Name Address Social Security # Federal W/H Allowances State W/H Marital Allowances Status Hunter Cranston 85 Southern Road Herndon, VA 20170 111-11-1111 2 2 Married Allison Harrison 203A Pine Court 777-77-7777 4 3 Married Herndon, VA 20170 John Parker 212 Tradition Lane Herndon, VA 20170 444-44-4444 1 1 Single Pierre Sternberg 41 Seward Boulevard Herndon, VA 20170 333-33-3333 N/A N/A Married Note that Pierre Sternberg was hired in November, and his first day of work was Friday, November 19. On his W-4 Form Pierre checked box 2c and left sections 3 and 4 blank. Pierre files as married filing jointly on his tax return. Additionally, due to an economic downturn, Allison Harrison was laid off in mid-December, with her last day of work on Thursday, December 9. All employees of Ellipses Corp. work a regular 40-hour workweek (thus all hours worked over 40 in a given week are overtime hours), receive overtime pay at a rate of 1.5 times the regular wage rate, and are paid weekly on Thursday for the current week (which runs from Friday through Thursday, although employees never work on weekends). The SUTA tax rate applicable to Ellipses Corp. is 3.1%, while the SUTA wage base in Virginia is $8,000. Earnings and voluntary deduction information for each of the four employees is as follows: Name Regular Wage Rate Annual Salary Weekly 401(k) Deduction Weekly Charitable Contribution Hunter Cranston $15/hour N/A 6% of gross pay $5 Allison Harrison $23/hour N/A 5% of gross pay $5 John Parker N/A $203,000.20 N/A $20 Pierre Sternberg N/A $112,000.20 1% of gross pay N/A Hunter Cranston Gross Federal Period Earnings Income Tax State Income Tax Security Tax Tax Social Medicare 401(k) Charitable Deduction Cont. 1st quarter $7,800 $221 $366.60 $483.60 $113.10 $468 $65 2nd quarter $7,800 $221 $366.60 $483.60 $113.10 $468 $65 3rd quarter $7,800 $221 $366.60 $483.60 $113.10 $468 $65 October $2,400 $68 $112.80 $148.80 $34.80 $144 $20 November $3,000 $85 $141 $186 $43.50 $180 $25 Allison Harrison Gross Federal State Social Medicare 401(k) Charitable Period Earnings Income Tax Income Tax Security Tax Tax Deduction Cont. 1st quarter $11,960 $416 $568.10 $741.52 $173.42 $598 $65 2nd quarter $11,960 $416 $568.10 $741.52 $173.42 $598 $65 3rd quarter $11,960 $416 $568.10 $741.52 $173.42 $598 $65 October $3,680 $128 $174.80 $228.16 $53.36 $184 $20 November $4,600 $160 $218.50 $285.20 $66.70 $230 $25 John Parker Period Gross Earnings Federal State Social Income Tax Income Tax Security Tax Tax Medicare 401(k) Deduction Cont. Charitable 1st quarter $50,750.05 $10,929.36 $2,537.47 $3,146.52 $735.93 $0 $260 2nd quarter $50,750.05 $10,929.36 $2,537.47 $3,146.52 $735.93 $0 $260 3rd quarter $50,750.05 $10,929.36 $2,537.47 $1,946.76 $735.93 $0 $260 October $15,615.40 $3,362.88 $780.76 $0 $226.44 $0 $80 November $19,519.25 $4,203.60 $975.95 $0 $283.05 $0 $100 Pierre Sternberg Period Gross Earnings Federal Income Tax Social State Income Tax Security Tax Tax Medicare 401(k) Charitable Deduction Cont. 1st quarter $0 $0 $0 $0 $0 $0 $0 2nd quarter $0 $0 $0 $0 $0 $0 $0 3rd quarter $0 $0 $0 $0 $0 $0 $0 October $0 $0 $0 $0 $0 $0 $0 $2,153.85 $224.36 $106.62 $133.54 $31.23 $21.54 $0 November Note that all tax payments and filings are made on the due date. Based on the data provided here, you will complete the following: 2. Establish and complete the payroll register for each weekly pay period during December. When calculating federal income tax withholding, use the withholding tables where possible, and refer to the percentage method only when necessary. Note that as of December 7, Hunter Cranston requests that his federal withholding allowances increase from two to three (Ellipses Corp. makes this change). Additionally, for simplicity, calculate the state income tax withholding as 5% of each employee's taxable pay (which is the same as taxable pay for FWT). Recall that state income tax withholding would ordinarily be calculated using the applicable state's withholding tables. Payroll checks are remitted to the employees in the same order (Cranston, Harrison, Parker, Sternberg) each pay period and are written from a bank account that is used solely for these payments. The first payroll check written in December is check #762. Note that all charitable contributions are deemed to be made on the final day of each pay period. The following information will be required for the completion of these records for the two employees who are compensated via an hourly wage: Weekly Hours Worked Weekly Start Date Hunter Cranston Allison Harrison November 30 40 37 December 7 38 41 December 14 43.5 0 December 21 40 0 WARNING! The above dates are weekly start dates. Refer to a calendar to determine the weekly end dates and associated pay dates. Keep in mind that tax liability and payment amounts are determined based on the weekly pay dates.