Question

63. The payroll register for Automotive Service Center for the pay period ended June 30, 20--, showed the following: Total Earnings $623,000.00 Taxable Earnings: FUTA 4,500.00 SUTA 4,500.00 Social Security 574,000.00 Deductions: Federal income tax 91,800.00 Social Security tax 35,588.00 Medicare tax 9,033.50 Pension plan 4,800.00 Health insurance 16,200.00 United Way 12,000.00 The Social Security tax rate is 6.2%, Medicare tax is 1.45%, FUTA tax is 0.8%, and SUTA tax is 5.4%. Required: 1. Prepare a journal entry to record the payroll on June 30, 20- 2. Prepare a journal entry to record the employer's payroll taxes.

I got these wrong. What should these look like?

Answer 1

	Date	General Journal	Debit	Credit
1	June 30, 20--	Salaries and wages expense	623000.00
		Federal income tax payable		91800.00
		Social security tax payable		35588.00
		Medicare tax payable		9033.50
		Pension plan payable		4800.00
		Health insurance payable		16200.00
		United way contribution payable		12000.00
		Salaries and wages payable		453578.50
		(To record the payroll)
2	June 30, 20--	Payroll tax expense	44900.50
		Social security tax payable		35588.00
		Medicare tax payable		9033.50
		FUTA tax payable ($4500 x $0.8%)		36.00
		SUTA tax payable ($4500 x 5.4%)		243.00
		(To record the employer's payroll taxes)