## *TAXES MULTIPLE CHOICE* Zurab works for a salary of \$1,986 per month. He has federal income tax withheld at the rate of 15 percent, Social S

Question

*TAXES MULTIPLE CHOICE* Zurab works for a salary of \$1,986 per month. He has federal income tax withheld at the rate of 15 percent, Social Security tax at the rate of 6.2 percent, Medicare tax at the rate of 1.45 percent, and health insurance premiums of \$48 per month. Zurab also contributes to a savings plan. Each month, 2 percent of his gross pay is placed in the plan. Zurab pays income tax on this money. Zurab’s net pay is \$____.
A. 1448.45
B. 1505.45

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## Answers ( No )

1. Answer:

Zurab’s net pay is \$1448.45.

Step-by-step explanation:

Zurab’s salary per month = \$1,986.00

Federal income tax = 15% of 1,986.00

= 0.15 × 1,986.00 = \$297.90

Social security tax = 6.2% of 1,986.00

= 0.062 × 1,986.00 = \$123.132

Medicare Tax = 1.45% of 1,986.00

= 0.0145 × 1,986.00 = \$28.797

Health insurance premium per month = \$48.00

Per month savings plan = 2% of 1,986.00

= 0.02 × 1,986.00 = \$39.72

Zurab’s total withheld from his salary =

297.90 + 123.132 + 28.797 + 48.00 + 39.72 = \$537.549

Zurab’s Net pay is \$1986.00 – \$537.549 = \$ 1448.45

Option A would be correct.

2. So from 1986 you Subtract total percentage 24.65% an \$48 And the answer is a