Muller Corp. pays its employees monthly. The payroll information
listed below is for January 2018, the first month of Muller’s
fiscal year.
Salaries | $ | 320,000 | |
Federal income taxes to be withheld | 72,000 | ||
Federal unemployment tax rate | 0.60 | % | |
State unemployment tax rate (after FUTA deduction) | 5.40 | % | |
Social Security tax rate | 6.20 | % | |
Medicare tax rate | 1.45 | % | |
Required:
Prepare the appropriate journal entries to record salaries and
wages expense and payroll tax expense for the January 2018 pay
period. (If no entry is required for a transaction/event,
select "No journal entry required" in the first account
field.)
record the entry for the salaries and wages expense.
record the entry for payroll tax expense.
Gross pay | 320000 | ||
Federal withholding | 72000 | ||
FICA Social security | 19840 | (320000*6.2%) | |
FICA medicare | 4640 | (320000*1.45%) | |
Net pay | 223520 | ||
1 | Particulars | Debit | Credit |
Salaries and Wages expense | 320000 | ||
Income tax witheld | 72000 | ||
Fica taxes payable | 19840 | ||
Fica medicare payable | 4640 | ||
Salaries and wages payable | 223520 | ||
FICA Social security | 19840 | (320000*6.2%) | |
FICA medicare | 4640 | (320000*1.45%) | |
FUTA | 1920 | (320000*.6%) | |
SUTA | 7360 | (320000*2.3%) | |
Total ER taxes | 33760 | ||
2 | Particulars | Debit | Credit |
Payroll expense | 33760 | ||
FICA taxes payable | 19840 | ||
FiCA medicare payable | 4640 | ||
FUTA payable | 1920 | ||
SUTA payable | 7360 | ||
Muller Corp. pays its employees monthly. The payroll information listed below is for January 2018, the...
Muller Corp. pays its employees monthly. The payroll information listed below is for January 2018, the first month of Muller’s fiscal year. Salaries $ 480,000 Federal income taxes to be withheld 88,000 Federal unemployment tax rate 0.60 % State unemployment tax rate (after FUTA deduction) 5.40 % Social Security tax rate 6.20 % Medicare tax rate 1.45 % Required: Prepare the appropriate journal entries to: Record salaries and wages expense and payroll tax expense for the January 2018 pay period.
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Barbara Muller Services (BMS) pays its employees monthly. The payroll information listed below is for January 2021, the first month of BMS's fiscal year. Assume none of the employees' earnings reached $7,000 during the month. Salaries Federal income taxes to be withheld Federal unemployment tax rate (FUTA) State unemployment tax rate (after FUTA deduction) Social security tax rate Medicare tax rate $ 88,000 26,000 0.80% 5.40% 6.2% 1.45% The journal entry to record payroll for the January 2021 pay period...
Barbara Muller Services (BMS) pays its employees monthly. The payroll information listed below is for January 2021, the first month of BMS's fiscal year. Assume none of the employees' earnings reached $7,000 during the month. Salaries $ 70,000 Federal income taxes to be withheld 17,000 Federal unemployment tax rate (FUTA) 0.80 % State unemployment tax rate (after FUTA deduction) 5.40 % Social security tax rate 6.2 % Medicare tax rate 1.45 % The journal entry to record payroll for the...
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Lee Financial Services pays employees monthly. Payroll information is listed below for January 2018, the first month of Lee's fiscal year. Assume that none of the employees exceeded any relevant wage base. Salaries Federal income taxes to be withheld Federal unemployment tax rate State unemployment tax rate (after PUTA deduction) Social security tax rate Medicare tax rate $550.000 110,000 0.608 5.400 6.200 1.450 Required: Calculate the income and payroll taxes for the January 2018 pay period. Prepare the appropriate journal...
Lee Financial Services pays employees monthly Payroll information is listed below for January 2021, the first month of Lee's fiscal year. Assume that none of the employees exceeded any relevant base of pay, such that all benefit percentages apply to the entire $480,000 payroll Salaries Federal income taxes to be withheld Federal unemployment tax rate State unemployment tax rate (after SUTA deduction) Social security tax rate Medicare tax rate $480,000 96,000 0.60% 5.40% 6.20% 1.45% Required: Calculate the income and...
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Lee Financial Services pays employees monthly, Payroll Information is listed below for January 2018, the first month of Lee's fiscal year Assume that none of the employees exceeded any relevant wage base. Salses Federal income taxes to be withheld Federal unemployment tax rate State U ployant tax rate after HUTA deduction) social security tax rate Medicare tax rate 5.23 Required: Calculate the income and payroll taxes for the January 2018 pay period. Prepare the appropriate journal entries to record salaries...