Olivia Newton works for MRK all year and earns a monthly salary of $12,500. There is no overtime pay. Olivia's income tax withholding rate is 24% of gross pay. In addition to payroll taxes, Olivia elects to contribute 1% monthly to United Way. MRK also deducts $125 monthly for co-payment of the health insurance premium. As of September 30, Olivia had $125,000 of cumulative earnings. (Click the icon to view payroll tax rate information.) Read the requirements. Requirement 1. Compute Olivia's net pay for October. (Round all amounts to the nearest cent.) Gross pay Withholding deductions: Employee income tax 1250 12500 Employee OASDI tax Employee Medicare tax Employee health insurance Employee contribution to United Way Total withholdings Net (take-home) pay More info For all payroll calculations, use the following tax rates and round amounts to the nearest cent: Employee: Employer: OASDI: 6.2% on first $132,900 earned; Medicare: 1.45% up to $200,000, 2.35% on earnings above $200,000. OASDI: 6.2% on first $132,900 earned; Medicare: 1.45%; FUTA: 0.6% on first $7,000 earned; SUTA: 5.4% on first $7,000 earned. Print Done