Zolnick Enterprises has two hourly employees: Kelly and Jon. Both employees earn overtime at the rate of 1½ times the hourly rate for hours worked in excess of 40 per week. Assume the Social Security tax rate is 6 percent on the first $110,000 of wages, and the Medicare tax rate is 1.5 percent on all earnings. Federal income tax withheld for Kelly and Jon was $260 and $220, respectively, for the first week of January. The following information is for the first week in January Year 1:

Required
a. Calculate the gross pay for each employee for the week.
b. Calculate the net pay for each employee for the week.

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Hours Worked Wage Rate per Hour Employee 54 $32 $26 Kelly Jon 44