Chapter 11 Current Liabilities and Payroll Accounting 499 four employees. FICA Social Security taxes are 6.2% of the first $118,500 paid to each ICA Medicare taxes are 1.45% of gross pay. Also, for the first $7,000 paid to each em- 's FUTA taxes are 0.6% and SUTA taxes are 2.15%. The company is preparing its paring its empl ns at In. Problem 11 Payroll expenses, Palo aco aloma Co. has -3A comployee, and FICA Medic ee, the company's etalculatio ns for the week ended August 25. Payroll records show the following information for the withholdings, and taxes P2 P3 mpany's four employees. Gross Pay through Aug. 18 $117,400 117,600 Current Week Gross Pay Income Tax Withholding Name Da 4 Trey 5 Kiesha Chee $2,000 900 450 400 $284 145 39 30 6,900 1,250 iadition to gross pay, the company must pay two-thirds of the $60 per employee weekly health insur- employee pays the remaining one-third. The company also contributes an extra 8% of each rmployee's gross pay (at no cost to employees) to a pension fund Required epute the following for the week ended August 25 (round amounts to the nearest cent: Each employee's FICA withholdings for Social Security. bach employee's FICA withholdings for Medicare. Check (3) $176.70 . Employer's FICA taxes for Social Security. (4) $54.38 (5) $3.00 ployer's FICA taxes for Medicare. 5. Employer's FUTA taxes &. Employer's SUTA taxes. (7) Total net pay. $2,940.92 employee's net (take-home) pay ployer's total payroll-related expense for each employee. Problem 11-4A hasine razors for resale. Lobo uses the perpetual rh Warranty expense and Chapter 11 Current Liabilities and Payroll Accounting 499 four employees. FICA Social Security taxes are 6.2% of the first $118,500 paid to each ICA Medicare taxes are 1.45% of gross pay. Also, for the first $7,000 paid to each em- 's FUTA taxes are 0.6% and SUTA taxes are 2.15%. The company is preparing its paring its empl ns at In. Problem 11 Payroll expenses, Palo aco aloma Co. has -3A comployee, and FICA Medic ee, the company's etalculatio ns for the week ended August 25. Payroll records show the following information for the withholdings, and taxes P2 P3 mpany's four employees. Gross Pay through Aug. 18 $117,400 117,600 Current Week Gross Pay Income Tax Withholding Name Da 4 Trey 5 Kiesha Chee $2,000 900 450 400 $284 145 39 30 6,900 1,250 iadition to gross pay, the company must pay two-thirds of the $60 per employee weekly health insur- employee pays the remaining one-third. The company also contributes an extra 8% of each rmployee's gross pay (at no cost to employees) to a pension fund Required epute the following for the week ended August 25 (round amounts to the nearest cent: Each employee's FICA withholdings for Social Security. bach employee's FICA withholdings for Medicare. Check (3) $176.70 . Employer's FICA taxes for Social Security. (4) $54.38 (5) $3.00 ployer's FICA taxes for Medicare. 5. Employer's FUTA taxes &. Employer's SUTA taxes. (7) Total net pay. $2,940.92 employee's net (take-home) pay ployer's total payroll-related expense for each employee. Problem 11-4A hasine razors for resale. Lobo uses the perpetual rh Warranty expense and
