An employee's rate of pay is $40.00 per hour, with time and a half for all hours worked in excess of 40 during a week. The following data are available:

Question

An employee's rate of pay is $40.00 per hour, with time and a half for all hours worked in excess of 40 during a week.  The following data are available:

Allowances claimed on W-4  4
	Allowance amount allowed:$70 ea.
	Hours worked this week	  50
	Y T D Earnings prior	105,200 
	F I T Withheld		 $ ??		    
	Social Security tax was withheld @ the rate of 6.2% on the 1st $ 106,400
	Medicare tax was withheld @ the rate of 1.45 %

annette · Answer

Kipley Company is a small manufacturing firm located in Pittsburgh, Pennsylvania. The company has a workforce of both hourly and salaried employees. Each employee is paid for hours actually worked during each week, with the time worked being recorded in quarter-hour increments. The standard workweek consists of 40 hours, with all employees being paid time and one-half for any hours worked beyond the 40 regular hours.
Below is the payroll register for unemployment taxes (FUTA and SUTA) for the pay of January 14.