Question

Carry the hourly rate and the overtime rate to 3 decimal places and then round off to 2 decimal places (round the hourly rate to 2 decimal places before multiplying by one and one-half to determine the overtime rate). If the third decimal place is 5 or more, round to the next higher cent. If the third decimal place is less than 5, drop the third decimal place. Also, use the minimum hourly wage of $7.25 in solving these problems and all that follow. Beginning with the first pay of the year, Carson will make $2,700 each week. In which numbered pay of the year will Carson hit the OASDI taxable limit?

Answer 1

OASDI maximum amount in any financial do change but for the year 2020, the OASDI limit is $137,700

if Carson is getting $2,700 each week

Carson will hit the OASDI limit in ($137,700/$2,700) weeks = 51 weeks.

Step-by-step explanation: