1. Steph’s calculations
Fall 2018

2. You asked, I brought it!!!! Gross Up’s – using limits (SS and Med)
Piece Rate
Tip Credit
Regular Rate of Pay
Tax Withholdings

3. Problem #1
A nonexempt employee receives an hourly wage of $14.00 for a 40-hour workweek. During one workweek the employee worked 49 hours. The employee earned and was paid a non- discretionary bonus of $ Calculate the employee’s total earnings for the workweek.
$14 x 49 = $686
$686 + $125 = $811
$811/49 = $16.55
$16.55 X .5 = $8.28
$8.28 x 9 = $74.52
$ $811 = $885.52

4. Calculate the employee’s Medicare taxable wages from the following information:
Gross Wages: $ 3,500.00
YTD Taxable Wages: $ 56,000.00
Cafeteria Plan Deductions: $
401(k) deferral: $
$3500-$ = $
Question # 2

5. Question # 3 Checking your work Calculation
The employee is to receive a year-end bonus of $75, The employer has agreed to pay all taxes on the bonus. The employee has YTD Medicare wages of $145, and works in a state with no supplemental wage withholding rate. Calculate the gross pay for this year-end bonus payment.
$200,000 - $145,000 = $55,000
$55,000 x .09% = $495
$75,000 - $495 = $74,505
22% % + .9% = 24.35% 100%-24.35% = 75.65%
$74,505 / = $98,486.45
$145,000 + $98, = $243,486.45
$243, $200, = $43,486.45
$43, x .09% = $391.38
$98, x 1.45% = $
$98, x 22% = $21,667.02
$21, $ $ = $23,486.45
$98, $23, = $75,000.00

6. Question # 4 A nonexempt tipped employee worked 37 hours in the current workweek and received $185 in tips.  The employer utilizes the tip credit. Under FLSA, calculate the employee’s gross pay for the workweek.
37 x $2.13 = $78.81
$ $ = $263.81
$ / 37 = $7.13
$ $7.13 = $.12
$.12 x 37 = $4.44
$ $4.44 = $268.25
This Photo by Unknown Author is licensed under CC BY-NC-ND

7. Question # 5 A nonexempt employee receives an hourly wage of $10
Question # 5 A nonexempt employee receives an hourly wage of $10.00 for a 40-hour workweek. During week one the employee worked 39 hours and week two worked 43 hours. The employee earned and was paid a non-discretionary bonus of $ Calculate the employee’s total earnings for the pay period.
39 x $10 = $ X $10 = $430
= 82
$390 + $430 + $250 = $1070
$1070/82 = $13.05
$13.05 X .5 = $6.53
$6.53 x 3 = $19.59
$ $1070 = $

8. Question # 6 Calculate the employee’s federal income taxable wages from the following information: Gross Wages: $ 7, YTD Taxable Wages: $ , Cafeteria Plan Deductions: $ (k) deferral: $ Garnishment: $
$ $ = $1,150.00
$7, $1, = $6,350.00

9. $128,400 - $120,700 = $7, $7,700 x 6.2% = $477.4
$15,000 + $ = $15,477.40
22% % = 23.45% % % = 76.55%
$15, / 76.55% = $20,218.68
Checking your work
$20, x 22% = $4, $20, x 1.45% = $293.17
$4, $ $477.4 = $5,218.68
$5, = $15, = $20,218.68
Question # 7 The employee is to receive a year-end bonus of $15, The employer has agreed to pay all taxes on the bonus. The employee has been paid $120, year to date and the employee works in a state with no supplemental wage withholding rate. Calculate the gross pay for this year-end bonus payment.

10. Question # 8 An employee earns $10. 50 per hour AND is paid weekly
Question # 8 An employee earns $10.50 per hour AND is paid weekly. They worked 45 hours in the work week. The federal income tax withheld is $75.00 and state income tax withheld is $ The employee contributes $15.00 each pay to United Way. What is the employee’s disposable earnings?
$10.50 x 45 = $472.50
$10.50 x .5 = $5.25
$5.25 x 5 = $26.25
$ $26.25 = $498.75
$ * = $ Med
$ * .062 = $ SS
$ $ $ $7.23 = $140.15
$ $ = $358.60

11. Question # 9
39 x $2.13 = $83.07
$ $ = $308.07
$ / 39 = $7.89
$7.89 > $7.25
A nonexempt tipped employee worked 39 hours in the current workweek and received $225 in tips.  The employer utilizes the tip credit. Under FLSA, calculate the employee’s gross pay for the workweek.

12. Question # 10 A production worker is paid $0
Question # 10 A production worker is paid $0.60 per unit under a piece-rate agreement.   During the past workweek, the employee produced 850 units in 46 hours.   Under FLSA, calculate the total earnings for the employee.
850 x $.60 = $510.00
$ / 46 = $11.09
$11.09 x .5 = $5.55
$5.55 x 6 = $33.3
$ $33.33 = $543.33
This Photo by Unknown Author is licensed under CC BY-SA-NC

13. Question # 11 The employee is to receive a year-end bonus of $20,000
Question # 11 The employee is to receive a year-end bonus of $20, The employer has agreed to pay all taxes on the bonus. The employee has been paid $90, year to date and the state supplemental wage withholding rate is 4.5%. Calculate the gross pay for this year-end bonus payment.
Calculation
Checking your work
$90,000 + $20,000 = $110,000.00
22% + 6.2% + 4.5% % = %
100% % = 65.85%
$20,000 / 65.85% = $30,372.06
$30, x 22% = $6,681.85
$30, x 6.2% = $
$30, x 4.5% = $
$30, x 1.45% = $440.39
$ $ $ $ = $10,372.05
$10, $20,000 = $30,372.05

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