Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

1. Amounts to Be Reported on Wage and Tax Statements (Form W-2) Gross Earnings Federal Income Tax Withheld Social Security Tax Withhold Medicare Tax Withheld

image text in transcribed
image text in transcribed
1. Amounts to Be Reported on Wage and Tax Statements (Form W-2) Gross Earnings Federal Income Tax Withheld Social Security Tax Withhold Medicare Tax Withheld Employee Amett Cruz Edwards Harvin Nicks Shiancoe Ward Totals $ 8,250.00 57,600.00 24,000.00 6,000.00 110,000.00 116,000.00 7,830.00 $ 1.416.00 9,995.00 4,776.00 1,070.00 25,850.00 26,000.00 1,314.00 495.00 3,456.00 1.440.00 360.00 6,600.00 6,960.00 469.80 $ 123.75 864.00 360.00 90.00 1,650.00 1.740.00 117.45 2. Employer Payroll Taxes Social security tax paid by employer II b. Medicare tax paid by employer c. and d. SUTAFUTA Earnings $ 8,250.00 Employee Amett Cruz Edwards Harvin Nicks Shiancoe Ward Total 6.000.00 State unemployment compensation tax 7,830,00 7 Federal unemployment compensation tax Total employer payroll taxes 50 S2 55 54 50 517 PR 11-3A Wage and tax statement data on employer FICA tax OBJ. 2,3 Ehrlich Co. began business on January 2, 2018. Salaries were paid to employees on the last day of each month, and social security tax, Medicare tax, and federal income tax were withheld in the required amounts. An employee who is hired in the middle of the month receives half the monthly salary for that month. All required payroll tax reports were filed, and the correct amount of payroll taxes was remitted by the company for the calendar year. Early in 2019, before the Wage and Tax Statements (Form W-2) could be prepared for distribution to employees and for filing with the Social Security Administra- tion, the employees' earnings records were inadvertently destroyed. None of the employees resigned or were discharged during the year, and there were no changes in salary rates. The social security tax was withheld at the rate of 6.0% and Medicare tax at the rate of 1.5%. Data on dates of employment, salary rates, and em- ployees' income taxes withheld, which are summarized as follows, were obtained from personnel records and payroll records: Employee Arnett Cruz Edwards Harvin Nicks Shiancoe Ward Date First Employed Nov. 16 Jan. 2 Oct. 1 Dec. 1 Feb. 1 Mar. 1 Nov. 16 Monthly Salary $ 5500 4.800 8,000 6,000 10,000 11,600 5,220 Monthly Income Tax Withheld $ 944 833 1,592 1,070 2,350 2,600 876 Instructions 1. Calculate the amounts to be reported on each employee's Wage and Tax Statement Form W-2) for 20Y8, arranging the data in the following form: Gross Federal Income Social Security Medicare Employee Earnings Tax Withheld Tax Withheld Tax Withheld 2. Calculate the following employer payroll taxes for the year: (a) social security; (b) Medicare; (c) state unemployment compensation at 5.4% on the first $10,000 of each employee's earnings; (d) federal unemployment compensation at 0.6% on the first $10,000 of each employee's earnings: (e) total

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Intermediate Accounting

Authors: kieso, weygandt and warfield.

IFRS Edition

978-1118443965, 1118800532, 9781118800539, 978-0470873991

Students also viewed these Accounting questions