Use the Exemptions amounts in Figure 2.2 to find the a) amount for exemptions and b) annual state income taxes. (2 points) 3. Mike Travis is a physical therapist. He earns $59,830 a year and is single with no dependents. The state income tax rate is 5% of taxable income Single Married Each Dependent Figure 2.2 Exemptions 52.000 4,000 2.000 income. Use the included tax tables from pages 6 -7 for federal tax. The state tax is 2% of gross pay, and is the local tax is 1.5% of gross pay. (2 points) 6. Orville Staples is a painter who earns $30,000 a year. He is single and claims 3 allowances. Weekly deductions include $34.50 for medical insurance and union dues of $15.00. Dept Employee Check Number Gross Pay Net Pay Orville Staples 235 a. i. FIT SS Medicare State Local Medical Union Dues Others b. c. d. e. f. g. h. 0.00 If you have ever received a paycheck, was the amount what you expected? Jack Myers was surprised to see that his employer has deducted approximately 19% from his gross income July 20, 20-- Dave's Drilling and Equipment 10406 Overlook Kentville, MI 99909 Pay to: Jack Myers $510.43 Five hundred ten -DOLLARS 43/100 CENTS Memo: weekly pay Signature: Dave Davey Federal Income Tax - Federal taxes provide money to pay for federal government agencies and services. The law requires employers to withhold a certain amount of your pay for federal income tax (FIT). The Internal Revenue Service (IRS) provides employers with tables that show how much money to withhold. The amount withheld depends on your income, marital status, and withholding allowances. You may claim one allowance for yourself and if you are married, one allowance for your spouse. You may claim additional allowances for any others you support. Example 1 - Determining Your Federal Income Tax Carla Good is an actuary. Her gross pay for this week is $425.88. She is married and claims 2 allowances for herself and her husband. What amount will Carla's employer withhold from her pay for FIT? (Use the Married Person Weekly Payroll table on pages 7-8) Step 1: Step 2: Step 3: Find the income range from the table. (It is at least $420 but less than $430). Find the column for 2 allowances, The amount of federal income tax to be withheld is $14.00. A ====== = 0 - W > + 4 = 1 a A B MARRIED Persons-WEEKLY Payroll Period 2 291 18 $ $ 888 888 8 w M = ( b = + - # REA Tra_r.Tel. LAW* 4. = = = WCE ==== = = = = 4 SOODODOCOD SODO DODGD ODDO CODDO CODDGOODOO OOOOOOOOOOOOOOOOOOOOOOOO med . DODOO COOOOOOOOOOOOOOOOOOOOOOOOOOOOO DODOO OOOOOOOOOOOOOOOOOOOOOOOOOOOoo OODOO OOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOO OOOOO GOOOOOOOO