Part one: scenario… the scenario is you were single and employed full-time as a manager. you have no children. your gross income is $49,500. you contributed $1800 to an ira account. you paid $2985 in home mortgage interest. you made $750 in charitable donations. you spent $2700 and non-reimbursed medical expenses beyond the 7.5% of adjusted gross income. the number of allowances is zero, one, and two. the federal withholding of zero is $7,682.48. the federal withholding of one is $6757.40. the federal withholding of two is $5832.58. part two: claim allowances… in order for your employer to pay you he must determine how much of your paycheck will go to the government so once you know your gross pay each year you must claim allowances on your w-4 form. use the personal allowances worksheet to you. a. enter one for yourself if no one else can claim you as a dependent. b. enter one if you are single and have only one job: or you are married, have only one job, and your spouse does not work: or your wages from a second job or your spouse is wages or the total of both are $1500 or less. c. answer one for your spouse. but you may choose to enter zero if you are married and have either a working spouse or more than one zero may you avoid having too little tax withheld. d. answer number of dependents other than your spouse or yourself that you will claim on your tax return. e. add lines a-d and enter total here. this is the total number of your allowances you may claim. after determining the number of allowances you will claim, find out how much federal income tax will be withheld from your paycheck for the year. first, find the scenario you were given. then use the chart to determine your withholdings based on your chosen allowances. you will submit the number of allowances and it's acompanying federal withholding amount to your instructor. part three: calculate taxable income… subtract any adjustments from your gross income to determine your adjusted gross income. determine if he will take a standard or itemized deduction based on your given scenario. if you take a standard adduction, use $5700 if you are single and $11,400 if you are married. calculate the value of your exemptions. use $3650 for each person supported by the income reported. subtracted the deductions and exemptions from the adjusted gross income. this is your taxable income. part four: calculate tax liability… if your taxable income is not over $8375, your tax liability is 10% of the taxable income. if your taxable income is over $8375 but not over $34,000, your tax liability is $837.50 +15% of the excess of $8375. if your taxable income is over $34,000 but not over $82,400 your tax liability is $4681.25 +25% of the excess over $34,000. if your taxable income is over $82,004 but not over $171,850, the tax liability is $16,781.25 +20% of the excess over $82,400. part five: analysis… provide a number of allowances an amount of federal withholding you claimed at the beginning of the activity. explain why you claimed this number of allowances. explain how you would determine if you owe the federal government money or if you would receive a fund. explain how you would calculate the amount of your payment to the government or the amount of your refund. provide a solution. change the number of personal allowance is that you made at the beginning of this activity. provide the following information to your instructor explain how you would determine if you owe the federal government money or if you would receive a fund. explain how you would calculate the amount of your payment to the government or the amount of your refund. provide a solution. change the number of personal allowances that you made at the beginning of this activity. provide the following information to your instructor: your new federal withholding, the new amount of your refund from the government or balance owed to the government, and an exclamation on why changing your personal allowances will increase or decrease the amount of taxes you must pay or the amount of a refund you will receive. after calculating the amount of money you must pay to the government or receive as a refund, would you reconsider how many personal allowances you claimed on the w-4? why or why not?