Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Paloma Co. has four employees. FICA Social Security taxes are 6.2% of the first $128.400 paid to each employee, and FICA Medicare taxes are 1.45%

image text in transcribed

image text in transcribed

image text in transcribed

image text in transcribed

image text in transcribed

Paloma Co. has four employees. FICA Social Security taxes are 6.2% of the first $128.400 paid to each employee, and FICA Medicare taxes are 1.45% of gross pay. Also, for the first $7,000 paid to each employee, the company's FUTA taxes are 0.6% and SUTA taxes are 5.4%. The company is preparing its payroll calculations for the week ended August 25. Payroll records show the following information for the company's four employees Name Dali Trey Kiesha Chee Gross Pay through Aug. 18 $125, see 125,800 7,700 1,650 Current Week Income Tax Gross Pay Withholding $3,400 $369 2,600 411 1,800 44 1, eee 35 In addition to gross pay, the company must pay one-half of the $72 per employee weekly health insurance, each employee pays the remaining one-half. The company also contributes an extra 8% of each employee's gross pay (at no cost to employees) to a pension fund Required: Compute the following for the week ended August 25. (Round your intermediate calculations and final answers to 2 decimal places.): 1) Employees' FICA Withholdings for Social Security Employee Tax Amount Earnings Subject to Tax Tax Rate Tax Rate Dali Trey Kiesha Chee Total 2) Employees' FICA Withholdings for Medicare Tax Rate Tax Amount Earnings Subject to Tax Employee Tax Rate Dali Trey Kiesha Chee Total 3) Employer's FICA Taxes for Social Security Tax Rate Tax Amount Earnings Subject to Tax Employee Tax Rate Dali Trey Kiesha Chee Total es 4) Employer's FICA Taxes for Medicare Tax Rate Tax Amount Earnings Subject to Tax Employee Tax Rate Dali Trey Kiesha Chee Total 5) Employer's FUTA Taxes Tax Rate Tax Amount Earnings Subject to Tax Employee Tax Rate Dali Trey Kiesha Chee Total 6) Employer's SUTA Taxes Tax Rate Tax Amount Earnings Subject to Tax Employee Tax Rate Dali Trey Kiesha Chee Total 7) Each Employee's Net (take-home) Pay Chee Total Dali Trey Kiesha Employee $ $ 3,400.00 1,000.00 $ 2,600.00 $ 1,800.00 $ 8,800.00 859.00 35.00 369.00 44.00 411.00 Gross Pay Income tax withholding FICA - Social Security FICA - Medicare Health Insurance Net Pay Chee Total 1,000.00 $ 8,800.00 8) Employer's total payroll-related expense for each employee. Employee Dali Trey Kiesha Gross Pay $ 3,400.00 $ 2,600.00 $ 1,800.00 $ FICA - Social Security FICA - Medicare FUTA SUTA Health Insurance Pension Total Payroll Expense

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_2

Step: 3

blur-text-image_3

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

Cloud Security Auditing

Authors: Suryadipta Majumdar, Taous Madi, Yushun Wang, Azadeh Tabiban, Momen Oqaily, Amir Alimohammadifar, Yosr Jarraya, Makan Pourzandi, Lingyu Wang, Mourad Debbabi

1st Edition

3030231305, 978-3030231309

More Books

Students also viewed these Accounting questions

Question

3. Identify challenges to good listening and their remedies

Answered: 1 week ago

Question

4. Identify ethical factors in the listening process

Answered: 1 week ago