texanqt63
Jul 3, 2008, 09:53 AM
Employee earnings records for Medenciy Company reveal the following gross earnings for four employees through the pay period of December 15.
C.Ogle $84,420 D.Delgado $87,840
L.Jeter $88,580 T.Spivey $90,000
For the pay period ending December 31, each employee’s gross earnings is $3,840.The FICA tax rate is 8% on gross earnings of $90,000.
This is my question. Im not really sure how to go about answering it. I don't know if I should add the 3840 to each of the employees earnings and then take the 8% of the earnings that are over 90,000.
C.Ogle $84,420 D.Delgado $87,840
L.Jeter $88,580 T.Spivey $90,000
For the pay period ending December 31, each employee’s gross earnings is $3,840.The FICA tax rate is 8% on gross earnings of $90,000.
This is my question. Im not really sure how to go about answering it. I don't know if I should add the 3840 to each of the employees earnings and then take the 8% of the earnings that are over 90,000.