Question

Makenzie lives and works in Colorado, which has a flat state income tax of 4.63%. If her annual salary is $57,835 and if she gets paid once a month, how much is withheld from her gross income for state income tax each pay period?

Answer 1

$223.15.

Explanation:

We have been given that Makenzie lives and works in Colorado, which has a flat state income tax of 4.63%. Her annual salary is $57,835 and she gets paid once a month.

Let us find the amount of state income tax paid by Makenzie per year.

`\text{Amount of state income tax paid by Makenzie per year}=(4.63)/(100)* \$57,835`

`\text{Amount of state income tax paid by Makenzie per year}=0.0463* \$57,835`

`\text{Amount of state income tax paid by Makenzie per year}=\$2677.7605`

Let us find monthly amount of state income tax paid by Makenzie by dividing annual tax amount by 12.

`\text{Amount of state income tax paid by Makenzie per month}=(\$2677.7605)/(12)`

`\text{Amount of state income tax paid by Makenzie per month}=\$223.146708\approx \$223.15`

Therefore, approximately $223.15 is held from Makenzie's gross income for state income tax each pay period.