on page 4-23, Figure 4.11 on page During the first full week of 20- the Payroll Department of Quigley Corporation is preparing the Forms W-2 for distribution to its employees along with their payroll checks on January 10. In this problem, you will complete six of the forms in order to gain some experience in recording the different kinds of information required. Assume each employee earned the same weekly salary for each of the 52 paydays in 20- (the previous year). Using the following information obtained from the personnel and payroll records of the firm, complete Copy A of the six Forms W-2 reproduced on the following pages. Also complete Form W-3. The form is to be signed by the president, Kenneth T. Ford, and is prepared by Ralph I. Volpe. Company Information: Address: 4800 River Road Philadelphia, PA 19113-5548 Telephone number: (215) 555-0017 Pennsylvania state identification number: 00-0-1066 Fax number: (215) 555-0010 Federal identification number: 00-0000972 Philadelphia identification number: 0001895 Income Tax Information: The wage-bracket method is used to determine federal income tax withholding. Calculate the annual federal income tax withheld by using the weekly wage-bracket table and multiply the answer by 52. The other taxes withheld are shown below. Employee Data Payroll Data Annual Taxes Withheld See example of Kelly B. Roach's completed Form W-2 on next page. Kelly B. Roach Single 2,305.16 54 Gradison Place Social security tax withheld $715 per week Medicare tax withheld 539.24 Philadelphia, PA 19113-4054 SSN: 000-00-4310 State income tax withheld 1,141.40 Deduction for 401(k) plan: $50/weck Local income tax withheld 1,439.36 State unemployment tax withheld 22.36 Ralph 1. Volpe Married filing jointly Social security tax withheld 2,530.84 56 Andrews Court, Apt. 7 $785 per week Medicare tax withheld 591.76 Philadelphia, PA 19103-3356 SS#: 000-00-8804 State income tax withheld 1,253.20 Dependent care payment: $950 Local income tax withheld 1.580.28 S70/week-401(k) State unemployment tax withheld 24.44 Randi A. Myer Single Social security tax withheld 2,853.24 770 Camac Street $885 per week Medicare tax withheld Philadelphia, PA 19101-3770 SS#: 000-00-3316 State income tax withheld 1.412.84 Union dues withheld: $102 Local income tax withheld 1,781.52 State unemployment tax withheld" 27.56 Kenneth T. Ford Married filing jointly Social security tax withheld 4,368.69 338 North Side Avenue $1,350 per week Medicare tax withheld 1,021.97 Philadelphia, PA 19130-6638 SS#: 000-00-6839 State income tax withheld 2,155,40 Cost of group-term life insurance Local income tax withheld 2.717.52 exceeding $50,000: $262.75 State unemployment tax withheld 42.12 $100/week--401(k) Chrissy C. Carman Married filing jointly Social security tax withheld 2,643.68 4900 Gladwynne Terrace $820 per week Medicare tax withheld 618.28 Philadelphia, PA 19127-0049 SS#: 000-00-5771 State income tax withheld 1,308.84 Union dues withheld: $102 Local income tax withheld 1.650.48 State unemployment tax withheld" 25.48 Hal B. Zuber Single Social security tax withheld 2,546.96 480-A Hopkinson Tower $790 per week Medicare tax withheld 595.92 Philadelphia, PA 19101-3301 SS#: 000-00-8703 State income tax withheld 1.261.00 Educational assistance payments Local income tax withheld 1.590.16 (job-required): 5675 State unemployment tax withheld" 24.44 550/week-401(k) * The cost of excess group-term life insurance is added to gross wages for federal income tax, So Security, and Medi care. Employers withhold OASDI and Hl tax on these amounts but are not required to withhold federal income tax The cost is not added to gross wages for state and local taxes; therefore, it is not subject to those taxes isee Figure 4.8). **Stato unemployment tax withheld for Pennsylvania labeled as PA SUI on Form W.2 Box 14. 667.16 4-13A (continued) wy 264.00 OU. D.00 2305.15 22222 We 00000-4310 Drew 00-0000972 SP Quigley Corporation 4800 River Road Philadelphia, PA 19113-554 27110.00 533.24 180.00 end G 200.00 . Em Kelly B. Roach 56. Gradison Place Philadelphia, PA 19111-4054 PAS 2236 Phila 1439.36 Employee's DP 18 Employee PA 00-0-1066 370.00 10 37160:00 114.40 Det er For And Paperwork Action Farm W-2 wage and Tax Statement 20- Copy A For Social Security Administration - Sand the entre page with Form W3 to the Social Security Administration propre noi * Weekly salary $728.00 .de contenution for 401kl se werk Pederal income tax withheld $47.00 X 52 weeks Do Not Cut, Fold, or Staple Forms on This Page Void - Troyes Crumbi 22222 Employee Parole O No 1545600 1 W Star Bow Employer code sed 7 bow to be a Corruber Sed mwandi Lave 720 1 SON F Employees and 2P code 15W Legyer's Outer To Set as 10 Les, GE 1 20- - - W-2 Wage and Tax Statement Department of Service Form For y Act and Paper Reduction Acto entrations Copy A For Social Security Administration - Send this entre page with Form W-3 to the Soul Security Administration photocopie we not acceptable Cat. 3D Do Not Cut, Fold, or Staple Forms on This Page Source: Internal Revenue Service 4-13A continued) 22222 Void E' Forms Only OMB No 1545-000 Employee ww Employers Sowotyw Bond Soya w 5 Mode wagen a Contour Futy Acte 9 10 Drents Uployees in Bhong 12 ore 12 18.13 Employees address and ZIP code 15 Employers state 10 w 17 income 18 Lowes to come 20 For W-2 Wage and Tax Statement Department of the Treasury Service For Privacy Act and Paperwork Reduction Copy A For Social Security Administration - Send this entre page with Act Noti, se separate instructions For W-3 to the Social Security Administration photocopies we not acceptable Cat No 10340 Do Not Cut, Fold, or Staple Forms on This Page 20-- 22222 Vold t Employer identication number Eloyee's securey number For Oncial Use Only OMB No 1545-000 I Wonwoo 2 fed income tax hd Employers, 2P code Scoal meci w S Medicare Womandos Medicare Toys d Control 10 borbent . Employee's first and Last SU11 dan 12 tons for bor 13 13 171 PU Other 120 121 i Employee's dress and code 15 Rployers 16 State wages 12 Stina 13 Locales, se 20 W-2 Wage and Tax Statement 1 Department of the Form For Privacy Act and Copy A For Social Security Administration - Send this entre page with Achete, Form W 3 to the Social Security Administration not coples are not acceptable Do Not Cut, Fold, or Staple Forms on This Page Sour Internal Revenue Service 4-13A (continued) 22222 VE For Oy OM 1545.000 roerend DP 3 boca Othere are Empresa 12 for 12 14 Other 120 120 + Employees and ZIP code 15 S Emoky 3 Our 10 w17 State income 10 LGR estos 19 Lo come W-2 Wage and Tax Statement Form 20-- Deporment of the Two service For Privacy Act and Paperwork Reduction Copy A For Social Security Administration - Send this entire page with Act Notice, see the separate instructions Form W-3 to the Social Security Administration photocopies are not acceptable Cat 1040 Do Not Cut, Fold, or Staple Forms on This Page 22222 Void a Employee's security For Official Use Only OMB No 1545-000 b Employer certification II I Wago, como 2 Teder med Employer's name, address and P code 3 500 curity wages 4 security Wed s Microwage and tips Medicare Wed Tutto B Alcedo o Contrer 9 10 Dedert care bene Employee's first name and La Suft, 11 and plans 12 mens to be 15 126 14 O 120 120 Employee's address and ZIP code 15 St Employer's state ID number 10 State wages, tips, 17 state con 10 Local wage 10 Loncome tax 20 Loe Fon W-2 wage and Tax Statement 20-- Department of the Truman Senica For Privacy Act and Promwork Reduction Copy A For Social Security Administration - Send this entre page with Act Notice to the separate intructions Form W-3 to the Social Security Administration photocopies are not acceptable Cat 1013 Do Not Cut, Fold, or Staple Forms on This Page Source: Internal Revenue Service, DO NOT STAPLE 33333 a Control number For Official Use Only OMB No. 1545-0000 b 941 Mary 943 Third-party Nono apply 5010 non-govt Kind 944 sick bay Kind of Hard Payer of (Check Medicare State local CT-1 em State ocal 5010 Federal govt govt emp Employer non-5010 applicable) Check onel Check one c Total number of Forms W-2 2 Federal income tax withheld d Establishment number 1 Wages, tips, other compensation Fredriger Employer identification number (EIN 3 Social security wages 4 Social Security tax witheid f Employer's name 5 Medicare wages and tips 6 Medicare tax withheld 7 Social security tips & Alocated tips o 10 Dependent care benefits 11 Nonquified plans 12a Deferred compensation g Employer's address and ZIP code h Other EIN used this year 13 For third-party sick pay use only 125 15 State Employer's state ID number 14 Income tax withheld by payer of third-party sick pay 10 State Wages, tips, etc. 17 State income tax 18 Local wages, tips, etc. 19 Local income tax Employer's contact person Employer's Telephone number For Official Use Only Employer's fax number Employer's email address Under penalties of perjury, I declare that I have examined this return and accompanying documents and to the best of my knowledge and belief, they are true, correct, and complete Signature Date Form W-3 Transmittal of Wage and Tax Statements 20-- Department of the Treaty intem even bence Title Source: Internal Revenue Service on page 4-23, Figure 4.11 on page During the first full week of 20- the Payroll Department of Quigley Corporation is preparing the Forms W-2 for distribution to its employees along with their payroll checks on January 10. In this problem, you will complete six of the forms in order to gain some experience in recording the different kinds of information required. Assume each employee earned the same weekly salary for each of the 52 paydays in 20- (the previous year). Using the following information obtained from the personnel and payroll records of the firm, complete Copy A of the six Forms W-2 reproduced on the following pages. Also complete Form W-3. The form is to be signed by the president, Kenneth T. Ford, and is prepared by Ralph I. Volpe. Company Information: Address: 4800 River Road Philadelphia, PA 19113-5548 Telephone number: (215) 555-0017 Pennsylvania state identification number: 00-0-1066 Fax number: (215) 555-0010 Federal identification number: 00-0000972 Philadelphia identification number: 0001895 Income Tax Information: The wage-bracket method is used to determine federal income tax withholding. Calculate the annual federal income tax withheld by using the weekly wage-bracket table and multiply the answer by 52. The other taxes withheld are shown below. Employee Data Payroll Data Annual Taxes Withheld See example of Kelly B. Roach's completed Form W-2 on next page. Kelly B. Roach Single 2,305.16 54 Gradison Place Social security tax withheld $715 per week Medicare tax withheld 539.24 Philadelphia, PA 19113-4054 SSN: 000-00-4310 State income tax withheld 1,141.40 Deduction for 401(k) plan: $50/weck Local income tax withheld 1,439.36 State unemployment tax withheld 22.36 Ralph 1. Volpe Married filing jointly Social security tax withheld 2,530.84 56 Andrews Court, Apt. 7 $785 per week Medicare tax withheld 591.76 Philadelphia, PA 19103-3356 SS#: 000-00-8804 State income tax withheld 1,253.20 Dependent care payment: $950 Local income tax withheld 1.580.28 S70/week-401(k) State unemployment tax withheld 24.44 Randi A. Myer Single Social security tax withheld 2,853.24 770 Camac Street $885 per week Medicare tax withheld Philadelphia, PA 19101-3770 SS#: 000-00-3316 State income tax withheld 1.412.84 Union dues withheld: $102 Local income tax withheld 1,781.52 State unemployment tax withheld" 27.56 Kenneth T. Ford Married filing jointly Social security tax withheld 4,368.69 338 North Side Avenue $1,350 per week Medicare tax withheld 1,021.97 Philadelphia, PA 19130-6638 SS#: 000-00-6839 State income tax withheld 2,155,40 Cost of group-term life insurance Local income tax withheld 2.717.52 exceeding $50,000: $262.75 State unemployment tax withheld 42.12 $100/week--401(k) Chrissy C. Carman Married filing jointly Social security tax withheld 2,643.68 4900 Gladwynne Terrace $820 per week Medicare tax withheld 618.28 Philadelphia, PA 19127-0049 SS#: 000-00-5771 State income tax withheld 1,308.84 Union dues withheld: $102 Local income tax withheld 1.650.48 State unemployment tax withheld" 25.48 Hal B. Zuber Single Social security tax withheld 2,546.96 480-A Hopkinson Tower $790 per week Medicare tax withheld 595.92 Philadelphia, PA 19101-3301 SS#: 000-00-8703 State income tax withheld 1.261.00 Educational assistance payments Local income tax withheld 1.590.16 (job-required): 5675 State unemployment tax withheld" 24.44 550/week-401(k) * The cost of excess group-term life insurance is added to gross wages for federal income tax, So Security, and Medi care. Employers withhold OASDI and Hl tax on these amounts but are not required to withhold federal income tax The cost is not added to gross wages for state and local taxes; therefore, it is not subject to those taxes isee Figure 4.8). **Stato unemployment tax withheld for Pennsylvania labeled as PA SUI on Form W.2 Box 14. 667.16 4-13A (continued) wy 264.00 OU. D.00 2305.15 22222 We 00000-4310 Drew 00-0000972 SP Quigley Corporation 4800 River Road Philadelphia, PA 19113-554 27110.00 533.24 180.00 end G 200.00 . Em Kelly B. Roach 56. Gradison Place Philadelphia, PA 19111-4054 PAS 2236 Phila 1439.36 Employee's DP 18 Employee PA 00-0-1066 370.00 10 37160:00 114.40 Det er For And Paperwork Action Farm W-2 wage and Tax Statement 20- Copy A For Social Security Administration - Sand the entre page with Form W3 to the Social Security Administration propre noi * Weekly salary $728.00 .de contenution for 401kl se werk Pederal income tax withheld $47.00 X 52 weeks Do Not Cut, Fold, or Staple Forms on This Page Void - Troyes Crumbi 22222 Employee Parole O No 1545600 1 W Star Bow Employer code sed 7 bow to be a Corruber Sed mwandi Lave 720 1 SON F Employees and 2P code 15W Legyer's Outer To Set as 10 Les, GE 1 20- - - W-2 Wage and Tax Statement Department of Service Form For y Act and Paper Reduction Acto entrations Copy A For Social Security Administration - Send this entre page with Form W-3 to the Soul Security Administration photocopie we not acceptable Cat. 3D Do Not Cut, Fold, or Staple Forms on This Page Source: Internal Revenue Service 4-13A continued) 22222 Void E' Forms Only OMB No 1545-000 Employee ww Employers Sowotyw Bond Soya w 5 Mode wagen a Contour Futy Acte 9 10 Drents Uployees in Bhong 12 ore 12 18.13 Employees address and ZIP code 15 Employers state 10 w 17 income 18 Lowes to come 20 For W-2 Wage and Tax Statement Department of the Treasury Service For Privacy Act and Paperwork Reduction Copy A For Social Security Administration - Send this entre page with Act Noti, se separate instructions For W-3 to the Social Security Administration photocopies we not acceptable Cat No 10340 Do Not Cut, Fold, or Staple Forms on This Page 20-- 22222 Vold t Employer identication number Eloyee's securey number For Oncial Use Only OMB No 1545-000 I Wonwoo 2 fed income tax hd Employers, 2P code Scoal meci w S Medicare Womandos Medicare Toys d Control 10 borbent . Employee's first and Last SU11 dan 12 tons for bor 13 13 171 PU Other 120 121 i Employee's dress and code 15 Rployers 16 State wages 12 Stina 13 Locales, se 20 W-2 Wage and Tax Statement 1 Department of the Form For Privacy Act and Copy A For Social Security Administration - Send this entre page with Achete, Form W 3 to the Social Security Administration not coples are not acceptable Do Not Cut, Fold, or Staple Forms on This Page Sour Internal Revenue Service 4-13A (continued) 22222 VE For Oy OM 1545.000 roerend DP 3 boca Othere are Empresa 12 for 12 14 Other 120 120 + Employees and ZIP code 15 S Emoky 3 Our 10 w17 State income 10 LGR estos 19 Lo come W-2 Wage and Tax Statement Form 20-- Deporment of the Two service For Privacy Act and Paperwork Reduction Copy A For Social Security Administration - Send this entire page with Act Notice, see the separate instructions Form W-3 to the Social Security Administration photocopies are not acceptable Cat 1040 Do Not Cut, Fold, or Staple Forms on This Page 22222 Void a Employee's security For Official Use Only OMB No 1545-000 b Employer certification II I Wago, como 2 Teder med Employer's name, address and P code 3 500 curity wages 4 security Wed s Microwage and tips Medicare Wed Tutto B Alcedo o Contrer 9 10 Dedert care bene Employee's first name and La Suft, 11 and plans 12 mens to be 15 126 14 O 120 120 Employee's address and ZIP code 15 St Employer's state ID number 10 State wages, tips, 17 state con 10 Local wage 10 Loncome tax 20 Loe Fon W-2 wage and Tax Statement 20-- Department of the Truman Senica For Privacy Act and Promwork Reduction Copy A For Social Security Administration - Send this entre page with Act Notice to the separate intructions Form W-3 to the Social Security Administration photocopies are not acceptable Cat 1013 Do Not Cut, Fold, or Staple Forms on This Page Source: Internal Revenue Service, DO NOT STAPLE 33333 a Control number For Official Use Only OMB No. 1545-0000 b 941 Mary 943 Third-party Nono apply 5010 non-govt Kind 944 sick bay Kind of Hard Payer of (Check Medicare State local CT-1 em State ocal 5010 Federal govt govt emp Employer non-5010 applicable) Check onel Check one c Total number of Forms W-2 2 Federal income tax withheld d Establishment number 1 Wages, tips, other compensation Fredriger Employer identification number (EIN 3 Social security wages 4 Social Security tax witheid f Employer's name 5 Medicare wages and tips 6 Medicare tax withheld 7 Social security tips & Alocated tips o 10 Dependent care benefits 11 Nonquified plans 12a Deferred compensation g Employer's address and ZIP code h Other EIN used this year 13 For third-party sick pay use only 125 15 State Employer's state ID number 14 Income tax withheld by payer of third-party sick pay 10 State Wages, tips, etc. 17 State income tax 18 Local wages, tips, etc. 19 Local income tax Employer's contact person Employer's Telephone number For Official Use Only Employer's fax number Employer's email address Under penalties of perjury, I declare that I have examined this return and accompanying documents and to the best of my knowledge and belief, they are true, correct, and complete Signature Date Form W-3 Transmittal of Wage and Tax Statements 20-- Department of the Treaty intem even bence Title Source: Internal Revenue Service