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the 6600 is wrong and the 400 for the futa and suta are wrong BMX Company has one employee. FICA Social Security taxes are 6.2
the 6600 is wrong and the 400 for the futa and suta are wrong
BMX Company has one employee. FICA Social Security taxes are 6.2 % of the first $118,500 paid to its employee, and FICA Medicare taxes are 1.45% of gross pay. For BMX, its FUTA taxes are 0.6% and SUTA taxes are 2.9% of the first $7,000 paid to its employee. Gross Pay through Gross Pay for September August $ 6,700 18,500 112,500 400 a. 2,400 8,300 C. Compute BMX's amounts for each of these four taxes as applied to the employee's gross earnings for September under each of three separate situations (a), (b), and (c). (Round your answers to 2 decimal places.) a) September Earnings Subject to Tax Tax Tax Rate Tax Amount FICA Social Security 400,00 6.20% 24.80 FICA-Medicare 400.00 1.45% 5.80 FUTA 400.00 0.60% 2.40 SUTA 400.00 2.90% 11.60 Subject to Tax FICA-Social Security $ 2,400.00 6.20% 148.80 FICA-Medicare 2,400.00 1.45% 34.80 FUTA 0 SUTA c) September Earnings Subject to Tax ax Tax Rate Tax Amount FICA-Social Security 6,600 6.20% 409.20 FICA Medicare 120.35 8,300 1.45% FUTA 0 SUTA 0Step by Step Solution
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