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Hey everyone! I would really appreciate some help with a couple of math problems I am having trouble with - I am terrible at math. Here are the problems I need help with:

State Disability Deduction: Donna Laughman is paid
8% comminsion on sales. During a recent pay period,
she had sales of $19,482 and returns and allowances of
$193. Find the amount a) her Social Security tax, (b) her
Medicare tax, and (c) her state disability for this pay
period. (The FICA rate is 6.2%, the Medicare rate is
1.45%, the SDI rate is 1%, and the earnings will not
exceed $31,800).
** I need the answers to show how the calculations were gathered. I can't just have the answers; I have to show how I got them.**

Here's another one:

The following problem refers to a self-employed individual.
This person pays a Social Security tax of 12.4% and
Medicare tax of 2.9%. Find both of the taxes on the following
annual adjusted earning: $29,104.
Thx!!

2007-05-26 07:52:24 · 3 answers · asked by Anonymous in Science & Mathematics Mathematics

3 answers

For the first part,
Net = $19,482 - $193
a) 0.062 x Net
b) 0.0145 x Net
c) 0.01 x Net

For the 2nd part,
0.124 x $29,104 Social Security
and
0.029 x $29,104 Medicare

2007-05-26 09:14:07 · answer #1 · answered by Helmut 7 · 0 0

Part 1:

Net earning = A = 193 + 0.08 x 19,482 = 1751.56

(a) SS tax = A x 0.062
(b) Medicare = A x 0.0145
(c) SDI = A x 0.01

Part 2:

I think this is a trick question. Adjusted earning implies that tax deductions have already been made.

Assume gross earning = B

Net earning = B - 0.124xB - 0.029xB = 29,104
=> 0.847B = 29,104 => B = 34,361.28

SS tax = B x 0.124
Medicare = B x 0.029

2007-05-26 16:38:49 · answer #2 · answered by CC 2 · 0 0

second one is:

12.4/100
2.9/100 b/c they are percents

12.4+2.9= 15.3/100

___/29,104 = 15.3/100

29,104 divided by 291.04= 100

15.3 x 291.04 = 4425.912

your answer is 4425.912$

2007-05-27 20:34:17 · answer #3 · answered by Anonymous · 0 0

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