Payroll Accounting Class (2301-900)

Cengage - eBook Bieg/Toland's Payroll Accounting (2021, 31th Edition)

Ch. 3: Problem Case 3-5A

I need help with finding the formula used to get the answer

OASDI Taxable Wage Base = 137,700

3-5A LO 3 See Example 3.1 In 20-- the annual salaries paid each of the officers of Abrew, Inc., follow. The officers are paid semimonthly on the 15th and the last day of the month. Compute the FICA taxes to be withheld from each officer's pay on (a) November 15 and (6) December 31. November 15 Name and Title Annual OASDI OASDI Tax HI Taxable HI Tax Salary Taxable Earnings Earnings Hanks, Timothy, President $163,200 Grath, John, VP Finance 138,000 James, Sally, VP Sales 69,600 Kimmel, Joan, VP Mfg. 54,000 Wie, Pam, VP Personnel 51,600 Grant, Mary, VP Secretary 49,200 b. December 31 Name and Title Annual OASDI OASDI Tax HI Taxable HI Tax Salary Taxable Earnings Earnings Hanks, Timothy, President $163,200 Grath, John, VP Finance 138,000 James, Sally, VP Sales 69,600 Kimmel, Joan, VP Mfg. 54,000 Wie, Pam, VP Personnel 51,600 Grant, Mary, VP Secretary 49,200 Answer +