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Mest Company has nine employees. FICA Social Security taxes are 6.2% of the first $127,200 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 | $ | 5,000 | Michelle W | $ | 146,500 | Lori K | $ | 132,700 |
Tim V | 45,800 | Michael M | 109,900 | Kitty O | 39,900 | |||
Steve S | 90,000 | Zach R | 130,200 | John W | 7,000 | |||
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.
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