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Calculating Excess Wages

Please see the following table for an example of how to calculate excess wages.

Excess Wage Base for 2021 is $38,900.00

Employee 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Total
John
Excess Wages
$9,250.00
$0.00
$9,250.00
$0.00
$9,250.00
$0.00
$9,250.00
$0.00
$37,000.00
$0.00
Mary
Excess Wages
$18,500.00
$0.00
$18,500.00
$0.00
$18,500.00
$16,600.00
$18,500.00
$18,500.00
$74,000.00
$35,100.00
Sue
Excess Wages
$1,000.00
$0.00
$1,000.00
$0.00
$1,000.00
$0.00
$1,000.00
$0.00
$4,000.00
$0.00
Total Wages $28,750.00 $28,750.00 $28,750.00 $28,750.00 $115,000.00
Excess Wages $0.00 $0.00 $16,600.00 $18,500.00 $35,100.00
Taxable Wages $28,750.00 $28,750.00 $12,150.00 $10,250.00 $79,900.00

* Contributions (taxes) are not paid on wages in excess of $38,900.00 for each employee.