Martin Jackson receives an hourly wage rate of $30, with time-and-a-half pay for all hours worked in excess of 40 hours during a week. Payroll data for the current week are as follows: hours worked, 46; federal income tax withheld, $350; social security tax rate, 6.0%; and Medicare tax rate, 1.5%. What is the net amount to be paid to Jackson?Gross Pay = Earnings at Regular Rate + Earnings at Overtime RateGross Pay = [($30 × 40) + ($30 × 1.5 × 6)] = $1,470Net Pay = Gross Pay - (Federal Income Tax + Social Security Tax + Medicare Tax)Net Pay = $1,470 - [$350 + ($1,470 × 6.0%) + ($1,470 × 1.5%)] = $1,009.75

Since Martin Jackson worked 46 hours during the week and normal weekly working hours is 40, he'll be paid standard wage rate for 40 hours and time-and-a-half pay for all hours worked in excess of 40 hours during a week.

Hence Gross Pay = [($30 × 40 hours) + ($30 × 1.5 × 6 hours)] = $1,470

Net Pay = Gross Pay - (Federal Income Tax + Social Security Tax + Medicare Tax)

The net pay will be his gross pay less all statutory deductions

Net Pay = $1,470 - [$350 + ($1,470 × 6.0%) + ($1,470 × 1.5%)] = $1,009.75