Dawn earns $16,500 per year. She pays 9.5% of her gross income in
state and local taxes. How much is withheld from each paycheck for
these taxes if she is paid biweekly?
There are 26 biweekly pay periods in a year (52 weeks divided by 2).
To calculate Dawn's biweekly gross income, divide her annual salary by 26:
$16,500 / 26 = $634.62
To calculate the amount withheld from each biweekly paycheck for state and local taxes, multiply her biweekly gross income by the tax rate:
$634.62 x 0.095 = $60.39
Therefore, $60.39 would be withheld from each biweekly paycheck for state and local taxes.