Question

Based on his salary, Kevin knows that he will have $336.00 withheld from his paycheck for federal income tax. He would like to have approximately $70.00 withheld for state income tax. Which of the following withholding options should he choose for state income tax?
a.
18% of federal income tax
b.
21% of federal income tax
c.
25% of federal income tax
d.
29% of federal income tax

Answer 1

Compute 70 ÷ 336 = 0.2083 ≈ 20.83%, so the closest choice is 21% of federal income tax. Answer: b.