Question

Well brown who pays weekly union dues of three dollars or $289 per week. His federal income tax is $39.13, and his FICA tax is 6.2%. He pays a state income tax, a $15 annual tax, and 2% of his pay in his retirement fund. What is his net income for the week he pays the city tax?

a) $220.42
b) $240.64
c) $254.45
d) $275.11

Answer 1

After deducting all taxes and dues from Well Brown's weekly gross income of $289.00, his net income comes to $222.88. However, this does not match any of the options given in the multiple choice query.

Step-by-step explanation:

First, we need to calculate the various deductions from Well Brown's weekly income before we can determine his net income. Below is the breakdown:

• Weekly Gross Pay: $289.00
• Federal Income Tax: -$39.13
• FICA Tax (6.2% of Gross Pay): -$17.92
• State Income Tax (Included in Federal Tax Deduction)
• Annual City Tax (divided by 52 weeks): -$0.29
• Retirement Fund (2% of Gross Pay): -$5.78
• Weekly Union Dues: -$3.00

Now, let's subtract these deductions from the gross weekly pay:

$289.00 - $39.13 - $17.92 - $0.29 - $5.78 - $3.00 = $222.88

Therefore, Well Brown's net income for the week he pays the city tax would be $222.88, which is not one of the provided options in the question. There might be an error with the given choices or with the information provided.