Question

# Sophie is a single taxpayer. For the first payroll period in July 2019, she is paid...

Sophie is a single taxpayer. For the first payroll period in July 2019, she is paid wages of \$2,200 monthly. Sophie claims one allowance on her Form W-4. Click here to access the withholding tables. Table for Allowances Amount per Circular E. Payperiod 2019 Allowance Amount

Weekly \$ 80.80

Biweekly 161.50

Semimonthly 175.00

Monthly 350.00

Quarterly 1,050.00

Semiannually 2,100.00

Annually 4,200.00

a. Use the percentage method to calculate the amount of Sophie's withholding for a monthly pay period. Sophie's

withholding: \$__________

b. Use the wage bracket method to determine the amount of Sophie's withholding for the same period.\$________

a. Total wage payment = \$2,200

One allowance = \$350

Amount subject to withholding = \$2,200 - \$350 = \$1,850

Tax to be withheld on \$1,850 from Table 1 - single person, page 46 = \$167.8

Sophie's withholding using the percentage method = \$167.8

b. Total wage payment = \$2,200

Tax to be withheld on \$2,200 from Table "Wage Bracket Method Tables for Income Tax Withholding SINGLE Persons—MONTHLY Payroll Period" Page 61 is \$166.

Sophie's withholding using the wage bracket method = \$166