Scenario 1: Watchdog Company has 10 employees. The template given has each work and their cumulative earnings as of November 2, the companys last payday. The template also gives the gross amount of earnings to be paid each worker on the next payday, November 9.

In the state where Watchdog is located, the tax rates and bases are as follows:

Tax on Employees:

FICA OASDI 6.2% on the first $127,200

FICA HI 1.45% on total earnings

SUTA 0.5% on the first $8,000

Tax on employers:

FICA OASDI 6.2% on the first $127,200

FICA HI 1.45% on total earnings

FUTA 0.6% on first $7,000

SUTA 2.8% on the first $8,000