Youngston Company (a Massachusetts employer) wants to give a holiday bonus check of $750 to each employee. Since it wants the check amount to be $750, it will need to gross-up the amount of the bonus. Calculate the withholding taxes and the gross amount of the bonus to be made to Genna Fredrich if her earnings for the year are $55,920. Besides being subject to social security taxes and federal income tax (supplemental rate), a 5.1% Massachusetts income tax must be withheld on supplemental payments. Enter deductions beginning with a minus sign (-). You may need to add a penny to the gross amount to get net pay to calculate exactly to $750.00.

Gross bonus amount $

Federal income tax withheld

OASDI tax withheld

HI tax withheld

Massachusetts income tax withheld

Take-home bonus check $