 $110 TO $2.638 57.679 $123 SH 2020 Percentage Method Tables for Manual Payroll Systems With Forms W-4 From 2019 or Earlier QUARTERLY Payroll Period MARRIED Persons SINGLE Persons I the Adjusted Wage Amount (line 1d) is If the Adjusted Wage Amount (line 1d) is of the amount The tentative Plus this that the amount to percentage wage withhold is... exceeds... of the The tentative Plus this amount that amount to percentage the wage withhold is.... exceeds. But less But less than... at least... at least... E B A C os $2.975 $7.913 B $2,975 $7,913 $23,038 $45,738 $84.625 $0.00 $493.80 $2.308.80 $7 302.80 $16.635 68 3.683.08 D 0 10% 1296 22% 24% $2.975 $7.913 $23, 038 $45.738 A $0 $950 $3.419 $ 10,981 $22331 $3,419 $10.981 $22.331 $41.775 $52.788 $1301550 C $0.00 $0.00 $246.90 $1 154 34 $3651 34 $8.317.90 $11 8462 06 $39.058,76 $10 981 522 331 $41.775 $52,788 $130.550 $158.488 $52.788 $106.550 $158.488 SEMIANNUAL Payroll Period SINGLE Persons the Adjusted Wage Amount (line 1d is it the Adjusted Wage Amount neidis amosant The tentative Plus this amount to of the The tentative Plus this amount that amount to percentage the wage withhold exceeds. But less Bulless than D A E SO $1.900 $6.838 B $5.950 $15.825 $46.075 $91,475 $169.250 $213.300 $5.950 $15.825 $46.075 $91 475 $169 250 $0.00 $98750 $4 617 50 $14.605 50 $33.271.50 12 22. $5.950 $15 Seos sos So SON $ 000 $63 263 $444 SIS $1900 $_38 963 068 $89.550 SOSTS @ $0.00 $0.00 $493 0 $2.308 80 $300 80 $16.838 68 544 683 $83 550 32