Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Mest Company has nine employees. FICA Social Security taxes are 6.2% of the first $137,700 paid to each employee, and FICA Medicare taxes are 1.45%

image text in transcribed

Mest Company has nine employees. FICA Social Security taxes are 6.2% of the first $137,700 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 Ken S Tim v Steve 5 Cumulative Pay $ 6,000 40,400 87,000 Employee Julie w Michael M Zach R Cumulative Pay $ 143,500 106,900 137,700 Employee Christina S Kitty o John W Cumulative Pay $ 140,200 36,900 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. Hint Remember to include in those totals any employee share of taxes that the company must collect Complete this question by entering your answers in the tabs below. Required A. Required B For the company, compute each total for Federal Insurance Contributions Act (FICA) Social Security taxes, Feder Contributions Act (FICA) Medicare taxes, Federal Unemployment Taxes (FUTA), and State Unemployment Taxes ( Remember to include in those totals any employee share of taxes that the company must collect. (Round your fir to 2 decimal places.) Tax Paid by Employee $ 40,703.00 Tax Paid by Employer Total Tax FICA Social Security taxes FICA Medicare taxes FUTA taxes SUTA taxes

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Accounting

Authors: Carl S. Warren, James M. Reeve, Philip E. Fess

19th Edition

0538869720, 978-0538869720

More Books

Students also viewed these Accounting questions