Locate the row corresponding to the income range containing $1,166.
Locate the column corresponding to 0 withholding allowances.
Find the value at the intersection of the identified row and column.
The amount of income tax withheld each week is $337 .
Explanation
Understanding the Problem We are given a weekly gross taxable income of $1,166 and 0 exemptions claimed. We need to find the amount of income tax withheld each week using the provided table.
Finding the Correct Row First, we need to locate the correct row in the table. The income is $1,166, so we look for the row where the 'At least' value is less than or equal to $1,166 and the 'But less than' value is greater than $1,166. The row corresponding to 'At least 1,160' and 'But less than 1,170' satisfies this condition.
Finding the Correct Column Next, we need to find the correct column. Since 0 exemptions are claimed, we look at the column labeled '0'.
Determining the Withheld Amount Now, we find the intersection of the row 'At least 1,160' and 'But less than 1,170' and the column '0'. The value at this intersection is 337. Therefore, the amount of income tax withheld each week is $337.
Final Answer The amount of income tax withheld each week is $337.
Examples
Understanding income tax withholding is crucial for financial planning. For instance, if you're starting a new job, knowing how your income tax is calculated helps you estimate your net pay. This knowledge enables you to budget effectively, plan for expenses, and understand the impact of tax exemptions or deductions on your take-home pay. By understanding these concepts, you can make informed financial decisions and avoid surprises during tax season.