Problem 9-3A Payroll expenses, withholdings, and taxes LO P2, P3 Paloma Co has four employees. FICA Social Security taxes are 6.2% of the first $128,400 paid to each employee, and FICA Medicare taxes are 145% 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. Current Week Name Dall Trey Kiesha Chee Gross Pay through Aug. 18 $125,900 125.600 7.300 1,250 Grons Pay $3,000 2.800 1,400 1,800 Income Tax Withholding $ 312 113 41 32 In addition to gross pay, the company must pay one-half of the $64 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. 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 Dall Trey 1) Employees' FICA Withholdings for Social Security Employee Earnings Subject to Tax Tax Rate Tax Amount Tax Rate Dali Trey Kiesha Chee Total $ 0.00 2) Employees' FICA Withholdings for Medicare Employee Earnings Subject to Tax Tax Rate Tax Amount Tax Rate Dali Trey Kiesha Chee Total $ 0.00 3) Employer's FICA Taxes for Social Security Employee Earnings Subject to Tax Tax Rate Tax Amount Tisy Date 3) Employer's FICA Taxes for Social Security Employee Earnings Subject to Tax Tax Rate Tax Amount Tax Rate Dali Trey Kiesha Chee Total $ 0.00 4) Employer's FICA Taxes for Medicare Employee Earnings Subject to Tax Tax Rate Tax Amount Tax Rate Dali Trey Kiesha Chee Total S 0.00 5) Employer's FUTA Taxes Employee Earnings Subject to Tax Tax Rate Tax Amount Tax Rate 5) Employer's FUTA Taxes Employee Earnings Subject to Tax Tax Rate Tax Amount Tax Rate Dali Trey Kiesha Chee Total $ 0.00 6) Employer's SUTA Taxes Employee Earnings Subject to Tax Tax Rate Tax Amount Tax Rate Dali Trey Klesha Chee Total $ 0.00 7) Each Employee's Net (take-home) Pay Employee Dall Trey Kiesha Gross Pay Cheo Total 3,000.00 2,800.00 $ 1,400.00 $ 1,800.00 $ 9,000,00 Total $ 0.00 7) Each Employee's Net (take-home) Pay Employee Dali Trey Kiesha Chee Total $ 3,000.00 $ 2,800.00 $ 1,400.00 $ 1,800.00 $ 9,000.00 Gross Pay Income tax withholding FICA - Social Security 312.00 113.00 41.00 32.00 498.00 0.00 FICA - Medicare 0.00 Health Insurance 0.00 Net Pay $ 0.00 8) Employer's total payroll-related expense for each employee. Employee Chee Total Dall Trey Kiesha $ 3,000.00 $ 2,800.00 $ 1,400.00 $ 1,800.00 $ 9,000.00 Gross Pay FICA- Social Security FICA - Medicare 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 FUTA 0.00 0.00 0.00 0.00 0.00 SUTA 0.00 0.00 0.00 0.00 0.00 Health Insurance Pension 0.00 Total Payroll Expense 0.00 $ 3,000.00 $ 2,800.00 $ 1,400.00 1,800.00 $ 9,000.00
