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Payroll Register and Payroll Journal Entry Mary Losch operates a travel agency called Mary's Luxury Travel. She has five employees, all of whom are
Payroll Register and Payroll Journal Entry Mary Losch operates a travel agency called Mary's Luxury Travel. She has five employees, all of whom are paid on a weekly basis. The travel agency uses a payroll register, individual employee earnings records, and a general journal. Mary's Luxury Travel uses a weekly federal income tax withholding table. Refer to Figure 8-4 in the text. The payroll data for each employee for the week ended March 22, 20-, are shown. Employees are paid 1% times the regular rate for working over 40 hours a week. Name No. of Marital Total Hours Allowances Status Worked Mar. 16-22 Total Earnings Rate Jan. 1-Mar. 15 Bacon, Andrea M 44 $12.00 $5,440.00 Cole, Andrew 1 S 40 12.00 5,780.00 Hicks, Melvin 3 M 43 10.50 4,880.00 K Leung, Cara 1 S 36 11.00 5,135.50 Melling, Melissa 2 M 40 13.00 4,744.50 Social Security tax is withheld from the first $128,400 of earnings at the rate of 6.2%. Medicare tax is withheld at the rate of 1.45%, and city earnings tax at the rate of 1%, both applied to gross pay. Bacon and Leung have $17 withheld and Cole and Hicks have $7 withheld for health insurance. Bacon and Leung have $22 withheld to be invested in the travel agency's credit union. Cole has $39.00 withheld and Hicks has $19.25 withheld under a savings bond purchase plan. Mary's Luxury Travel's payroll is met by drawing checks on its regular bank account. The checks were issued in sequence, beginning with Check No. 423. Required: 1. Prepare a payroll register for Mary's Luxury Travel for the week ended March 22, 20- (In the Taxable Earnings/Unemployment Compensation column, enter the same amounts as in the Social Security column.) Total the amount columns. If required, round your answers to the nearest cent. Earnings Payrol Taxable
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