Question

zzes/6750962?module item id=61379425 Marty's friend Tom makes and hourly wage of $15.00 per hour. Using that there are 40 hours in a standard work week, there are 52 weeks in a year, Social Security Tax is $6.20 for every $100 earned, Medicare Tax is $1.45 for every $100 earned, and the following income tax designations, calculate the following (round your answers to the nearest penny if needed): what is Tom's annual income tax, what is his net income and what is Tom's net monthly income ​

Answer 1

$2,386.80

$28,813.20

$2,401.10

Explanation:

$15.00/hour

40 hours in a week

$15.00/week × 40 hours/week = $600/week

$600/week × 52 weeks/year = $31,200/year

His yearly salary is $31,200.

Taxes are:

SST: 6.2%

Medicare: 1.45%

Total = 7.65%

Amount of tax per year:

7.65% of $31,200 = $2,386.80

Annual income tax: $2,386.80

Net income = gross income - taxes

Net income = $31,200 - $2,386.80

Net income = $28,813.20

Net monthly income = annual net income/12

Net monthly income = $28,813.20/12

Net monthly income = $2,401.10