Herman Swayne is a waiter at the Dixie Hotel. In his first weekly pay in March,
ID: 3209680 • Letter: H
Question
Herman Swayne is a waiter at the Dixie Hotel. In his first weekly pay in March, he earned $360.00 for the 40 hours he worked. In addition, he reports his tips for February to his employer ($700.00), and the employer withholds the appropriate taxes for the tips from this first pay in March.
Calculate his net take-home pay assuming the employer withheld federal income tax (wage-bracket,married, 2 allowances), social security taxes, and state income tax (2%).
Enter deductions beginning with a minus sign (-).
Gross pay $______ Federal income tax $______ Social security taxes - OASDI $______ Social security taxes - HI $______ State income tax $______ Net pay$________________Explanation / Answer
Gross pay = $360
Federal income tax = $95
Social security taxes - OASDI = $65.72
Social security taxes - HI = $15.37
State income tax = $21.20
Net pay = $ 162.71
Net pay $
162.71