PSa 4-3 Calculate Medicare Tax

For each of the following employees, calculate the Medicare tax for the weekly pay period described:

NOTE:For simplicity, all calculations throughout this exercise, both intermediate and final, should be rounded to two decimal places at each calculation.

1:

Paul Robinson's filing status is married filing jointly, and he has earned gross pay of $2,650. Each period he makes a 403(b) contribution of 8% of gross pay . His current year taxable earnings for Medicare tax, to date, are $274,000.

Total Medicare Tax = $

2:

Stephen Belcher's filing status is single, and he has earned gross pay of $1,860. Each period he makes a 401(k) contribution of 9% of gross pay and contributes 1% of gross pay to a dependent care flexible spending plan. His current year taxable earnings for Medicare tax, to date, are $198,250.

Total Medicare Tax = $

3:

Sidney Black's filing status is head of household, and he has earned gross pay of $970. Each period he contributes $50 to a flexible spending plan. His current year taxable earnings for Medicare tax, to date, are $86,400.

Total Medicare Tax = $

4:

Bill Clay's filing status is married filing separately, and he has earned gross pay of $1,860. Each period he makes a 403(b) contribution of 12% of gross pay and contributes $65 to a cafeteria plan. His current year taxable earnings for Medicare tax, to date, are $199,500.

Total Medicare Tax