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URGENT QUESTION NEED HELP ASAP! Have already asked question once, got no answer :( Edit: I have broken down the problem as best as I
URGENT QUESTION NEED HELP ASAP! Have already asked question once, got no answer :( Edit: I have broken down the problem as best as I can for you. Just use the information included in answering the question as best as you can. If there are some missing details, just answer using whatever seems logical. Thank you.
A new employee makes $175,000 and has been hired on Jan 1, 2020. She elects to obtain the company's medical insurance offering and has her share of the premium be deducted from her pay. The total medical insurance premium is $1,500 per month, of which 1/2 is paid by the company. She also contributes 12% of her salary to her 401(k), and as a retirement benefit the company will match up to $8,750. Her employer also provides a defined contribution pension plan which contributes up to $17,500. She then deducts $200 per month from her check to charity. Important information: FIT: Assume a rate of 20% of taxable earnings FICA: Wage base reported by IRS for 2020 is $137,700 with 7.65% Medicare tax rate and 6.2% social security tax rate. Unemployment Taxes: Use taxable wage base of $9,000 for calculating the SUTA tax with an assumed rate of 5.4%. Use the federal taxable wage base of $7,000 for calculating the FUTA tax with an assumed rate of 0.8%. Required: A) Prepare a schedule showing Anita's projected 2020 gross pay, taxable earnings, and net pay. (Make sure you list each deduction) B) Prepare a schedule showing the total projected 2020 cost to the company for hiring Anita. (Each cost should be displayed in the schedule) A new employee makes $175,000 and has been hired on Jan 1, 2020. She elects to obtain the company's medical insurance offering and has her share of the premium be deducted from her pay. The total medical insurance premium is $1,500 per month, of which 1/2 is paid by the company. She also contributes 12% of her salary to her 401(k), and as a retirement benefit the company will match up to $8,750. Her employer also provides a defined contribution pension plan which contributes up to $17,500. She then deducts $200 per month from her check to charity. Important information: FIT: Assume a rate of 20% of taxable earnings FICA: Wage base reported by IRS for 2020 is $137,700 with 7.65% Medicare tax rate and 6.2% social security tax rate. Unemployment Taxes: Use taxable wage base of $9,000 for calculating the SUTA tax with an assumed rate of 5.4%. Use the federal taxable wage base of $7,000 for calculating the FUTA tax with an assumed rate of 0.8%. Required: A) Prepare a schedule showing Anita's projected 2020 gross pay, taxable earnings, and net pay. (Make sure you list each deduction) B) Prepare a schedule showing the total projected 2020 cost to the company for hiring Anita. (Each cost should be displayed in the schedule)
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