Question

Bill Kreutzmann is a married worker earning $526.28 each week. He claims 2 withholding allowances. What amount should be deducted from his weekly earnings for federal withholding taxes?

Answer 1

The exact amount deducted for federal withholding taxes from Bill Kreutzmann's weekly earnings cannot be determined without the latest tax tables or the exact value of the withholding allowances.

Step-by-step explanation:

To determine the amount that should be deducted from Bill Kreutzmann's weekly earnings for federal withholding taxes, we need to calculate his taxable income after accounting for his withholding allowances. Unfortunately, without the current year's tax tables or the exact withholding allowance amount, we cannot provide a precise figure.

Typically, you would start with the gross earnings and subtract the value for the allowances to determine the taxable income, which you then apply to the specific tax brackets and rates provided by the Internal Revenue Service (IRS) to calculate the withholding amount.

If, for example, each withholding allowance was worth $100 (this is a hypothetical value for illustrative purposes), Bill’s taxable income for the week would be $526.28 - (2 x $100) = $326.28. You would then locate his taxable income bracket in the IRS tax tables and apply the given formula to determine the withholding tax. In many cases, this involves a base amount plus a percentage of the income over a certain threshold.