The main purpose of the wage bracket withholding table is to:
A)Compute social security withholding.
B)Compute Medicare withholding.
C)Compute federal income tax withholding.
D)Prepare the W-4.
E)Compute gross earnings.

Question

Quizplus · Accepted Answer

The main purpose of the wage bracket withholding table is to compute the amount of federal income tax that needs to be withheld from an employee's paycheck based on their taxable income and withholding allowances claimed on their W-4 form. It does not calculate social security, Medicare, or gross earnings, and it is not used to prepare the W-4 form itself.

The Main Purpose of the Wage Bracket Withholding Table Is