Sue's 2019 net (take-home)pay was $23,205.Her only payroll deductions were for payroll taxes and federal income tax.Federal income tax withholdings totaled $4,500.What was the amount of her gross wages for the year?

Question

Quizplus · Accepted Answer

To find Sue's gross wages, add her net pay and federal income tax withholdings: $23,205 + $4,500 = $27,705. Since the options do not include $27,705, we must consider additional payroll taxes. Assuming typical payroll taxes (Social Security and Medicare) are around 7.65% of gross wages, we can estimate gross wages to be approximately $30,000, which is option B.

Sue's 2019 Net (Take-Home)pay Was $23,205