Transactions for May: continued May 07 Ivan Cowen, the Shop Foreman, is paid. He worked 43.5 hours this pay period Payroll Instructions: May 09 May 111 May 11 Payroll Registers Included in this simulation are payroll registers, one for each week, to be used to determine all payroll data per pay. For each pay period, calculate the regular earnings, overtime earnings, and current gross eamings. Also, using the tables provided, calculate the Federal Income Tax to be withheld Since Ivan will not cross the OASDI (Social Security) celling, an OASDI taxable column is not included in the payroll register. The Social Security tax rate is 6.2% and the Medicare tax rate is 1.45% of gross earnings each pay. Since Ivan will be paid with a general checking account check, the entire payroll entry MUST be recorded in the Cash Payments Journal The Wage Bracket Tables for federal income ta tax withholding is presented as "Supplement B (Ivan's federal withholding status is Married with 2 withholding allowances) Employee Earnings Records The purpose of the employee's earnings record is to keep a running total of year-to-date amounts After preparing the payroll register for each pay period, copy that information to the employee's earnings record on the appropriate line. Total each month after all entries are posted for that month. Later instructions will follow for month end-requirements Cash sales for the day totaled $2,375.00 plus sales tax A fence is installed for a customer, Will Spencer, on account. The contract amount is $3.820.00 plus tax, berms net 30 days. Invoice # 1002 Charlie's pays for the purchase from Atlantic Fence from May 02 in full May 12 Homer's Construction presents Charlie's with an invoice for the installation fee on Will Spencer's fence in the amount $ 725.00. Charlie's records this entry at the time of the invoicing as a payable to be paid with any other amounts due Homers once each week. May 12 May 13 May 14 May 15 May 17 May 19 May 201 May 21 May 23 May 24 Received payment in full from "Ed's Pools" for Invoice #1001. A customer purchases fencing materials and gates and charges them on her Visa Card, $48.00 plus tax (See May 03). Ivan Cower, the Shop Foreman, is paid. He worked 44.75 hours this pay period. Charlie's purchased decorative fencing materials on account for $435.00 1-10. net 30, from Mable's Omamental Fencing, Inc, Invoice #44413 A shipment of fencing materials was shipped to Ed's Pools (see May 03) totaling $2,110 00 Invoice #1003 (See May 03 for credit terms extended to "Ed Homer's Construction is paid in full for the invoice on May 12. A fence is installed for a customer, Jane Wise, on account. The contract amount is $2.570.00 plus tax terms net 30 days, Invoice #1004 Ivan Cowen, the Shop Foreman, is paid. He worked 41.50 hours this pay period. Cash sales for the day totaled $2,135.00 plus sales tax Charlie's purchased plastic coated fencing materials on account for $1,365.00 for a special order customer, terms 2-10, net 30, from Atlantic Fencing. Invoice #546872 May 24 Charlie's pays for the purchase from Mable's Fencing from May 15 in full May 25 Charlie's returns $62.00 of materials to Atlantic from the order on May 24. page 6 Transactions for May: continued May 26 Charlie's opened a charge account at a local gas station at the beginning of May to be payed at the end of each month by check. May's charges totaled $ 80.00 and are paid May 28 May's electric bill of $325.00 was paid May 26 May's water bill of $45.00 was paid