Eliza likes to make daily events into games of chance. For instance, before she went to buy ice cream at the local ice cream par
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Answer:
Susan's take-home pay <u>$48,645</u>.
Step-by-step explanation:
Given:
Susan, a recent college graduate, makes a base salary of $70,000 per year. Susan has federal income tax withholding of $12,000, and state tax withholding of $4,000. Employers are required to withhold a 6.2% Social Security tax and a 1.45% Medicare tax.
Now, to find Susan's take-home pay.
Basic salary = $70,000.
Now, her tax withholdings:
Federal income tax = $12,000.
State tax = $4,000.
<u><em>Social security tax = 6.2% of $70,000.</em></u>
<u><em>Medicare tax = 1.45% of $70,000.</em></u>
Now, to get the take-home pay of Susan's we subtract all the tax holdings of federal, state, social and medicare from the basic salary:
Therefore, Susan's take-home pay $48,645.