1. 1. Federal Income Taxes: Assume all employees withhold 25%
   2. State Income Taxes: Assume ND employees withhold 5% and MN employees withhold at 10%.
   3. FICA: Calculate BOTH employee and employer amounts for BOTH portions of FICA.
      1. For 2019, assume that the 6.2% Social Security taxes are paid only on the first $128,400 in wages.
      2. For 2019, assume that the 1.45% Medicare Tax are paid only on all wages.
   4. Health Insurance: Monthly premium is $400 for those who elect coverage.
2. Employee Information: Assume the following payroll information for the month of December and year-to-date totals as of November 30 (needed for calculating some of the taxes properly).

Employee	Year-to-Date Wages as of 11/30/19	Wages for December 2019	State of Residency	Elected Health Care Insurance?
A	$55,000	$5,000	MN	Y
B	108,000	9,000	ND	N
C	137,500	12,500	ND	Y
D	38,000	6,500	MN	N
E	220,000	20,000	ND	Y

1. Calculate the amount of each type of payroll taxes, other withholdings and net pay for each employee for the December payroll.
   1. Based on the total amounts of the five employees, create the journal entry (or entries) to record all transactions associated with the December 31 payroll.
      1. For each type of calculation (FICA, federal income taxes, etc.) you should apply the same formula for each of the same employees; there should NOT be different formulas for different employees based on compensation amounts.
   2. Show subsequent journal entries for the following payment dates:
      1. Pay Date to employees: January 1
      2. All taxes: January 10
      3. Health Insurance: January 15