Paloma Co. Stars has four employees. FICA Social Security taxes are 6.2% of the first $110,100 paid to each employee, and FICA Medicare taxes are 1.45% of gross pay. Also, for the first $7000 paid to each employee, the company's FUTA taxes are 0.8% and SUTA taxes are 2.15%. 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 Gross Pay through 8/18 Gross Pay Income Tax Withholding Dahila $109,000 $2,000 $284 Trey 36,650 900 145 Kiesha 7,100 450 39 Chee 1,050 400 30 In addition to gross pay, the company must pay one-half of the $60 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 Compuet the following for the week ended August 25 (round amounts to the nearest cent). 1. Each employee's FICA withholdings for Social Security. 2. Each employee's FICA withholdings for Medicare. 3. Employer's FICA taxes for Social Security. 4. Employer's FICA taxes for Medicare. 5. Employer's FUTA taxes. 6. Employer's SUTA taxes. 7. Each employee's net (take-home) pay. 8. Employer's total payroll-related expense for each employee.

Student Name: Class: Problem 09-02A PALOMA CO. Payroll 1. Each employee's FICA withholdings for Social Security: Dahlia Trey Kiesha Chee Total Trey Kiesha Chee Total Trey Kiesha Chee Total Dahlia Trey Kiesha Chee Total Dahlia Trey Kiesha Chee Total Dahlia Trey Kiesha Chee Total Trey Kiesha Chee Total Kiesha Chee Total Maximum base Earned through 8/18 Amount subject to tax Earned this week Subject to tax Tax rate Social Security tax 2. Each employee's FICA withholdings for Medicare (no limits): Dahlia Earned this week Tax rate Medicare tax 3. Employer's FICA taxes for Social Security: Dahlia 4. Employer's FICA taxes for Medicare: 5. Employer's FUTA taxes: Maximum base Earned through 8/18 Amount subject to tax Earned this week Subject to tax Tax rate FUTA tax 6. The employer's SUTA taxes: Subject to tax (from 5) Tax rate SUTA tax 7. Each employee's net (take-home) pay: Dahlia Gross earnings Less: FICA Social Security tax FICA Medicare taxes Withholding taxes Health insurance Take-home pay 8. Employer's total payroll-related expense for each employee: Dahlia Gross earnings Plus: FICA Social Security taxes FICA Medicare taxes FUTA tax SUTA tax Health insurance Pension contribution (8%) Total payroll expense Trey Given Data P09-02A: PALOMA CO. Tax FICA-Social Security FICA-Medicare FUTA SUTA Name Dahlia Trey Kiesha Chee Rate 6.20% 1.45% 0.80% 2.15% Applied to First $110,100 Gross pay First 7,000 First 7,000 Gross Pay through 8/18 $109,000 36,650 7,100 1,050 Current Week Gross Income Tax Pay Withholding $2,000 $284 900 145 450 39 400 30 Weekly health insurance premium Percentage on insurance premium paid by company Percentage of gross earnings contributed by employer to pension fund Check figures: (3) (4) (5) (7) Total net pay $176.70 $54.38 $3.20 $2,900.92 $60 50% 8%