Emp A | Emp B | Emp C | Total | |
Current pay sub. to tax (in $) | 500 | 300 | 700 | 1500 |
FUTA tax(wages * 0.006) (in $) | 3 | 1.8 | 4.2 | 9 |
SUTA tax (wages * 0.054) (in $) | 27 | 16.2 | 37.8 | 81 |
Note : 1. Since total wages for the current year is $1500, employer is liable to pay payroll taxes.
2. Since wages are within the wage cap limit for the current year, calculations as above and below.
Emp A |
Emp B | Emp C | Total | |
Current pay sub. to tax ($) | 500 | 300 | 700 | 500 |
FICA SS Tax (wages * 0.062) (in $) | 31 | 18.6 | 43.4 | 93 |
FICA Med Tax (wages * 0.0145) (in $) | 7.25 | 4.35 | 10.15 | 21.75 |
Total Payroll taxes (in $) = $9 + $81 + $93 + $21.75 = $204.75
Current year pay net of taxes (in $) | Emp A | Emp B | Emp C | Total |
408 | 259.05 | 604.45 | 1271.5 |
Journal entry in the books
Particulars | Debit amount (in $) | Credit amount (in $) |
Salaries & Wages |
1500 | |
To Employee A |
431.75 |
|
To Employee B | 259.05 | |
To Employee C | 604.45 | |
To FUTA Tax payable | 9 | |
To SUTA Tax payable | 81 | |
To FICA Tax payable (93+21.7) | 114.75 |
PROBLEM V: PREPARING THE PAYROLL TAX ENTRY (10 Using the information below, determine the amount of...
PROBLEM Y: PREPARING THE Using the information below, determine payroll period ending March 31, 2018 FUTA, and SUTA. Then, recor THE PAYROLL-TAY-ENTRY (10 POINTS Manch h e amount of the p laces incurred for Mary Jane's Pies for the In your answer is the amount for FICA: (Social Security and Medicare record the payroll somal entry of the emple Employee Current Period Gross Pay 300 700 Cewe Gry Farger Curreal 5,000 4.200 8.100 Assume the following [0FUTA net Tax 6%...
Use the following information for the Exercises below. (The following information applies to the questions displayed below.] BMX Company has one employee. FICA Social Security taxes are 6.2% of the first $128.400 paid to its employee, and FICA Medicare taxes are 1.45% of gross pay. For BMX, its FUTA taxes are 0.6% and SUTA taxes are 5.4% of the first $7,000 paid to its employee. Gross Pay through August 31 $ 6,600 2,100 122, 300 a. b. c. Gross Pay...
Use the following information for the Exercises below. (The following information applies to the questions displayed below.] BMX Company has one employee. FICA Social Security taxes are 6.2% of the first $128.400 paid to its employee, and FICA Medicare taxes are 1.45% of gross pay. For BMX, its FUTA taxes are 0.6% and SUTA taxes are 5.4% of the first $7,000 paid to its employee. Gross Pay through August 31 $ 6,600 2,100 122, 300 a. b. c. Gross Pay...
Required information [The following information applies to the questions displayed below.] BMX Company has one employee. FICA Social Security taxes are 6.2% of the first $128,400 paid to its employee, and FICA Medicare taxes are 1.45% of gross pay. For BMX, its FUTA taxes are 0.6% and SUTA taxes are 5.4% of the first $7,000 paid to its employee. Gross Pay through August 31 Gross Pay for September a. $ 5,900 $ 1,400 b. 2,700 2,800 c. 123,500 9,400 Compute...
a) Tax September Earnings Subject to Tax Tax Rate Tax Amount FICA—Social Security $1,400.00 6.20% $86.80 FICA—Medicare 1,400.00 1.45% 20.30 FUTA 900.00 3.10% 27.90 SUTA 900.00 2.90% 26.10 b) Tax September Earnings Subject to Tax Tax Rate Tax Amount FICA—Social Security $3,700.00 6.20% $229.40 FICA—Medicare 3,700.00 1.45% 53.65 FUTA 3.10% SUTA 2.90% c) Tax September Earnings Subject to Tax Tax Rate Tax Amount FICA—Social Security 6.20% FICA—Medicare 9,600 1.45% 139.20 FUTA 3.10% SUTA 2.90% CH Required information The following information...
Required information [The following information applies to the questions displayed below.) Part 1 of 3 0.62 points BMX Company has one employee. FICA Social Security taxes are 6.2% of the first $128,400 paid to its employee, and FICA Medicare taxes are 1.45% of gross pay. For BMX, its FUTA taxes are 0.6% and SUTA taxes are 5.4% of the first $7,000 paid to its employee. Gross Pay for September Gross Pay through August 31 $ 6,200 2,850 123,800 a. b....
I need to figure out the September earnings subject to tax for FUTA & SUTA. And also the general journal. BMX Company has one employee. FICA Social Security taxes are 6.2% of the first $128,400 paid to its employee, and FICA Medicare taxes are 1.45% of gross pay. For BMX, its FUTA taxes are 0.6% and SUTA taxes are 5.4% of the first $7.000 paid to its employee. Gross Pay through August 31 $ 5,600 2,550 123,200 Gross Pay for...
Required information Use the following information for the Exercises below. [The following information applies to the questions displayed below.] BMX Company has one employee. FICA Social Security taxes are 6.2% of the first $128,400 paid to its employee, and FICA Medicare taxes are 1.45% of gross pay. For BMX, its FUTA taxes are 0.6% and SUTA taxes are 5.4% of the first $7,000 paid to its employee. Gross Pay through August 31 Gross Pay for September a. $ 6,100 $...
From the following information from the payroll register of Veronica's Auto Supply Store, calculate the amount of taxable earnings for unemployment and FICA tax, and prepare the journal entry to record the employer's payroll taxes as of April 30, 20--. Social Security tax is 6.2% on the first $94,200 of earnings for each employee. Medicare tax is 1.45% of gross earnings. FUTA tax is 0.8%, and SUTA tax is 5.4% each on the first $7,000 of earnings. Cumulative Pay Current...
Required information (The following information applies to the questions displayed below.] BMX Company has one employee. FICA Social Security taxes are 6,2% of the first $128,400 paid to its employee, and FICA Medicare taxes are 1.45% of gross pay. For BMX, its FUTA taxes are 0.6% and SUTA taxes are 5.4% of the first $7,000 paid to its employee. Gross Pay through August 31 $ 6,100 2,800 123, 700 Gross Pay for September $1,400 2,900 9,600 a. b. C. Compute...