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Q: Betty Meyer makes $40,000 per year as an exempt employee. She worked 25 hours of overtime in the month of March. Payday for wages earned in the month of March is April 7. Ignoring Federal and State
income tax withholdings, how much would she receive for September net of Social Security and Medicare taxes?
A: As an exempt emploXXXXX, XXXXX will not receive additional compensation for overtime worked. Exempt employees are "exempt" from time reporting and as such receive a flat salary. Professionals are usually exempt employees. [ Mary receives $3,145 net pay which considers her FICA liability but not any federal tax withholding. On March 31, the employer will debit salaries expense and credit
salaries payable. On april 7, the employer will debit salaries payable and credit cash to record the payment. ]
Expert answered|Meynard|Points 125|
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Asked 6/19/2013 6:53:06 PM
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