Question
Lenny Florita, an unmarried employee, works 50 hours in the week ended January 12. His pay rate is $12 per hour, and his wages have deductions for FICA Social Security, FICA Medicare, and federal income taxes. He claims four withholding allowances. Compute his regular pay, overtime pay (Lenny earns $18 per hour for each hour over 40 per week), and gross pay. Then compute his FICA tax deduction (6.2% for the Social Security portion and 1,45% for the Medicare portion), income tax deduction (use the wage bracket withholding table from Exhibit 9A,6), total deductions, and net pay. (Round your intermediate calculations and final answers to 2 decimal places.)

Lenny Florita, an unmarried employee, works 50 hours in the week ended January 12. His pay rate is $12 per hour, and his wage


SINGLE Persons-WEEKLY Payroll Period And the number of withholding allowances claimed is If the wages are- But less At least
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Answer #1

Answer:

Particulars Hours(a) Hourly Rate(b) Amount$(a)*(b) Amount$
Regular Pay 40 12 480
Overtime Pay 10 18 180
Gross Pay 660
FICA Social Security Tax Deduction 40.92
FICA Medicare Tax Deduction 9.57
Income Tax Deduction 48
Total Deductions 98.49
Net Pay 561.51
Working Notes
Overtime Hours=Hours Worked-Regular Hours
=50-40
=10
FICA Social Security Deduction
=Gross Pay*6.2%
=660*6.2%
=40.92
FICA Medicare Tax Deduction
=Gross Pay*1.45%
=660*1.45%
=9.57
Income Tax Deduction
For Gross pay of at least 660 but less than 670 and number of withholding allowance are 4
=48
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