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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%
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 | $ | 6,300 | Michelle W | $ | 153,000 | Lori K | $ | 139,200 |
Tim V | 52,300 | Michael M | 116,400 | Kitty O | 46,400 | |||
Steve S | 96,500 | Zach R | 136,700 | John W | 13,500 | |||
a. Compute the amounts in this table for each employee.
Pay Subject to | Pay Subject | Pay Subject | Pay Subject | ||
Cumulative | FICA Social | to FICA | to FUTA | to SUTA | |
Employee | Pay | Security | Medicare | Taxes | Taxes |
Ken S | $6,300 | ||||
Tim V | 52,300 | ||||
Steve S | 96,500 | ||||
Michelle W | 153,000 | ||||
Michael M | 116,400 | ||||
Zach R | 136,700 | ||||
Lori K | 139,200 | ||||
Kitty O | 46,400 | ||||
John W | 13,500 | ||||
Totals | $760,300 | $9,617 | $0 | $0 | $0 |
b. For the company, compute each total for: FICA Social Security taxes, FICA Medicare taxes, FUTA taxes, and SUTA taxes.
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