Question: Rick Davis an employee of ABC Motors worked 42 hours

Rick Davis, an employee of ABC Motors, worked 42 hours during the week of September 12 through 18. His rate of pay is $ 30 per hour, and he receives time- a-half for work in excess of 40 hours per week. Rick is married and claims zero allowances on his W- 4 form. Rick’s YTD earnings before this pay period are $ 47,250, and his wages are subject to the following deductions:
a. Federal income tax use the table in Figure.
b. Social Security tax at 4.2 percent, with a wage limit of $ 106,800.
c. Medicare tax at 1.45 percent.
d. Medical insurance premium (after tax), $ 75.
e. United Way contribution, $ 25.

Compute Rick’s regular pay, overtime pay, gross pay, and net pay.

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  • CreatedOctober 21, 2014
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