Determining deduction for Medicare tax. LO 10-4 e monthly salaries for December and the year-to-date earnings of the employees of Bush Consulting Company as of November 30 follow. Determine the amount of Medicare tax to be withheld from each employee's gross pay for December. Assume a 1.45 percent Medicare tax rate and that all salaries and wages are subject to the tax. (Round your final answers to 2 decimal places.) Year-to-Date Medicare Employee December EarningsTaxable Medicare Salary Earning | Tax 1.45% | r30 December $ 8,200 S98,300 69,300 122,300 1 99.300 8,300 9,009 8,300 2
The answer and procedures of the exercise are attached in a microsoft excel document.
There is no wage limit for the Medicare tax.
Explanation
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