Answer:
(a)$1455.77
(b)$387.97
(c)$1067.80
Explanation:
(a)Manuel's proposed annual income = $37,850
There are 52 weeks in a year, this means that if he is paid bi-weekly (every two weeks), he will receive his salary 26 times a year.
His Biweekly pay will be:
[tex]\begin{gathered} =\frac{37,850}{26} \\ =\$1455.77 \end{gathered}[/tex](b)
Federal Income Tax = 15% of his gross pay
[tex]\begin{gathered} =\frac{15}{100}\times1455.77 \\ Federal\; Income\; Tax=\$218.37 \end{gathered}[/tex]State Income Tax = 4% of his gross pay
[tex]\begin{gathered} =\frac{4}{100}\times1455.77 \\ State\; Income\; Tax=\$58.23 \end{gathered}[/tex]Social Security and Medicare taxes = 7.65% of his gross pay
[tex]\begin{gathered} =\frac{7.65}{100}\times1455.77 \\ =\$111.37 \end{gathered}[/tex]The total taxes paid will be:
[tex]\begin{gathered} Taxes=218.37+58.23+111.37 \\ =\$387.97 \end{gathered}[/tex](c)
Therefore, his net pay (take-home pay) will be:
[tex]\begin{gathered} \text{Net Pay==}1455.77-387.97 \\ =\$1067.80 \end{gathered}[/tex]
