Exercise 11-9 Computing payroll taxes LO P2, P3

Mest Company has 9 employees. FICA Social Security taxes are 6.2% of the first $118,500 paid to each employee, and FICA Medicare taxes are 1.45% of gross pay. FUTA taxes are 0.6% and SUTA taxes are 5.4% of the first $7,000 paid to each employee. Cumulative pay for the current year for each of its employees follows.

Employee	Cumulative Pay		Employee	Cumulative Pay		Employee	Cumulative Pay
Ken S	$	6,000	Michael M	$	143,500	Lori K	$	121,000
Tim V		60,200	Erin C		106,900	Kitty O		36,900
Steve S		87,000	Kyle B		118,500	John W		4,000

a. Compute the amounts in this table for each employee.

b. For the company, compute each total for: FICA Social Security taxes, FICA Medicare taxes, FUTA taxes, and SUTA taxes.