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Business, 04.04.2020 04:01 Tyrant4life
BMX Company has one employee. FICA Social Security taxes are 6.2% of the first $127,200 paid to its employee, and FICA Medicare taxes are 1.45% of gross pay. For BMX, its FUTA taxes are 3.1% and SUTA taxes are 2.9% of the first $7,000 paid to its employee.
Gross Pay through August 31 Gross Pay for September
a. $5, 700 $1,800
b. 1,500 3,300
c. 119,400 9,200
Compute BMX's amounts for each of these four taxes as applied to the employee's gross earnings for September under each of three separate situations (a), (b), and (c).
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BMX Company has one employee. FICA Social Security taxes are 6.2% of the first $127,200 paid to its...
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