Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Paloma Company has four employees. FICA Social Security taxes are 6.2% of the first $137,700 paid to each employee, and FICA Medicare taxes are 1.45%

image text in transcribedimage text in transcribedimage text in transcribedimage text in transcribed

Paloma Company has four employees. FICA Social Security taxes are 6.2% of the first $137,700 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. 1.92 points Name Dali Trey Kiesha Chee Gross Pay through August 18 $ 125,500 135, 100 7,700 1,650 Current Week Income Tax Gross Pay Withholding $ 3,400 $ 369 2,600 411 1,800 44 1,000 35 eBook Print 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. References 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 Tax Rate Dali Trey Kiesha Chee Total mano CICA Abboldina formadin 2) Employees' FICA Withholdings for Medicare Employee Earnings Subject to Tax Tax Rate Tax Amount 1.92 points Tax Rate Dali Trey Kiesha eBook Chee Total Print 3) Employer's FICA Taxes for Social Security Employee Earnings Tax Rate Subject to Tax References Tax Amount Tax Rate Dali Trey Kiesha Chee Total 4) Employer's FICA Taxes for Medicare Employee Earnings Subject to Tax Tax Rate Tax Amount Tax Rate Dali Trey Kiesha Chee Total 4) Employer's FICA Taxes for Medicare Employee 1.92 points Earnings Subject to Tax Tax Rate Tax Amount Tax Rate Dali eBook Trey Kiesha Chee Print Total References 5) Employer's FUTA Taxes Employee Earnings Subject to Tax Tax Rate Tax Amount Tax Rate Dali Trey Kiesha Chee Total b) Employers SUTA Taxes Employee Earnings Subject to Tax Tax Rate Tax amount Tax Amount 1.92 points Tax Rate Dali Trey Kiesha A Chee eBook Total Print 7) Each Employee's Net (take-home) Pay Dali Trey Kiesha Chee Total References $ 3,400.00 $ 2,600.00 $ 1,800.00 $ S 8,800.00 17 Employee Gross Pay Income tax withholding FICA - Social Security - FICA - Medicare 1,000.00 35.00 369.00 411.00 44.00 859.00 Health Insurance Net Pay Chee Total 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 1,000.00 $ 8,800.00 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

Comprehensive Assurance & Systems Tool

Authors: Laura R. Ingraham, Greg Jenkins

4th Edition

0134790472, 9780134790473

More Books

Students also viewed these Accounting questions

Question

What is the persons job (e.g., professor, student, clinician)?

Answered: 1 week ago

Question

Understand highlights of legislation enacted in 1964 and beyond

Answered: 1 week ago