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Sky Company employed Tom Mills in Year 1 . Tom earned $5,700 per month and worked the entire year. Assume the Social Security tax rate

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Sky Company employed Tom Mills in Year 1 . Tom earned $5,700 per month and worked the entire year. Assume the Social Security tax rate is 6 percent for the first $130,000 of earnings, and the Medicare tax rate is 1.5 percent. Tom's federal income tax withholding amount is $940 per month. Use 5.4 percent for the state unemployment tax rate and 0.6 percent for the federal unemployment tax rate on the first $7,000 of earnings per employee. Required a. Answer the following questions: 1. What is Tom's net pay per month? 2. What amount does Tom pay monthly in FICA taxes? 3. What is the total payroll tax expense for Sky Company for January, Year 1? February, Year 1? March, Year 1? December, Year 1? b. Assume that instead of $5,700 per month Tom earned $11,400 per-month. Based on this new level of income Tom's new federal income tax withholding is $2,000. Answer the following questions. 1. What is Tom's net pay per month? 2. What amount does Tom pay monthly in FiCA payroll taxes? 3. What is the total payroll tax expense for Sky Company for January, Year 1? February, Year 1? March, Year 1? December, Year 1? Complete this question by entering your answers in the tabs below. What is Tom's net pay per month? Note: Round your answer to 2 decimal places. What amount does Tom pay monthly in FICA taxes? Note: Round your answer to 2 decimal places. What is the total payroll tax expense for Sky Company for January, Year 1? February, Year 1 ? March, Year 1 ? December, Year 17 Note: Round your answers to 2 decimal places. Assume that instead of $5,700 per month Tom eamed $11,400 per month. Based on this new level of incomn Tom's new federal income tax withholding is $2,000. What is Tom's net psy? Note: Round your answers to 2 decimal places. Assume that instead of $5,700 per month Tom eamed $11,400 per month. Based on this new level of incame Tom's new federnl income tax withholding is $2,000. What amount does Tom psy monthly in fiCA payroll taxes? Note: Round your answers to 2 . decimal places. Assume that instead of $5,700 per month Tom earned $11,400 per month. Based on this new level of income Tom's new federal income tax withholding is $2,000. What is the total payroll tax expense for Sky Company for Janoary, Year i2? february, Year 1 ? March, Year 1 ? December, Year 1? Note: Round your answers to 2 decimal places

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