Paul works 5 days a week (Monday to Friday), 8 hours per day. He is paid $27.50 per hour. He is paid bi-weekly. His company provides Group Term Life insurance at 2x his annual salary at a cost of $1.09 per month per $1000 of coverage paid for by the employer. What taxable benefit is added to his pay each pay?

Paul works 5 days a week (Monday to Friday), 8 hours per day. He is paid $27.50 per hour. He is paid bi-weekly. His company provides Group Term Life insurance at 2x his annual salary at a cost of $1.09 per month per $1000 of coverage paid for by the employer. What taxable benefit is added to his pay each pay?

CONCEPTS IN FED.TAX.,2020-W/ACCESS

20th Edition

ISBN:9780357110362

Author:Murphy

Publisher:Murphy

Chapter4: Income Exclusions

Section: Chapter Questions

Problem 38P

See similar textbooks

Similar questions

Darrell is an employee of Whitneys. During the current year, Darrells salary is 136,000. Whitneys net self-employment income is also 136,000. Calculate the Social Security and self-employment taxes paid by Darrell and Whitney. Write a letter to Whitney in which you state how much she will have to pay in Social Security and self-employment taxes and why she owes those amounts.
John Doe is married and claims 3 withholding allowances. He collects overtime pay when he works over 40 hours a week. If his gross pay is $1,306.88, determine his weekly net earnings. Use the following deductions: FWT (Percentage Method), FICA 6.2%, Medicare 1.45%, SDI 1%, Health Insurance ($80/week), Union Dues ($4.50/week), and Trust Fund ($95/week). $891.28 $819.32 O $768.31 $786.67
John Doe is married and claims 3 withholding allowances. He collects overtime pay when he works over 40 hours a week. If his gross pay is $1,306.88, determine his weekly net earnings. Use the following deductions: FWT (Percentage Method), FICA 6.2%, Medicare 1.45%, SDI 1%, Health Insurance ($80/week), Union Dues ($4.50/week), and Trust Fund ($95/week). a.$819.32 B.$786.67 C.$768.31 D.$891.28
Dustin Ambrose is married and claims 3 allowances. His gross weekly pay is $628.00. Each week he pays federal, Social Security, and Medicare taxes, $52.00 for medical insurance, and $23.50 toward his retirement fund. Find The Net Pay
Sally earns gross wages of $1200 per week. She has standard deductions for social security and medicare. She is single with 1 allowance. She also has 6% of her gross wages put into a retirement account. Find the retirement account deduction.
Julie worked 88 hours in a semi-monthly period. She earns $18.50 per hour and is paid 6% vacation pay each pay period. In addition, her employer contributes $75 per pay period toward a group registered retirement savings plan (RRSP), which she matches. Calculate Julie's pensionable earnings.
Dilpreet works for CTY, a company in Ontario and is paid $4300 biweekly. He contributes 7% of his gross earnings to a Registered Retirement Savings Plan each pay. He pays $92 per month for union dues and receives a group term life insurance non-cash taxable benefit of $390 each month. His employer also paid for counselling services worth $416 a month (non-cash). Each pay Dilpreet contributes $8.00 to United Way. His federal and provincial TD1 claim codes are 1 and he will not reach the annual maximums for Canada Pension Plan or Employment Insurance with this payment. Use 2021 rates. Calculate Dilpreet’s net pay. Make sure to use the CRA payroll deduction tables to determine federal and provincial income taxes. Round to two decimal places and do not include commas (,) or the $ sign.
Melanie works for a large manufacturing company in Ontario. She earns an annual salary of $48,500.00 which is paid on a weekly basis. In addition to her regular pay, Melanie's group life insurance taxable benefit is $25.00 per pay. Melanie receives a car allowance of $200.00 per pay and Melanie contributes 5% of her base salary to her RRSP. Calculate her gross pensionable earnings (GPE) this pay. Calculate her gross insurable earnings (GIE) this pay. A Calculate her Net Taxable Income this pay. Calculate her Federal Income Tax Deduction this pay. She is claim code 1.
Jen Miller made $1,090 this week. Only social security (fully taxable) and federal income taxes attach to her pay. Miller contributes $125 each week to her company's 401(k) plan and has $40 put into her health savings account (nonqualified) each week. Her employer matches this $40 each week. Determine Miller's take-home pay if she is married and claims 2 allowances (use the wage-bracket method). What is her OASDI Tax? Her HI Tax?
Steven takes a full-time position that pays an hourly wage of $32. The job assumes that he will work five 8-hour days a week. The government takes out 6.2% for Social Security, 1.45% for Medicare, and 15% for Federal income tax. Steven will have $80 taken out for health insurance and 6% of his after-tax monthly income taken out for retirement. GAI _________________ GMI _________________ ATM _________________ Total Expenses ________________ Net __________________
Grace's employer is now offering group-term life insurance. The company will provide each employee with $185,000 of group-term life insurance. It costs Grace's employer $875 to provide this amount of insurance to Grace each year. Assuming that Grace is 31 years old, use the tale to determine the monthly premium that Grace must inckude in income as a result of receiving the group-term life benefit. EXHIBIT 12-08 Uniform Premiums for $1,000 of Group-Term Life Insurance Protection 5-Year Age Bracket. Cost Per $1,000 of Protection for One Month Under 25 $0.05 25 to 29 0.06 30 to 34 0.08 35 to 39 0.09 40 to 44 0.10 45 to 49 0.15 50 to 54 0.23
Claudette earns $1,400.00 bi-weekly. She has a taxable car allowance of $70.00 and a non-cash taxable benefit of $25.00 per pay. Union dues of $18.00 are deducted from each pay. Her TD1 has a claim code 1 and the deduction code on her TP-1015.3-V is A. Calculate the insurable earnings. $1,400.00 $1,452.00 $1,470.00 $1,495.00