Percentage Method Tables for Income Tax Withholding (For Wages Paid in 2018) TABLE 1-WEEKLY Payroll Period SO (a) SINGLE person (ncluding head of household) (b) MARRIED person- If the amount of wages If the amount of wages (after subtracting The amount of income tax (after subtracting The amount of income tax withholding allowances) is: to withhold is: withholding allowances) is: to withhold is: Not over $71. Not over $222 ... Over But not over- of excess over-Over- But not over- of excess over- $71 $254.. $0.00 plus 10% $71 $222 $588 .. $0.00 plus 10% -$222 $254 -$815 $18.30 plus 12% - $254 $588 - $1,711 .. $36.60 plus 12% -$588 $815 - $1,658 .. $85.62 plus 22% $815 $1,711 - $3,395 $171.36 plus 22% -$1,711 $1,658 $3,100 $271.08 plus 24% -$1,658 $3,395 - $6,280 .. 9541.84 plus 24% -33,395 $3,100 -$3,917 . $617.16 plus 32% -$3,100 $6,280 -$7,914 $1,234.24 plus 32% $6,280 $3,917 -$9,687 $878.60 plus 35% -$3,917 $7,914 -$11.761 $1,757.12 plus 35% -$7,914 $9.587. .... $2,898.10 plus 37% -9.687 $11,761........... $3, 103.57 plus 37% $11,761 TABLE 2-BIWEEKLY Payroll Period (a) SINGLE person (including head of household) (b) MARRIED person- If the amount of wages If the amount of wages (after subtracting The amount of income tax (after subtracting The amount of income tax withholding allowances) is: to withhold is: withholding allowances) is: to withhold is: Not over $142 .... Not over $444....... Over- But not over- of excess over- Over- But not over- of excess over- $142 -$509 .. $0.00 plus 10% $142 $444 -$1,177 .. $0.00 plus 10% -$444 $509 -$1,631 .. $36.70 plus 12% -$509 $1,177 -$3,421 .. $73.30 plus 12% $1,631 -$3,315 . . $171.34 plus 22% -$1.631 $3,421 - $6,790 $342.58 plus 22% -S3,421 $3,315 -$5,200 $541.82 plus 24% -$3,315 $6,790 -$12,560 . . $1,083.76 plus 24% -$6.790 S6.200 -S7.835 $1.234.22 plus 32% -S6200 S12.560 -515.829 S2.468.56 plus 32% -$12.560 $7,835 --$19,373 , S1757.42 plus 35% -S7835 $15,829 -$23,521 .. $3.514.64 plus 35% -$15,829 $19.373 . . . . $5.795.72 plus 37% -$19.373 $23.521. ....... $6.206.84 plus 37% ---$23,521 TABLE 2-BIWEEKLY Payroll Period 15 -S1.177 a $142 SO 00 9909 (a) SINGLE person (including head of household) (b) MARRIED person- If the amount of wages If the amount of wages (after subtracting ances) is (after subtracting The amount of income tax (after subtracting The amount of income tax withholding allowances) is: to withhold is: withholding allowances) is: to withhold is: Not over $142.-. Not over $444....... Over- But not over- of excess over- Over- But not over- of excess over- $142 -$509 .. $0.00 plus 10% -$142 $444 -$1,177 .. $0.00 plus 10% -$444 $509 --$1,631.. $36.70 plus 12% -$509 $1,177 -$3,421 .. $73.30 plus 12% $1,177 $1,631 -$3,315 . . $171.34 plus 22% -$1.631 $3,421 - $6,790.. $342.58 plus 22% --$3.421 $3,315 -$5,200 $541.82 plus 24% -$3,315 $6,790 $12,560 . . $1,083.76 plus 24% -$6.790 S6.200 -S7.835. S1.234.22 plus 32% -S6200 S12.560 -515.829 S2.468.56 plus 32% -$12.560 $7,835 -$19.373 . $1.757.42 plus 35% -S7835 $15,829 -$23,521 .. $3.514.64 plus 35% - $15.829 $19.373 $5.795.72 plus 37% -$19.373 $23,521 .... $6.206.84 plus 37% -$23.521 TABLE 3-SEMIMONTHLY Payroll Period 2 1132 352 (a) SINGLE person (including head of household) (b) MARRIED person- If the amount of wages If the amount of wages (after subtracting The amount of income tax (after subtracting The amount of income tax withholding allowances) is: to withhold is: withholding allowances) is: to withhold is: Not over $154. .. SO Not over $481 Over- But not over- of excess over-Over- But not over- of excess over- $154 -$551 Soon plis 10% -$154 $481 -$1.975 $0.00 plus 10% -$481 $551 -$1,767 $39.70 plus 12 -S551 $1,275 -$3,706 $79.40 plus 12% -$1,275 $1,767 - $3,592 . $185.62 plus 22% -$1.767 $3,706 -$7,356 .. $371.12 plus 22% --$3,706 $3,592 -$6,717 $587.12 plus 24% -$3,592 $7,356 -$13,606 $1,174.12 plus 24% -$7,356 $6,717 -$8,488 $1,337.12 plus 32% _$6,717 $13,606 -$17.148. $2,674.12 plus 32% -$13,606 $8,488 $20,989 $1,903.84 plus 35% S8,488 $17,148 -$25,481 .. $3,807.56 plus 35% $17,148 $20,988 $6.278.84 plus 379 -$20.988 $25,481. $6,724.11 plus 37% CSS, 401 TABLE 4MONTHLY Payroll Period (a) SINGLE person (including head of household) (b) MARRIED person- If the amount of wages If the amount of wages (after subtracting The amount of income tax (aftoroubtracting The amount of income tax withholding allowances) is to withhold is: withholding allowances) is: to withhold is: Not over $308 ....... SO Not over $063 ....... Over- But not over- of excess over-Over- But not over- of excess over- $308 -$1,102 $0.00 plus 10% -$308 $963 - $2,550..S0.00 plus 10% -$963 $1,102 -$3,533.. $79.40 plus 12% -$1,102 $2,550 $7,413 .. $158.70 plus 12% -$2,550 $3,533 -S7,183 .. $371.12 plus 22% -$3,533 $7,413 -$14,713 .. $742.26 plus 22% -$7,413 $7,183 -$13.433 . $1,174.12 plus 24% -S7183 $14,713 -$27,213 . $2,348.26 plus 24% -$14,713 $13,433 -$16.975 .. $2,674.12 plus 32% -$13,433 $27,213 -$34,296 .. $5,348.26 plus 32% -$27,213 $16,975 -$41,975 $3,807.56 plus 35% -$16,975 $34,296 -$50,963 $7,614.82 plus 35% $34.296 $41,975 .. .... $12.557.56 plus 37% -$41.975 $50.963. $13.448.27 plus 37% -$50,963 TABLE 9.1 Percentage method income tax withholding allowances Payroll Period Weekly ......... Biweekly ........ Semimonthly ... Monthly ........ Quarterly .......... .. .. ... Semiannually ............... .. Annually......... Daily or miscellaneous (each day of the payroll period) ............ One Withholding Allowance $ 79.80 159.60 172.90 345.80 1,037.50 2,075.00 4,150.00 16.00 The San Bernardino County Fair hires about 80 people during fair time. Their hourly wages range from $5.10 to $7.80. California has a state income tax of 9%. Sandy Denny earns $7.80 per hour; George Barney earns $5.10 per hour (assume this is the current minimum wage). They both worked 40 hours this week. Both are married; however, Sandy claims 2 exemptions and George claims 1 exemption. Assume a rate of 6.2% on $128,400 for Social Security and 1.45% for Medicare. a. What is Sandy's net pay after FIT (use the Table 9.1 and Table 9.2), Social Security tax, state income tax, and Medicare have been taken out? (Round your answer to the nearest cent.) Sandy's net pay after FIT b. What is George's net pay after the same deductions? (Round your answer to the nearest cent.) George's net pay after FIT J c. How much more is Sandy's net pay versus George's net pay? (Round your answer to the nearest cent.) Difference in net pay Percentage Method Tables for Income Tax Withholding (For Wages Paid in 2018) TABLE 1-WEEKLY Payroll Period SO (a) SINGLE person (ncluding head of household) (b) MARRIED person- If the amount of wages If the amount of wages (after subtracting The amount of income tax (after subtracting The amount of income tax withholding allowances) is: to withhold is: withholding allowances) is: to withhold is: Not over $71. Not over $222 ... Over But not over- of excess over-Over- But not over- of excess over- $71 $254.. $0.00 plus 10% $71 $222 $588 .. $0.00 plus 10% -$222 $254 -$815 $18.30 plus 12% - $254 $588 - $1,711 .. $36.60 plus 12% -$588 $815 - $1,658 .. $85.62 plus 22% $815 $1,711 - $3,395 $171.36 plus 22% -$1,711 $1,658 $3,100 $271.08 plus 24% -$1,658 $3,395 - $6,280 .. 9541.84 plus 24% -33,395 $3,100 -$3,917 . $617.16 plus 32% -$3,100 $6,280 -$7,914 $1,234.24 plus 32% $6,280 $3,917 -$9,687 $878.60 plus 35% -$3,917 $7,914 -$11.761 $1,757.12 plus 35% -$7,914 $9.587. .... $2,898.10 plus 37% -9.687 $11,761........... $3, 103.57 plus 37% $11,761 TABLE 2-BIWEEKLY Payroll Period (a) SINGLE person (including head of household) (b) MARRIED person- If the amount of wages If the amount of wages (after subtracting The amount of income tax (after subtracting The amount of income tax withholding allowances) is: to withhold is: withholding allowances) is: to withhold is: Not over $142 .... Not over $444....... Over- But not over- of excess over- Over- But not over- of excess over- $142 -$509 .. $0.00 plus 10% $142 $444 -$1,177 .. $0.00 plus 10% -$444 $509 -$1,631 .. $36.70 plus 12% -$509 $1,177 -$3,421 .. $73.30 plus 12% $1,631 -$3,315 . . $171.34 plus 22% -$1.631 $3,421 - $6,790 $342.58 plus 22% -S3,421 $3,315 -$5,200 $541.82 plus 24% -$3,315 $6,790 -$12,560 . . $1,083.76 plus 24% -$6.790 S6.200 -S7.835 $1.234.22 plus 32% -S6200 S12.560 -515.829 S2.468.56 plus 32% -$12.560 $7,835 --$19,373 , S1757.42 plus 35% -S7835 $15,829 -$23,521 .. $3.514.64 plus 35% -$15,829 $19.373 . . . . $5.795.72 plus 37% -$19.373 $23.521. ....... $6.206.84 plus 37% ---$23,521 TABLE 2-BIWEEKLY Payroll Period 15 -S1.177 a $142 SO 00 9909 (a) SINGLE person (including head of household) (b) MARRIED person- If the amount of wages If the amount of wages (after subtracting ances) is (after subtracting The amount of income tax (after subtracting The amount of income tax withholding allowances) is: to withhold is: withholding allowances) is: to withhold is: Not over $142.-. Not over $444....... Over- But not over- of excess over- Over- But not over- of excess over- $142 -$509 .. $0.00 plus 10% -$142 $444 -$1,177 .. $0.00 plus 10% -$444 $509 --$1,631.. $36.70 plus 12% -$509 $1,177 -$3,421 .. $73.30 plus 12% $1,177 $1,631 -$3,315 . . $171.34 plus 22% -$1.631 $3,421 - $6,790.. $342.58 plus 22% --$3.421 $3,315 -$5,200 $541.82 plus 24% -$3,315 $6,790 $12,560 . . $1,083.76 plus 24% -$6.790 S6.200 -S7.835. S1.234.22 plus 32% -S6200 S12.560 -515.829 S2.468.56 plus 32% -$12.560 $7,835 -$19.373 . $1.757.42 plus 35% -S7835 $15,829 -$23,521 .. $3.514.64 plus 35% - $15.829 $19.373 $5.795.72 plus 37% -$19.373 $23,521 .... $6.206.84 plus 37% -$23.521 TABLE 3-SEMIMONTHLY Payroll Period 2 1132 352 (a) SINGLE person (including head of household) (b) MARRIED person- If the amount of wages If the amount of wages (after subtracting The amount of income tax (after subtracting The amount of income tax withholding allowances) is: to withhold is: withholding allowances) is: to withhold is: Not over $154. .. SO Not over $481 Over- But not over- of excess over-Over- But not over- of excess over- $154 -$551 Soon plis 10% -$154 $481 -$1.975 $0.00 plus 10% -$481 $551 -$1,767 $39.70 plus 12 -S551 $1,275 -$3,706 $79.40 plus 12% -$1,275 $1,767 - $3,592 . $185.62 plus 22% -$1.767 $3,706 -$7,356 .. $371.12 plus 22% --$3,706 $3,592 -$6,717 $587.12 plus 24% -$3,592 $7,356 -$13,606 $1,174.12 plus 24% -$7,356 $6,717 -$8,488 $1,337.12 plus 32% _$6,717 $13,606 -$17.148. $2,674.12 plus 32% -$13,606 $8,488 $20,989 $1,903.84 plus 35% S8,488 $17,148 -$25,481 .. $3,807.56 plus 35% $17,148 $20,988 $6.278.84 plus 379 -$20.988 $25,481. $6,724.11 plus 37% CSS, 401 TABLE 4MONTHLY Payroll Period (a) SINGLE person (including head of household) (b) MARRIED person- If the amount of wages If the amount of wages (after subtracting The amount of income tax (aftoroubtracting The amount of income tax withholding allowances) is to withhold is: withholding allowances) is: to withhold is: Not over $308 ....... SO Not over $063 ....... Over- But not over- of excess over-Over- But not over- of excess over- $308 -$1,102 $0.00 plus 10% -$308 $963 - $2,550..S0.00 plus 10% -$963 $1,102 -$3,533.. $79.40 plus 12% -$1,102 $2,550 $7,413 .. $158.70 plus 12% -$2,550 $3,533 -S7,183 .. $371.12 plus 22% -$3,533 $7,413 -$14,713 .. $742.26 plus 22% -$7,413 $7,183 -$13.433 . $1,174.12 plus 24% -S7183 $14,713 -$27,213 . $2,348.26 plus 24% -$14,713 $13,433 -$16.975 .. $2,674.12 plus 32% -$13,433 $27,213 -$34,296 .. $5,348.26 plus 32% -$27,213 $16,975 -$41,975 $3,807.56 plus 35% -$16,975 $34,296 -$50,963 $7,614.82 plus 35% $34.296 $41,975 .. .... $12.557.56 plus 37% -$41.975 $50.963. $13.448.27 plus 37% -$50,963 TABLE 9.1 Percentage method income tax withholding allowances Payroll Period Weekly ......... Biweekly ........ Semimonthly ... Monthly ........ Quarterly .......... .. .. ... Semiannually ............... .. Annually......... Daily or miscellaneous (each day of the payroll period) ............ One Withholding Allowance $ 79.80 159.60 172.90 345.80 1,037.50 2,075.00 4,150.00 16.00 The San Bernardino County Fair hires about 80 people during fair time. Their hourly wages range from $5.10 to $7.80. California has a state income tax of 9%. Sandy Denny earns $7.80 per hour; George Barney earns $5.10 per hour (assume this is the current minimum wage). They both worked 40 hours this week. Both are married; however, Sandy claims 2 exemptions and George claims 1 exemption. Assume a rate of 6.2% on $128,400 for Social Security and 1.45% for Medicare. a. What is Sandy's net pay after FIT (use the Table 9.1 and Table 9.2), Social Security tax, state income tax, and Medicare have been taken out? (Round your answer to the nearest cent.) Sandy's net pay after FIT b. What is George's net pay after the same deductions? (Round your answer to the nearest cent.) George's net pay after FIT J c. How much more is Sandy's net pay versus George's net pay? (Round your answer to the nearest cent.) Difference in net pay