CHAPTER 11 HW: Q3

Wage and Tax Statement Data on Employer FICA Tax 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 filling with the Social Security Administration, the employees' earings 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 employees income taxes withheld, which are summarized as follows, were obtained from personnel records and payroll records Date First Monthly Monthly Income Employee Employed Salary Tax Withheld Arnett Jan, 2 53,300 5462 Cruz Oct. 1 5,800 1.044 Edwards Apr 16 2.900 363 Harvin Nov. 1 2.400 Nicks Jan. 16 5.300 1.305 Shiance Dec 1 3.100 Ward Feb. 1 6.400 1,376 Required: 1. Calculate the mounts to be reported on each employee's Wape and Tax Statement Forest W-2) for 20v mint that all 300 491 Required: 1. Calculate the amounts to be reported on each employee's Wage and Tax Statement (Form W-2) for 2018 Note: Round amounts to the nearest whole dollar and enter all amounts as positive values Employee Gross Earnings Federal Income Tax Withheld Social Security Tax withheld Medicare Tax Withheld Arnett Cruz Edwards Harvin Nicks Shance Ward 2. Calculate the following employer pay taxes for the year sodal security Medicare state unemployment compensation at 5.45 on the fiest 510,000 of each employee's sargstederal unemployment compensatie 0.5% on the first $10,000 of each emolyes caminos (e) total Note: Round amounts to the nearest whole della camounts sportive ca) b) 2. Calculate the following employer payroll taxes for the year: (a) social security: (b) Medicare; (c) state unemployment compensation at 5.45 on the first 510,000 of each employee's earnings: (d) federal unemployment compensation at 0,6% on the first $10,000 of each employee's earings: (e) total. Note: Round amounts to the nearest whole dollar and enter all amounts as positive values (a) (b) (c)