Question: 15. Using the earnings data given in Exercise 10.6, determine the amount of Medicare tax to be withheld from each employees gross pay for December.
15. Using the earnings data given in Exercise 10.6, determine the amount of Medicare tax to be withheld from each employee’s gross pay for December. Assume a 1.45 percent Medicare tax rate and that all salaries and wages are subject to the tax.
data from exercise 10.6 Employee No. December Salary Year-to-Date Earnings Through November 30 1 $ 9,000 $ 72,000 2 10,000 70,000 3 11,000 115,500 4 14,000 132,000 Determine the amount of social security tax to be withheld from each employee’s gross pay for December. Assume a 6.2 percent social security tax rate and an earnings base of $142,800 for the calendar year.
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