Payroll Register and Payroll Journal Entry

Mary Losch operates a travel agency called Marys 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.

Marys 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

Allowances Marital

Status Total Hours

Worked Mar. 1622

Rate Total Earnings

Jan. 1Mar. 15

Bacon, Andrea 4 M 46 $12.00 $5,580.00

Cole, Andrew 1 S 40 12.00 5,720.00

Hicks, Melvin 3 M 45 10.50 4,860.00

Leung, Cara 1 S 35 11.00 5,096.00

Melling, Melissa 2 M 40 13.00 4,740.50

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 $14 withheld and Cole and Hicks have $7 withheld for health insurance. Bacon and Leung have $18 withheld to be invested in the travel agencys credit union. Cole has $39.25 withheld and Hicks has $18.75 withheld under a savings bond purchase plan.

Marys Luxury Travels 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 Marys 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.

Payroll Register for Period Ended March 22 20--

Earnings Taxable Earnings Deductions

Name No. of Allow. Marit. Status

Regular

Overtime

Total Cumulative Total Unemploy. Comp. Social Security Federal Income Tax Social Security Tax Medicare Tax

City Tax Health Insurance Other Total Net Pay Ck. No.

Bacon, Andrea 4 M fill in the blank c9da0405701b02b_1 fill in the blank c9da0405701b02b_2 fill in the blank c9da0405701b02b_3 fill in the blank c9da0405701b02b_4 fill in the blank c9da0405701b02b_5 fill in the blank c9da0405701b02b_6 fill in the blank c9da0405701b02b_7 fill in the blank c9da0405701b02b_8 fill in the blank c9da0405701b02b_9 fill in the blank c9da0405701b02b_10 fill in the blank c9da0405701b02b_11

fill in the blank c9da0405701b02b_13 fill in the blank c9da0405701b02b_14 fill in the blank c9da0405701b02b_15 fill in the blank c9da0405701b02b_16

Cole, Andrew 1 S fill in the blank c9da0405701b02b_17 fill in the blank c9da0405701b02b_18 fill in the blank c9da0405701b02b_19 fill in the blank c9da0405701b02b_20 fill in the blank c9da0405701b02b_21 fill in the blank c9da0405701b02b_22 fill in the blank c9da0405701b02b_23 fill in the blank c9da0405701b02b_24 fill in the blank c9da0405701b02b_25 fill in the blank c9da0405701b02b_26

fill in the blank c9da0405701b02b_28 fill in the blank c9da0405701b02b_29 fill in the blank c9da0405701b02b_30 fill in the blank c9da0405701b02b_31

Hicks, Melvin 3 M fill in the blank c9da0405701b02b_32 fill in the blank c9da0405701b02b_33 fill in the blank c9da0405701b02b_34 fill in the blank c9da0405701b02b_35 fill in the blank c9da0405701b02b_36 fill in the blank c9da0405701b02b_37 fill in the blank c9da0405701b02b_38 fill in the blank c9da0405701b02b_39 fill in the blank c9da0405701b02b_40 fill in the blank c9da0405701b02b_41 fill in the blank c9da0405701b02b_42

fill in the blank c9da0405701b02b_44 fill in the blank c9da0405701b02b_45 fill in the blank c9da0405701b02b_46 fill in the blank c9da0405701b02b_47

Leung, Cara 1 S fill in the blank c9da0405701b02b_48 fill in the blank c9da0405701b02b_49 fill in the blank c9da0405701b02b_50 fill in the blank c9da0405701b02b_51 fill in the blank c9da0405701b02b_52 fill in the blank c9da0405701b02b_53 fill in the blank c9da0405701b02b_54 fill in the blank c9da0405701b02b_55 fill in the blank c9da0405701b02b_56 fill in the blank c9da0405701b02b_57

fill in the blank c9da0405701b02b_59 fill in the blank c9da0405701b02b_60 fill in the blank c9da0405701b02b_61 fill in the blank c9da0405701b02b_62

Melling, Melissa 2 M fill in the blank c9da0405701b02b_63 fill in the blank c9da0405701b02b_64 fill in the blank c9da0405701b02b_65 fill in the blank c9da0405701b02b_66 fill in the blank c9da0405701b02b_67 fill in the blank c9da0405701b02b_68 fill in the blank c9da0405701b02b_69 fill in the blank c9da0405701b02b_70 fill in the blank c9da0405701b02b_71 fill in the blank c9da0405701b02b_72 fill in the blank c9da0405701b02b_73 fill in the blank c9da0405701b02b_74

fill in the blank c9da0405701b02b_75 fill in the blank c9da0405701b02b_76 fill in the blank c9da0405701b02b_77 fill in the blank c9da0405701b02b_78 fill in the blank c9da0405701b02b_79 fill in the blank c9da0405701b02b_80 fill in the blank c9da0405701b02b_81 fill in the blank c9da0405701b02b_82 fill in the blank c9da0405701b02b_83 fill in the blank c9da0405701b02b_84 fill in the blank c9da0405701b02b_85 fill in the blank c9da0405701b02b_86 fill in the blank c9da0405701b02b_87 fill in the blank c9da0405701b02b_88

Feedback

Enter earnings for each employee in the first six columns and calculate deductions based on the information in the problem data. Select the type of other deduction, calculate net pay, and assign a check number. Be sure to use the correct marital status table and the correct column and row to determine federal income tax. Total the columns and verify that the amounts calculate across.

2. Assuming that the wages for the week ended March 22 were paid on March 24, prepare the journal entry for the payment of the payroll.

Page: 1

DATE ACCOUNT TITLE DOC.

NO. POST.

REF. DEBIT CREDIT

1 20--

Mar. 24

fill in the blank 38b75204cfbb04a_2 fill in the blank 38b75204cfbb04a_3 1

2

fill in the blank 38b75204cfbb04a_5 fill in the blank 38b75204cfbb04a_6 2

3

fill in the blank 38b75204cfbb04a_8 fill in the blank 38b75204cfbb04a_9 3

4

fill in the blank 38b75204cfbb04a_11 fill in the blank 38b75204cfbb04a_12 4

5

fill in the blank 38b75204cfbb04a_14 fill in the blank 38b75204cfbb04a_15 5

6

fill in the blank 38b75204cfbb04a_17 fill in the blank 38b75204cfbb04a_18 6

7

fill in the blank 38b75204cfbb04a_20 fill in the blank 38b75204cfbb04a_21 7

8

fill in the blank 38b75204cfbb04a_23 fill in the blank 38b75204cfbb04a_24 8

9

fill in the blank 38b75204cfbb04a_26 fill in the blank 38b75204cfbb04a_27 9

10 Payroll for week ended March 22 10