Collin is a full-time exempt employee in Alaska who earns $135,000 annually and
ID: 2552199 • Letter: C
Question
Collin is a full-time exempt employee in Alaska who earns $135,000 annually and has not yet reached the Social Security wage base. He is single with 1 withholding allowance and is paid semimonthly. He contributes 3% per pay period to his401(k) and has pre-tax health insurance and AFLAC deductions of $150 00 and $25 00 respectively. Collin has a child support gamishment of $300.00 per pay period. What is his net pay? (Use the percentage method. Do not round intermediate calculations, only round final answer to 2 decimal points.) Payroll Period Weekly Biweekly Semimonthly Monthly Quarterly Semiannually Annually Daily or miscellaneous (each day of the payroll period) One Withholding Allowance $76.90 153.80 166.70 333.30 1,000.00 2,000.00 4,000.00 15.40 TABLE 3-SEMIMONTHLY Payroll Period (a) SINGLE person (including head of household)(b) MARRIED person- If the amount of wages (after subtracting withholding allowances) The amount of income tax Is If the amount of wages (after subtracting withholding allowances) The amount of income tax to withhold is S0 to withhold is S0 IS Not over $96 Not over $358 of excess over- -$358 $1,127 $3,479 S6,658 -$17.504|$2.149.01 plus 33% I-$9960 _$19,727|$4,638.53 plus 35% -$17,504 $5416.58 plus 39 6% -$19.727 Over But not over- Of excess over-OverBt not over $96 $358 -$480| $1.127 -53.877 $214.80 plus 25% |-51,656|$3479 $3,877$6,658 $17.242|$1919.73 plus 33% |-57.983| S9.960 -517313|$4.97520 plus 35% $17.242|$17,504 $5,000.05 plus 39 6%!--S 17.313|$19.727 -51127|$0.00 plus 10% -53.479|$76.90 plus 15% 86658|$429.70 plus 25% -$9.960| $1.224 45 plus 28% -$480|$0.00 plus 10% -$1.6561 $38.40 plus 15% S96 $480 $1,656 $3,877 S7,983 $17,242 $17.313 -$7.983| $770.05 plus 28% $3,445.85 $3.712.19 3 674.60 $3 585.14Explanation / Answer
gross recipt of $5625 less 3% contribution of $ 168.75 add child support allowance of $ 300 and withholding allowance of $168.75 less tax of $ 2248.35
The pay period is semi monthly, hence we need to determine the solution in semi monthly terms.
Answer is C - 3674.60