also deducts $$250$ monthly for co$-$payment of the health insurance premium. As of September $30,$ Juan had $$138,000$ of cumulative earnings.

View the payroll tax information.

Read the requirements.

Requirement $1.$ Compute Bailey's net pay for October. $($Round all amounts to the nearest cent.$)$

Gross pay

Withholding deductions:

Requirements

Compute Bailey's net pay for October.

Journalize the accrual of salaries expense and the payment related to the

employment of Bailey.

Payroll Tax Information

For all payroll calculations, use the following tax rates and round amounts to the

nearest cent:

Employee: OASDI: $6\mathrm{.}2\%$ on first $$147,000$ earned; Medicare: $1\mathrm{.}45\%$ up to

$$200,000,2\mathrm{.}35\%$ on earnings above $$200,000.$

Employer: $,$ OASDI: $6\mathrm{.}2\%$ on first $$147,000$ earned; Medicare: $1\mathrm{.}45\%$; FUTA:

$0\mathrm{.}6\%$ on first $$7,000$ earned; SUTA: $5\mathrm{.}4\%$ on first $$7,000$ earned.