School, belongs erred retirement plan to which he cont utes 3 of his pay which is ed by the school. His biweekly pay is $2,500. Because of the deferral (3% x $2,500 = $75), $2,425 is subject to federal income tax lding. iteweller made $930 this week. Only social security (fully taxable) and federal income taxes attach to her pay. Whiteweller contributes $50 each week to her company's 401(k) plan and has $50 put into her health savi h week. ne Whiteweiler's take-home pay if she is head of household. eductions beginning with a minus sign (-). Round your calculations and final answers to the nearest cent. po to press, the federal income tax rates for 2021 are being determined by budget talks in Washington and not available for publication. For this edition, the 2020 federal income tax tables for Mar rd Withholding and 2020 FICA rates have been used. re to access the Wage-Bracket Method Tables. 930 ntributions 50 x deductions 50 x

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Example 4-1
Carl Jamison, an employee for the Scharman School, belongs to a tax-deferred retirement plan to which he contributes 3 percent of his pay which is
matched by the school. His biweekly pay is $2,500. Because of the deferral (3% x $2,500 = $75), $2,425 is subject to federal income tax
withholding.
Julie Whiteweiler made $930 this week. Only social security (fully taxable) and federal income taxes attach to her pay. Whiteweiler contributes $50 each week to her company's 401(k) plan and has $50 put into her health savings account (nonqualified) each week. Her employer matches this
$50 each week.
Determine Whiteweiler's take-home pay if she is head of household.
Enter deductions beginning with a minus sign (-). Round your calculations and final answers to the nearest cent.
As we go to press, the federal income tax rates for 2021 are being determined by budget talks in Washington and not available for publication. For this edition, the 2020 federal income tax tables for Manual Systems with Forms W-4 from 2020 or later with
Standard Withholding and 2020 FICA rates have been used.
Click here to access the Wage-Bracket Method Tables.
Gross pay
930 V
HSA contributions
50 x
401(k) deductions
50 x
OASDI tax
57.66 X
HI tax
13.49 x
FIT
78
Net pay
$4
680.85 x
Transcribed Image Text:Example 4-1 Carl Jamison, an employee for the Scharman School, belongs to a tax-deferred retirement plan to which he contributes 3 percent of his pay which is matched by the school. His biweekly pay is $2,500. Because of the deferral (3% x $2,500 = $75), $2,425 is subject to federal income tax withholding. Julie Whiteweiler made $930 this week. Only social security (fully taxable) and federal income taxes attach to her pay. Whiteweiler contributes $50 each week to her company's 401(k) plan and has $50 put into her health savings account (nonqualified) each week. Her employer matches this $50 each week. Determine Whiteweiler's take-home pay if she is head of household. Enter deductions beginning with a minus sign (-). Round your calculations and final answers to the nearest cent. As we go to press, the federal income tax rates for 2021 are being determined by budget talks in Washington and not available for publication. For this edition, the 2020 federal income tax tables for Manual Systems with Forms W-4 from 2020 or later with Standard Withholding and 2020 FICA rates have been used. Click here to access the Wage-Bracket Method Tables. Gross pay 930 V HSA contributions 50 x 401(k) deductions 50 x OASDI tax 57.66 X HI tax 13.49 x FIT 78 Net pay $4 680.85 x
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