Question

Henry, who earned $114180 during 2018, is paid on a monthly basis, is married, and claims four allowances. Assume that his employer uses the percentage method of withholding. Use withholding allowance and percentage method tables .. What is Henry's federal tax withholding for each pay period? b. What is Henry's FICA withholding for each pay period? (For all requirements, round your intermediate computations and final answers to 2 decimal places.) Federal tax withholdings Total FICA withholding Derences

Answer 1

Ans: Earnings during 2018 = $114,180

Monthly earnings= $114,180/12

=$ 9,515

given, married and claiming four allowances:

For one withholding allowances amount (2018)= $345.80

and since claiming four allowances= $345.80*4

= $ 1383.20

Monthly earnings net of withholding allowances= $9515-1383.20

= $ 8131.80

Using 2018 table the net amount $8,131 falls in

$7,413- $ 14,713 = $742.26+22% (excess over 7413.to $8,131.80)

= $742.26+ 22% ( 718.80)

= $742.26+143.76

=$ 886.02

Therefore Henry federal tax withholding for each period is $886.02

B). Henry FICA withholding for each pay period= $9515*7.65%

= $ 727.89

According to HOMEWORKLIB RULES both questions are independent each other and therefore one question is answered