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Paloma Co. Stars has four employees. FICA Social Security taxes are 6.2% of the first $117,000 paid to each employee, and FICA Medicare taxes are

Paloma Co. Stars has four employees. FICA Social Security taxes are 6.2% of the first $117,000 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 companys FUTA taxes are .6% and SUTA taxes are 6.20%. The company is preparing its payroll calculations for the week ended August 25. Payroll records show the following information for the companys four employees.

Current Week
Name Gross Pay through Aug. 18 Gross Pay Income Tax Withholding
Dahlia $ 115,600 $ 2,600 $ 369
Trey 116,250 750 121
Kiesha 8,300 570 49
Chee 2,250 520 39

In addition to gross pay, the company must pay one-half of the $84 per employee weekly health insurance; each employee pays the remaining one-half. The company also contributes an extra 8% of each employees 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 Earnings Subject to Tax Tax Rate Tax Amount
Dahlia
Trey
Kiesha
Chee
Total
2) Employees' FICA Withholdings for Medicare
Employee Earnings Subject to Tax Tax Rate Tax Amount
Dahlia
Trey
Kiesha
Chee
Total
3) Employer's FICA Taxes for Social Security
Employee Earnings Subject to Tax Tax Rate Tax Amount
Dahlia
Trey
Kiesha
Chee
Total
4) Employer's FICA Taxes for Medicare
Employee Earnings Subject to Tax Tax Rate Tax Amount
Dahlia 1.45%
Trey 1.45%
Kiesha 1.45%
Chee 1.45%
Total
5) Employer's FUTA Taxes
Employee Earnings Subject to Tax Tax Rate Tax Amount
Dahlia 0.60%
Trey 0.60%
Kiesha 0.60%
Chee 0.60%
Total
6) Employer's SUTA Taxes
Employee Earnings Subject to Tax Tax Rate Tax Amount
Dahlia 6.20%
Trey 6.20%
Kiesha 6.20%
Chee 6.20%
Total
7) Each Employee's Net (take-home) Pay
Employee Dahlia Trey Kiesha Chee Total
Gross Pay $2,600.00 $750.00 $570.00 $520.00 $4,440.00
Income tax withholding 369.00 121.00 49.00 39.00 578.00
FICA - Social Security
FICA - Medicare
Health Insurance
Net Pay
8) Total Payroll Related Expense for Each Employee
Employee Dahlia Trey Kiesha Chee Total
Gross Pay $2,600.00 $750.00 $570.00 $520.00 $4,440.00
FICA - Social Security
FICA - Medicare
FUTA
SUTA
Health Insurance
Pension
Total Payroll Expense

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