Question

Mest Company has nine employees. FICA Social Security taxes are 6.2% of the first $128,400 paid to each employee, and FICA Medicare taxes are 1.45% of gross pay. FUTA taxes are 0.6% and SUTA taxes are 5.4% of the first $7,000 paid to each employee. Cumulative pay for the current year for each of its employees follows.

Employee	Cumulative Pay		Employee	Cumulative Pay		Employee	Cumulative Pay
Ken S	$	5,600	Michelle W	$	149,500	Lori K	$	136,900
Tim V		46,400	Michael M		112,900	Kitty O		42,900
Steve S		93,000	Zach R		134,400	John W		10,000

a. Compute the amounts in this table for each employee.
b. For the company, compute each total for FICA Social Security taxes, FICA Medicare taxes, FUTA taxes, and SUTA taxes.

Complete this question by entering your answers in the tabs below. Required A Required B Compute the amounts in this table for each employee. Pay Subject to FICA Social Security Pay Subject to FICA Medicare Pay Subject to FUTA Taxes Pay Subject to SUTA Taxes Employee Ken S Tim V Steve S Michelle W Michael M Zach R Lori K Kitty O John W Totals Cumulative Pay 5,600 46,400 93,000 149,500 112,900 134,400 136,900 42,900 10,000 $ 731,600

Answer 1

Part-a
Employees	Cumulative Pay	Pay Subject to FICA Social Security	Pay Subject to FICA Medicare	Pay Subject to FUTA Taxes	Pay Subject to SUTA Taxes
Ken S	$5,600	$5,600	$5,600	$5,600	$5,600
Tim V	$46,400	$46,400	$46,400	$7,000	$7,000
Steves S	$93,000	$93,000	$93,000	$7,000	$7,000
Michael M	$149,500	$149,500	$149,500	$7,000	$7,000
Eric C	$112,900	$112,900	$112,900	$7,000	$7,000
Kyle B	$134,400	$128,400	$134,400	$7,000	$7,000
Lori K	$136,900	$128,400	$136,900	$7,000	$7,000
Kitty O	$42,900	$42,900	$42,900	$7,000	$7,000
John W	$10,000	$10,000	$10,000	$7,000	$7,000
Totals	$731,600	$717,100	$731,600	$61,600	$61,600

Part-b
	Tax paid by Employer	Tax paid by Employee	Total
Social Security Tax Payable (731,600 x 6.2%)	$45,359.20	$45,359.20	$90,718.40
Medicare Tax Payable ($7316,00 x 1.45%)	$10,608.20	$10,608.20	$21,216.40
Feta Tax Payable (61600 x .6%)	$369.60
Suta Tax Payable (61600 x 5.4%)	$3,326.40