Question
Prevosti Farms and Sugarhouse pays its employees according to their job classification. The following employees make up Sugarhouse's staff: Employee Number Name and Address Payroll
Prevosti Farms and Sugarhouse pays its employees according to their job classification. The following employees make up Sugarhouse's staff:
Employee Number | Name and Address | Payroll information |
---|---|---|
A-Mille | Thomas Millen 1022 Forest School Road Woodstock, VT 05001 802-478-5055 SSN: 031-11-3456 401(k) deduction: 3% Section 125 deduction: $155 | Hire Date: 2-1-2021 DOB: 12-16-1992 Position: Production Manager PT/FT: FT, exempt M/S: Married/Joint Pay Rate: $35,000 per year Dependents under 17: 3 Dependents over 17: 1 Step 4 information: none |
A-Towle | Avery Towle 4011 Route 100 Plymouth, VT 05102 802-967-5873 SSN: 089-74-0974 401(k) deduction: 5% Section 125 deduction: $100 | Hire Date: 2-1-2021 DOB: 7-14-2001 Position: Production Worker PT/FT: FT, nonexempt M/S: Single Pay Rate: $12.00 per hour Dependents under 17: 0 Dependents over 17: 0 Step 4 information: none |
A-Long | Charlie Long 242 Benedict Road S. Woodstock, VT 05002 802-429-3846 SSN: 056-23-4593 401(k) deduction: 2% Section 125 deduction: $155 | Hire Date: 2-1-2021 DOB: 3-16-1997 Position: Production Worker PT/FT: FT, nonexempt M/S: Married/Joint Pay Rate: $12.50 per hour Dependents under 17: 2 Dependents over 17: 0 Step 4 information: none |
B-Shang | Mary Shangraw 1901 Main Street #2 Bridgewater, VT 05520 802-575-5423 SSN: 075-28-8945 401(k) deduction: 3% Section 125 deduction: $100 | Hire Date: 2-1-2021 DOB: 8-20-1999 Position: Administrative Assistant PT/FT: PT, nonexempt M/S: Single Pay Rate: $11.00 per hour Dependents under 17: 0 Dependents over 17: 1 Step 4 information: none |
B-Lewis | Kristen Lewis 840 Daily Hollow Road Bridgewater, VT 05523 802-390-5572 SSN: 076-39-5673 401(k) deduction: 4% Section 125 deduction: $155 | Hire Date: 2-1-2021 DOB: 4-6-1985 Position: Office Manager PT/FT: FT, exempt M/S: Married/Joint Pay Rate: $32,000 per year Dependents under 17: 2 Dependents over 17: 1 Step 4 information: none |
B-Schwa | Joel Schwartz 55 Maple Farm Way Woodstock, VT 05534 802-463-9985 SSN: 021-34-9876 401(k) deduction: 5% Section 125 deduction: $100 | Hire Date: 2-1-2021 DOB: 5-23-1993 Position: Sales PT/FT: FT, exempt M/S: Married/Joint Pay Rate: $24,000 per year base plus 3% commission per case sold Dependents under 17: 2 Dependents over 17: 0 Step 4 information: none |
B-Prevo | Toni Prevosti 820 Westminster Road Bridgewater, VT 05520 802-555-3456 SSN: 055-22-0443 401(k) deduction: 6% Section 125 deduction: $155 | Hire Date: 2-1-2021 DOB: 9-18-1987 Position: Owner/President PT/FT: FT, exempt M/S: Married/Joint Pay Rate: $45,000 per year Dependents under 17: 3 Dependents over 17: 2 Step 4 information: none |
Student Success | Student B. Success 1644 Smitten Road Woodstock, VT 05001 (555) 555-5555 SSN: 555-55-5555 Section 125 deduction: $100 | Hire Date: 2-1-2021 DOB: 1-1-2001 Position: Accounting Clerk PT/FT: FT, nonexempt M/S: Single Pay Rate: $34,000 per year Dependents under 17: 0 Dependents over 17: 0 Step 4 information: none |
The company has the following departments: Department A: Agricultural Workers Department B: Office Workers
initial pre-tax deductions for each employee are as follows:
Name | Deduction |
---|---|
Thomas Millen | Insurance: $155/paycheck 401(k): 3% of gross pay |
Avery Towle | Insurance: $100/paycheck 401(k): 5% of gross pay |
Charlie Long | Insurance: $155/paycheck 401(k): 2% of gross pay |
Mary Shangraw | Insurance: $100/paycheck 401(k): 3% of gross pay |
Kristen Lewis | Insurance: $155/paycheck 401(k): 4% of gross pay |
Joel Schwartz | Insurance: $100/paycheck 401(k): 5% of gross pay |
Toni Prevosti | Insurance: $155/paycheck 401(k): 6% of gross pay |
Student Success | Insurance: $100/paycheck 401(k): 2% of gross pay |
The first day of work for Prevosti Farms and Sugarhouse for all employees is February 1, 2021. February 5 is the end of the first pay period and includes work completed during the week of February 15. Using the payroll register, compute the employee gross pay and net pay using 35 hours as the standard workweek for all employees except Mary Shangraw, who works 20 hours per week and receives overtime for any time worked past that point per company policy. The other hourly employees receive overtime pay when they work more than 35 hours in one week. Joel Schwartz has made $5,000 in case sales at a 3 percent commission rate during this pay period. Remember that the employees are paid biweekly. Note that the first pay period comprises only one week of work, but the pay frequency for federal income tax purposes is biweekly. Federal withholding tax should be computed using the wage-bracket tables in Appendix C. State withholding tax for Vermont is computed at 3.35 percent of taxable wages (i.e., gross pay less pre-tax deductions). The same deductions are allowed for state as for federal. February 19, 2021, is the end of the final pay period for the month. Schwartz has sold $7,500 of product during this pay period at a 3 percent commission. Pay will be disbursed on February 24, 2021, and check numbers will continue from prior payroll.
The hours for the nonexempt employees are as follows:
Name | Hourly rate | Hours worked 2/1-2/5 |
---|---|---|
Towle | $ 12.00000 | 35 hours |
Long | $ 12.50000 | 40 hours |
Shangraw | $ 11.00000 | 21 hours |
Success (You) | $ 18.68132 | 35 hours |
Name | Hourly rate | Hours worked 2/6-2/19 |
---|---|---|
Towle | $ 12.00000 | 80 hours |
Long | $ 12.50000 | 70 hours |
Shangraw | $ 11.00000 | 42 hours |
Success (You) | $ 18.68132 | 71 hours |
Required: Complete the payroll register for this pay period and update the Employee Earnings Record form for each employee with the corresponding information. The Step-2 of Form W-4 is unchecked. The amount per period should be included in the record. As an example, if an employee elected to contribute $1,300 to his or her FSA, the period payroll deduction would be $1,300/26, or $50. Benefit-related payroll deductions will take effect on the first pay period of March
Employee | Flex-Time | Child Care Assistance (under $5,000 annually) | FSA (annual) | Educational Assistance ($4,000 annually) | Life Insurance (at 1% of annual salary value) | Long-Term Care Insurance ($15 per period) | Gym Membership ($15 per month) |
---|---|---|---|---|---|---|---|
Millen | Yes | Yes | $ 500.00 | No | Yes | No | Yes |
Towle | No | No | $ 1,200.00 | Yes | No | No | Yes |
Long | Yes | Yes | $ 700.00 | Yes | Yes | No | Yes |
Shangraw | Yes | No | $ 200.00 | No | Yes | No | No |
Lewis | No | No | $ 1,600.00 | No | Yes | Yes | No |
Schwartz | No | No | $ 450.00 | Yes | Yes | No | Yes |
Prevosti | Yes | No | $ 900.00 | No | Yes | No | Yes |
Student | No | No | $ 300.00 | Yes | No | No | Yes |
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