3: An employee works 50 hours (50-40 were overtime hours) during a workweek in December of 2021, He eams $9.500/month, with his employer paying 1.5 times the regular rate of pay for overtime hours. To date, he has earned $114.500 during the year. He has requested that his employer withhold 13% of gross pay to contribute to a 403(b) plan Taxable income for federal income tax withholding -S Taxable income for social security tax-$ Taxable income for medicare tax-S

3: An employee works 50 hours (50-40 were overtime hours) during a workweek in December of 2021, He eams $9.500/month, with his employer paying 1.5 times the regular rate of pay for overtime hours. To date, he has earned $114.500 during the year. He has requested that his employer withhold 13% of gross pay to contribute to a 403(b) plan Taxable income for federal income tax withholding -S Taxable income for social security tax-$ Taxable income for medicare tax-S

College Accounting (Book Only): A Career Approach

12th Edition

ISBN:9781305084087

Author:Cathy J. Scott

Publisher:Cathy J. Scott

Chapter7: Employee Earnings And Deductions

Section: Chapter Questions

Problem 1PB

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Similar questions

LO.2 In 2019, Chaya Corporation, an accrual basis, calendar year taxpayer, provided services to clients and earned 25,000. The clients signed notes receivable to Chaya that have a fair market value of 22,000 at year-end. In addition, Chaya sold a 36-month service contract on June 1, 2019, and received payment in full of 12,000. How much gross income does Chaya report from these transactions in 2019?
Lemur Corp. is going to pay three employees a year-end bonus. The amount of the year-end bonus and the amount of federal income tax withholding are as follows. Lemurs payroll deductions include FICA Social Security at 6.2%, FICA Medicare at 1.45%, FUTA at 0.6%, SUTA at 5.4%, federal income tax as previously shown, state income tax at 5% of gross pay, and 401(k) employee contributions at 2% of gross pay. Record the entry for the employee payroll on December 31.
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During the year, employee Sean Matthews earned wages in the amount of 250,000. Discuss how the employees HI tax will differ from the employers HI tax for this employee.