Figure 6.1

The form below shows the amounts that appear in the Earnings to Date column of the employees' earnings records for 10 full- and part-time workers in Unger Company. These amounts represent the cumulative earnings for each worker as of October 4, the company's last payday. The form also gives the gross amount of earnings to be paid each worker on the next payday, October 11.

In the state where Unger Company is located, the tax rates and bases are as follows:

Tax on Employees:
	FICAOASDI	6.2% on first $137,700
	FICAHI	1.45% on total earnings
	SUTA	0.5% on first $8,000
Tax on Employer:
	FICAOASDI	6.2% on first $137,700
	FICAHI	1.45% on total earnings
	FUTA	0.6% on first $7,000
	SUTA	1.8% on first $8,000

This information has been collected in the Microsoft Excel Online file. Open the spreadsheet, perform the required analysis, and input your answers in the questions below.

Open spreadsheet

In the appropriate columns of the form shown below, do the following:

1. Compute the amount to be withheld from each employee's earnings on October 11 for (a) FICAOASDI, (b) FICAHI, and (c) SUTA, and determine the total employee taxes. 2. Record the portion of each employee's earnings that is taxable under FICA, FUTA, and SUTA, and calculate the total employer's payroll taxes on the October 11 payroll.

If an amount box does not require an entry, leave it blank. If required, round your answers to the nearest cent. Enter the tax rates as decimals, carried out to four decimal places when required.

UNGER COMPANY
		Gross		Taxes to Be Withheld from Employees' Earnings Under				Employer Taxes: Portion of Employees' Earnings Taxable Under
	Earnings to	Earnings		FICA				FICA
Employee	Date	Oct. 11		OASDI	HI	SUTA		OASDI	HI	FUTA	SUTA
1. Weiser, Robert A.	$138,005	$2,070		$fill in the blank 2	$fill in the blank 3	$fill in the blank 4		$fill in the blank 5	$fill in the blank 6	$fill in the blank 7	$fill in the blank 8
2. Stankard, Laurie C.	15,095	280		fill in the blank 9	fill in the blank 10	fill in the blank 11		fill in the blank 12	fill in the blank 13	fill in the blank 14	fill in the blank 15
3. Grow, Joan L.	4,055	200		fill in the blank 16	fill in the blank 17	fill in the blank 18		fill in the blank 19	fill in the blank 20	fill in the blank 21	fill in the blank 22
4. Rowe, Paul C.	8,115	295		fill in the blank 23	fill in the blank 24	fill in the blank 25		fill in the blank 26	fill in the blank 27	fill in the blank 28	fill in the blank 29
5. McNamara, Joyce M.	7,415	190		fill in the blank 30	fill in the blank 31	fill in the blank 32		fill in the blank 33	fill in the blank 34	fill in the blank 35	fill in the blank 36
6. O'Connor, Roger T.	137,670	1,670		fill in the blank 37	fill in the blank 38	fill in the blank 39		fill in the blank 40	fill in the blank 41	fill in the blank 42	fill in the blank 43
7. Carson, Ronald B.	8,935	285		fill in the blank 44	fill in the blank 45	fill in the blank 46		fill in the blank 47	fill in the blank 48	fill in the blank 49	fill in the blank 50
8. Kenny, Ginni C.	4,265	175		fill in the blank 51	fill in the blank 52	fill in the blank 53		fill in the blank 54	fill in the blank 55	fill in the blank 56	fill in the blank 57
9. Devery, Virginia S.	57,090	580		fill in the blank 58	fill in the blank 59	fill in the blank 60		fill in the blank 61	fill in the blank 62	fill in the blank 63	fill in the blank 64
10. Wilson, Joe W.	3,565	240		fill in the blank 65	fill in the blank 66	fill in the blank 67		fill in the blank 68	fill in the blank 69	fill in the blank 70	fill in the blank 71
Total employee taxes				$fill in the blank 72	$fill in the blank 73	$fill in the blank 74
Total taxable earnings								$fill in the blank 75	$fill in the blank 76	$fill in the blank 77	$fill in the blank 78
Applicable tax rate (enter as decimals, not percentages)								fill in the blank 79	fill in the blank 80	fill in the blank 81	fill in the blank 82
Totals								$fill in the blank 83	$fill in the blank 84	$fill in the blank 85	$fill in the blank 86
Total payroll taxes								$fill in the blank 87