Question
The journal entry to record the payroll from Figure 6.1, on pages 6-2 and 6-3, would be: Debit Credit Wages Expense 24,762.70 FICA Taxes PayableOASDI
The journal entry to record the payroll from Figure 6.1, on pages 6-2 and 6-3, would be:
Debit | Credit | |
Wages Expense | 24,762.70 | |
FICA Taxes PayableOASDI | 1,535.29 | |
FICA Taxes PayableHI | 359.06 | |
FIT Payable | 3,714.00 | |
SIT Payable | 55.25 | |
Group Insurance Payments W/H | 54.70 | |
Cash | 19,044.40 |
Example 6-7
The journal entry to record the payroll tax entry from Figure 6.1 on pages 6-2 and 6-3 would be (assume a SUTA tax rate of 3.0%):
Debit | Credit | |
Payroll Taxes | 2,785.81 | |
FICA Taxes PayableOASDI | 1,535.29 | |
FICA Taxes PayableHI | 359.06 | |
FUTA Taxes Payable | 148.58 | |
SUTA Taxes Payable | 742.88 |
The following information pertains to a weekly payroll of Texera Tile Company:
a. The total wages earned by employees are $17,150. b. The state unemployment insurance contribution rate is 3.5%. c. The entire amount of wages is taxable under FICA, FUTA, and SUTA. d. The amount withheld from the employees' wages for federal income taxes is $1,960; for state income taxes, $374.50; and for group insurance, $195.00.
Payment of Wages and the Payroll Taxes
Journalize the payment of wages, and record the payroll taxes for this payroll.
If an amount box does not require an entry, leave it blank. Round your answers to the nearest cent.
Account Debit Credit Payment of wages Payroll taxesStep by Step Solution
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