Question

BMX Company has one employee, FICA Social Security taxes are 6.2% of the first S 117,000 paid to its employee,and FICA Medicaretaxes are 1.45% of gross pay. For BMX, its FUTA taxes are 0.6% and SUTA taxes are 2.9% of the first S7.000 paid to its employee. Pay through August a. b. C. S 6,400 18.200 110,700 Gross Pay for Septemberl S 800 2.100 8,000 Compute BMXCs amounts for each of these four taxes as applied to the employee's gross earnings for September under each of three separate situations (a). (b), and (c) (Round your answers to 2 decimal places.) September Earnings Subject to Tax ax FICA-Social Security FICA-Medicare FUTA SUTA b) Tax Rate Tax Amount September Earnings Subject to Tax ax Tax Rate Tax Amount FICA-Social Security FICA-Medicare FUTA SUTA September Earnings Tax Rate Tax Amount FICA-Social Security FICA-Medicare FUTA SUTA

Answer 1

a)
Tax	September Earnings Subject to Tax	Tax Rate	Tax Amount
FICA-Social Security	$                                         800.00	6.20%	$           49.60
FICA-Medicare	$                                         800.00	1.45%	$             11.60
FUTA	$                                         600.00	0.60%	$               3.60
SUTA	$                                         600.00	2.90%	$              17.40
b)
Tax	September Earnings Subject to Tax	Tax Rate	Tax Amount
FICA-Social Security	$ 2,100.00	6.20%	$      130.20
FICA-Medicare	$ 2,100.00	1.45%	$      30.45
FUTA	0
SUTA	0
c)
Tax	September Earnings Subject to Tax	Tax Rate	Tax Amount
FICA-Social Security	$ 6,300.00	6.20%	$      390.60
FICA-Medicare	$ 8,000.00	1.45%	$        116.00
FUTA	0
SUTA	0