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Paloma Co. has four employees. FICA Social Security taxes are 6.2% of the first $127,200 paid to each employee, and FICA Medicare taxes are 1.45%
Paloma Co. has four 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. Also, for the first $7,000 paid to each employee, the company's FUTA taxes are 3.5% and SUTA taxes are 2.50%. 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. Current Week Gross Pay Income Tax through Aug. 18 Gross Pay Withholding $125,188 123,888 8,188 2,858 $2,800 3,488 1,800 1,688 Dali 426 379 48 38 Kiesha Chee In addition to gross pay, the company must pay one-half of the $80 per employee weekly health insurance; each employee pays the remaining one-half. The company also contributes an extra 8% of each employee's gross pay (at no cost to employees) to a pension fund. Requlrec: Compute the following for the week ended August 25, (Rund your intermediate calculation$ and flnal answers to 2 decimal places.): 1) Employee's FICA Withholdings for Social Security Earnings Subject to Taxx Tax Rate Tax Amount Trey Kiesha Chee Total ) Employee's FICA for Medicare Earnings Subject to Taxx Tax Rate Tax Amount Trey Kiesha Chee Total
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