Federal Income Tax
What types of things do your federal income tax withholdings depend on?
Incomve, marital status, and withholding allowances
What is a flat tax rate?
Collecting the same rate on all income levels
How do you calculate the amount that comes out per paycheck if someone is paid weekly?
annual tax withheald / 52
What is Social Security?
Collected by the federal government to pay for retirement and disability benefits.
What is Medicare?
Collected by the federal government to provide health insurance for those 65 and older.
What are withholding allowances?
Withholding money from taxation bases on whom you support.
What are personal exemptions?
Specific amount of monet that your can deduct for yourself and each of your dependents.
How many times does someone get paid if they get paid monthly?
12
Martins gross income is $65,520 a year. How much is deducted for Social Security?
Rate: 6.2%
$4,049.84
Toms gross income is $95,500 a year. How much is deducted for Medicare?
Rate: 1.45%
$1,384.74
How do you calaculate taxable income?
Subtract the standard deductions from the gross income
What is state income tax?
a percentage of money your pay to the state governemnt based on income you make.
How many pays is it if someone gets paid bimonthly?
24
Sarah gross income is $23,976 a year. How much is deducted for Social Security?
Rate: 6.2%
$1,486.51
Victors gross income is $165,934 a year. How much is deducted for Medicare?
Rate: 1.45%
$2,406.04
What is federal income tax?
Tax collecte by the IRS on the annual earnins of indiciduals and businesses.
How do you calculate annual tax withheld (flat rate)?
Taxable Wage x Tax Rate
Jenessa owes $3,960 in taxes. She gets paid weekly, how mych does she pay per paycheck?
$76.15
$4,049.84 is deducted for Social Security. He is paid weekly, how much is deducted per paycheck?
$77.88
$2,023.84 is deducted for Medicare. He is paid biweekly, how much is deducted per paycheck?
$77.84
Based on the Tas Standard Deductions from 2019. How much was detucted if you were married?
$24,400
Name a state that does not collect state income tax?
Alaska, Flordia, Navada, South Dakota, Texas, Washington, Wyoming and Tennessee
Mrs. Hayes' gross income is $87,500 a year. She ismarries and has two dependents. Calculate her taxable income. Single: $2,000 Married: $4,000 Dependent: $900
$81,700
In2021, what was the percentage deducted for Social Security?
6.2%
In 2021, what was the percentage deducted for Medicare?
1.45%