Example 6-5 The journal entry to record the payroll from Figure 6.1, on pages 6-2 and 6-3, would be: Wages Expense FICA Taxes Payable-OASDI FICA Taxes Payable-HI FIT Payable SIT Payable Group Insurance Payments W/H Cash Debit Credit 24,762.70 1,535.29 359.06 3,714.00 55.25 54.70 19,044.40 Example 6-7 The journal entry to record the payroll tax entry from Figure 6.1 on pages 6-2 and 6-3 would be (assume a SUTA tax rate of 3.0%): Payroll Taxes FICA Taxes Payable-OASDI FICA Taxes Payable-HI FUTA Taxes Payable SUTA Taxes Payable Debit 2,785.81 Credit 1,535.29 359.06 148.58 742.88 a. Cal Ruther, an employer, is subject to FICA taxes but exempt from FUTA and SUTA taxes. During the last quarter of the year, his employees earned monthly wages of $7,800, all of which is taxable. The amount of federal income taxes withheld each month is $1,010. Journalize the payment of wages, and record the payroll tax on November 29. For a compound transaction, if an amount box does not require an entry, leave it blank. When required, round your answers to the nearest cent. Date Account Nov. 29 Wages Expense Payroll Taxes FICA Taxes Expense-HI SUTA Taxes Payable Wages Expense Nov. 29 Cash Feedback FICA Taxes Payable-OASDI FICA Taxes Payable-HI Debit 7,800.00 596.70 Credit 1,010.00 X 483.60 X 113.10 X 6,193.30 483.60 6,193.30 X Check My Work a. Debit Wages Expense (Gross Pay); credit taxes withheld and Cash (net pay). Debit payroll taxes (total of employer's FICA, employer's HI). Credit respective employer's payroll tax liabilities. Remember: Debits must equal credits! b. Prior to posting the November 29 payroll transaction, FICA Taxes Payable-OASDI, FICA Taxes Payable-HI, and Employees FIT Payable had zero balances. Ruther must pay the FICA taxes and income taxes withheld on the November 29 payroll. Journalize the electronic transfer of the payroll taxes on December 16. If an amount box does not require an entry, leave it blank. Round your answers to the nearest cent. Date Dec. 16 Cash Payroll Taxes Feedback Wages Expense Cash Account Debit 967.20 Credit 226.20 1,010.00 2,203.40