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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

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, its FUTA taxes are 0.8% and SUTA taxes are 2.15% of the first $7,000 paid to each employee. 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 8/18 Gross Pay Income Tax Withholding
Dahlia 107,200 3800 276
Trey 36250 820 137
Kiesha 8000 630 57
Chee 1950 580 48

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 employees gross pay (at no cost to employees) to a pension fund.

Required:

Compute the following for the week ended August 25 (Round your answers 2 decimal places)

Employee

Earnings subject to tax Tax rate Tax amount
Dahlia
Trey
Kiesha
Chee

2)Emmployees' FICA withholding for Medicare

Employee Earnings Subject to Tax Tax Rate Tax Amount
Dahlia
Trey
Kiesha
Chee

3)Employer's FICA taxes for Social Security

Employee Earnings subject to tax tax rate tax amount
Dahlia
Trey
Kiesha
Chee

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

5)Employer's FUTA taxes

Employee Earnings subject to tax Tax Rate Tax Amount
Dahlia

.8

Trey .8
Kiesha .8
Chee .8

6) Employer's SUTA taxes

Employee Earnings subhect to tax Tax Rate Tax Amount
Dahlia 2.15
Trey 2.15
Kiesha 2.15
Chee 2.15

7) Each employee's net (take-home) pay

Employee Dahlia Trey Kiesha Chee Total
Gross Pay 3800 820 630 580 5830
Income Tax Withholding 276 137 57 48 518
FICA -SS
FICA - Medicare
Health Insurance
Net Pay

8) Total payroll related expense for each employee

Employee Dahlia Trey Kiesha Chee Total
Gross Pay 3800 820 630 580 5830
FICA - SS
FICA -Medicare
FUTA
SUTA
Health Insurance
Pension
Total Payroll Expense

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