Phildell Phoenix is paid monthly. For the month of January of the current year, he earned a total of $8,288. The FICA tax for social security is 6.2% and the FICA tax rate for Medicare is 1.45%. The FUTA tax rate is 0.8%, and the SUTA tax rate is 5.4%. Both unemployment taxes are applied to the first $7,000 of an employee's pay. The amount of federal income tax withheld from his earnings was $1,375.17. His net pay for the month is:

Question

Dominik Shannon

Mathematics

6 February, 01:48

Phildell Phoenix is paid monthly. For the month of January of the current year, he earned a total of $8,288. The FICA tax for social security is 6.2% and the FICA tax rate for Medicare is 1.45%. The FUTA tax rate is 0.8%, and the SUTA tax rate is 5.4%. Both unemployment taxes are applied to the first $7,000 of an employee's pay. The amount of federal income tax withheld from his earnings was $1,375.17. His net pay for the month is:

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Answers (1)

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Samuel Henderson · Answer 1

The net pay = 6278.79 dollars

Step-by-step explanation:

Net pay = gross pay - (federal income tax + FICA-Social Security tax + FICA-Medicare Tax).

gross pay = 8288 dollars

While

FICA social security tax:

6.2% of $8288

8,288 * 6.2/100 = 513.86.

FICA-Medicare tax: 1.45% of $8288

8,288 * 1.45/100 = 120.18

The net pay = 8,288 - (1,375.17 + 513.86 + 120.18).

= 8288 - 2009.21

The net pay = 6,278.79 dollars