conditions? Use the percentage method table in the appendix to this
chapter.
a. Allison is single and claims three withholding allowances
b. Allison is married and claims three withholding allowances
c. Allison is single and claims one withholding allowance
57. Jones Company has the following employees on payroll:
Calculate the payroll for the last pay period in February. Include in
your calculations federal withholding, FICA, and FUTA. Assume that
Jones Company received the maximum credit for state unemployment
taxes
Chapter 11, complete problem 49 and problem 52. Submit these items
to your instructor.
49. Will, who is single and under age 50, is employed as a full-time tax
accountant at a local manufacturing company where he earns $60,000
per year. He participates in a pension plan through his employer. Will
also operates a small tax practice in his spare time during tax season
and has net Schedule C income of $8,000. He is interested in
establishing and contributing to other retirement plans. What options
are available to Will?
52. Ken is a self-employed architect in a small firm with four
employees: himself, his office assistant, and two drafters, all of whom
have worked for Ken full-time for the last four years. The office
assistant earns $30,000 per year and each drafter earns $40,000. Ken’s
net earnings from self-employment (after deducting all expenses and
one-half of self-employment taxes) are $305,000. Ken is considering
whether to establish an SEP plan and has a few questions.