Gross-Up Worksheet

Net Amount: (employee receives)
FICA Tax (6.2%):
MEDI Tax (1.45%):
Withholding Tax (25.0%):
Gross Up Amount: (department pays *)

* Gross Up Amount: This is the amount that the department needs to pay that will show on the employee’s check before withholdings.

NOTE: The gross-up calculation is an estimate using the IRS supplemental tax rate of 25 percent. This is an average tax rate, since each employee is normally taxed according to the information provided on their IRS Form W-4, with the exception of Superior Accomplishment Awards and awards provided using the AWD earnings code (as of August 11, 2017), which are taxed using the supplemental tax rate of 25 percent. There are also employees who are subject to the annual wage based limit for paying Social Security taxes. The OASDI wage based limit for 2017 is $127,200, and the wage based limit for 2018 is $128,700.