Use (a) the percentage method and (b) the wage-bracket method to compute the federal income taxes to withhold from the wages or salaries of each employee. Enter all amounts as positive numbers. Round your calculations and final answers to the nearest cent. Click here to access the Table of Allowance Values. Click here to access the Percentage Method Tables e percentage Method Tables Click here to access the Wage-Bracket Method Tables Amount to Be Withheld Withholding Allowances Gross Wage or Salary Percentage Method Wage-Bracket Method Employee Corn, A. S $675 weekly 1,960 weekly Fogge, P. Felps, S. 1,775 biweekly Carson, W. 2,480 semimonthly 5,380 monthly Helm, M. eBook Show Me How I Calculator To compute the tax using the percentage method, follow the steps illustrated below. Step 1 Determine the amount of gross wages earned. If the wage ends in a fractional dollar amount, you may round the gross pay to the nearest dollar. Wilson Goodman, single, claims two allowances and earns $915.60 semimonthly Round Gross Wages to $916.00 Step 2 Multiply the number of allowances claimed by the amount of one allowance for the appropriate payroll period, as shown in the Table of Allowance Values in Figure 4.5. Table of Allowance Values for semimonthly payroll period shows $172.90 Multiply $172.90 x 2 = $345.80 Step 3 $916.00 Gross pay Less: Allowances Excess wages Subtract the amount for the number of allowances claimed from the employee's gross pay to find the excess of wages over allowances claimed. 345.80 $570.20 Step 4 Compute tax from Tax Table 3(a), page T-3. Determine the withholding tax on the excess of wages over allowances claimed by referring to the appropriate Percentage Method Withholding Table. ($570.20 - $551.00 - $19.20 x 12% - $2.30 + $39.70) - $42.00 Example 4-3 To use the wage-bracket method, follow the steps illustrated below. Step 1 Select the withholding table that applies to the Adrienne Huff is married and daims 3 allowances. She is paid weekly employee's marital status and pay period. at a rate of $815. Step 2 Locate the wage bracket (the first two columns of the table) in which the employee's gross wages fall. Locate the appropriate wage bracket (see Figure 4.6): At least $815 but less than $825 Step 3 Follow the line for the wage bracket across to the right to the column showing the appropriate number of allowances. Withhold this amount of tax. Move across the line to the column showing 3 allowances. The tax to withhold is $36. had to compute the federal income taxes to withhold from the wages or salaries of each employee Use (a) the percentage method and (b) the wage-bracket method to compute the federal income taxes to withhold from the wages or salaries of each employee. Enter all amounts as positive numbers. Round your calculations and final answers to the nearest cent. Click here to access the Table of Allowance Values. Click here to access the Percentage Method Tables e percentage Method Tables Click here to access the Wage-Bracket Method Tables Amount to Be Withheld Withholding Allowances Gross Wage or Salary Percentage Method Wage-Bracket Method Employee Corn, A. S $675 weekly 1,960 weekly Fogge, P. Felps, S. 1,775 biweekly Carson, W. 2,480 semimonthly 5,380 monthly Helm, M. eBook Show Me How I Calculator To compute the tax using the percentage method, follow the steps illustrated below. Step 1 Determine the amount of gross wages earned. If the wage ends in a fractional dollar amount, you may round the gross pay to the nearest dollar. Wilson Goodman, single, claims two allowances and earns $915.60 semimonthly Round Gross Wages to $916.00 Step 2 Multiply the number of allowances claimed by the amount of one allowance for the appropriate payroll period, as shown in the Table of Allowance Values in Figure 4.5. Table of Allowance Values for semimonthly payroll period shows $172.90 Multiply $172.90 x 2 = $345.80 Step 3 $916.00 Gross pay Less: Allowances Excess wages Subtract the amount for the number of allowances claimed from the employee's gross pay to find the excess of wages over allowances claimed. 345.80 $570.20 Step 4 Compute tax from Tax Table 3(a), page T-3. Determine the withholding tax on the excess of wages over allowances claimed by referring to the appropriate Percentage Method Withholding Table. ($570.20 - $551.00 - $19.20 x 12% - $2.30 + $39.70) - $42.00 Example 4-3 To use the wage-bracket method, follow the steps illustrated below. Step 1 Select the withholding table that applies to the Adrienne Huff is married and daims 3 allowances. She is paid weekly employee's marital status and pay period. at a rate of $815. Step 2 Locate the wage bracket (the first two columns of the table) in which the employee's gross wages fall. Locate the appropriate wage bracket (see Figure 4.6): At least $815 but less than $825 Step 3 Follow the line for the wage bracket across to the right to the column showing the appropriate number of allowances. Withhold this amount of tax. Move across the line to the column showing 3 allowances. The tax to withhold is $36. had to compute the federal income taxes to withhold from the wages or salaries of each employee