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Consider the following information for Carter Company for the payroll of April 9: (Click the icon to view the payroll.) (Click the icon to view
Consider the following information for Carter Company for the payroll of April 9: (Click the icon to view the payroll.) (Click the icon to view the payroll tax expense at the previous earnings.) If D. Toll earned $2,500 for the week instead of $250, what effect would this change have on the total payroll tax expense? (Round to the nearest cent as needed.) Total Company Payroll Taxes if D. Toll Earns $310/week Total Company Payroll Taxes if D. Toll Earns $2,500/week FICA- OASDI $ 113.15 FICA - Medicare 26.46 FUTA 7.05 63.45 SUTA $ 210.11 Total Employee Cumulative Earnings Before Weekly Payroll Gross Pay for the Week E. Bird $ 3,300 $ 975 Z. Grande 6,800 600 D. Toll 7,700 250 The FICA tax rate for OASDI is 6.2% on the first $127,200 earned, and Medicare is 1.45% on all earnings. Federal unemployment tax is 0.6% on the first $7,000 earned by each employee. The SUTA tax rate for Carter Company is 5.4% on the first $7,000 of employee earnings for state unemployment purposes. Based on this information, Carter Company's payroll tax expense for the April 9 payroll was as follows: Payroll taxes Earnings $310/week FICA-OASDI $ 113.15 FICA - Medicare 26.46 FUTA 7.05 SUTA 63.45 Total $ 210.11
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