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I need to figure out the September earnings subject to tax for FUTA & SUTA. And also the general journal. BMX Company has one employee.
I need to figure out the September earnings subject to tax for FUTA & SUTA. And also the general journal.
BMX Company has one employee. FICA Social Security taxes are 6.2% of the first $128,400 paid to its employee, and FICA Medicare taxes are 1.45% of gross pay. For BMX, its FUTA taxes are 0.6% and SUTA taxes are 5.4% of the first $7.000 paid to its employee. Gross Pay through August 31 $ 5,600 2,550 123,200 Gross Pay for September $1,500 2,650 9,100 su Assuming situation (a), prepare the employer's September 30 journal entries to record the employer's payroll taxes expense and its related liabilities. Complete this question by entering your answers in the tabs below. Payroll Taxes Expense General Journal Compute the payroll taxes expense. (Round your answers to 2 decimal places.) Employer Payroll taxes Tax Amount $ September earnings Tax Rate subject to tax 1,500.00 6.20% 1,500.00 1.45% 0.60% 5.40% Total Payroll Taxes Expense FICASocial Security FICAMedicare FUTA SUTA 93.00 21.75 $ 114.75Step by Step Solution
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