Michael Daugherty (married; 5 federal withholding allowances) earned weekly gross pay of $855. For each period, he makes a 403(b) retirement plan contribution of 12% of gross pay. Using wage-bracket method: Federal income tax withholding = $_ Using percentage method: Federal income tax withholding = $

Principles of Accounting Volume 1
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ISBN:9781947172685
Author:OpenStax
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Chapter12: Current Liabilities
Section: Chapter Questions
Problem 12EB: Reference Figure 12.15 and use the following information to complete the requirements. A. Determine...
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PSc 3-5 Calculate Federal Income Tax Withholding Using Two Methods (pre-2020 Form W-4)
For each employee listed, use both the wage-bracket method and the percentage method to calculate federal income tax withholding for an employee who has submitted a pre-2020
Form W-4. Refer to the Federal Tax Tables in Appendix A of your textbook.
NOTE: For simplicity, all calculations throughout this exercise, both intermediate and final, should be rounded to two decimal places at each calculation.
Publication 15-T (2020)
1: Michael Daugherty (married; 5 federal withholding allowances) earned weekly gross pay of $855. For each period, he makes a 403(b) retirement plan contribution of 12%
of gross pay.
Using wage-bracket method: Federal income tax withholding = $
Using percentage method: Federal income tax withholding = $
2: Carol Harrison (single; 0 federal withholding allowance) earned daily gross pay of $250. For each period, she makes a 401(k) contribution of 10% of gross pay.
Using wage-bracket method: Federal income tax withholding = $_
Using percentage method: Federal income tax withholding = $
3: John Moyer (married; 6 federal withholding allowances) earned monthly gross pay of $3,050. He participates in a flexible spending account, to which he contributes $250
during the period.
Using wage-bracket method: Federal income tax withholding = $
Using percentage method: Federal income tax withholding = $
Transcribed Image Text:PSc 3-5 Calculate Federal Income Tax Withholding Using Two Methods (pre-2020 Form W-4) For each employee listed, use both the wage-bracket method and the percentage method to calculate federal income tax withholding for an employee who has submitted a pre-2020 Form W-4. Refer to the Federal Tax Tables in Appendix A of your textbook. NOTE: For simplicity, all calculations throughout this exercise, both intermediate and final, should be rounded to two decimal places at each calculation. Publication 15-T (2020) 1: Michael Daugherty (married; 5 federal withholding allowances) earned weekly gross pay of $855. For each period, he makes a 403(b) retirement plan contribution of 12% of gross pay. Using wage-bracket method: Federal income tax withholding = $ Using percentage method: Federal income tax withholding = $ 2: Carol Harrison (single; 0 federal withholding allowance) earned daily gross pay of $250. For each period, she makes a 401(k) contribution of 10% of gross pay. Using wage-bracket method: Federal income tax withholding = $_ Using percentage method: Federal income tax withholding = $ 3: John Moyer (married; 6 federal withholding allowances) earned monthly gross pay of $3,050. He participates in a flexible spending account, to which he contributes $250 during the period. Using wage-bracket method: Federal income tax withholding = $ Using percentage method: Federal income tax withholding = $
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