Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Paloma Co, has four employees. FICA Social Security taxes are 6.2% of the first $128,400 paid to each employee, and FICA Medica taxes are 1.45%

image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
Paloma Co, has four employees. FICA Social Security taxes are 6.2% of the first $128,400 paid to each employee, and FICA Medica taxes are 1.45% of gross pay. Also, for the first $7,000 paid to each employee, the company's FUTA taxes are 0.6% and SUTA taxes 5.4%. The company is preparing its payroll calculations for the week ended August 25. Payroll records show the following informat for the company's four employees. Name Dali Trey Kiesha Chee Gross Pay through Aug. 18 $124,400 126,000 8,800 2,750 Current Week Income Tax Gross Pay Withholding $4,800 $ 525 2,400 322 1,400 54 1,800 In addition to gross pay, the company must pay one-half of the $94 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.): Tax Amount eBook 1) Employees' FICA Withholdings for Social Security Employee Earnings Subject to Tax Tax Rate Tax Rate Dali Trey Kiesha Chee Total 2) Employees' FICA Withholdings for Medicare Earnings Employee Tax Rate Subject to Tax Tax Amount Tax Rate Dal Trey Kesha Chee Total 3) Employer's FICA Taxes for Social Security Emaleve Earnings Tax Rate Tax Amount M 3) Employer's FICA Taxes for Social Security Employee Earnings Tax Rate Subject to Tax Tax Amount Tax Rate Dali Trey Kiesha Chee Total 4) Employer's FICA Taxes for Medicare Employee Earnings Subject to Tax Tax Rate Tax Amount Tax Rate Dali Trey Kiesha Chee Total 5) Employer's FUTA Taxes Employee Earnings Subject to Tax Tax Rate Tax Amount 5) Employer's FUTA Taxes Employee Earnings Subject to Tax Tax Rate Tax Amount Tax Rate Dali Trey Klesha Chee Tota! 6) Employer's SUTA Taxes Employee Earnings Subject to Tax Tax Rate Tax Amount Tax Rate Dali Trey Kiesha Cheo Total 7) Each Employee's Net (take-home) Pay Employee Dali Trey Kiesha Chee Total Total Trey Kiesha Cheo Total 7) Each Employee's Not (tako-home) Pay Employee Dali Gross Pay $ 4,800.00 $ Income tax withholding 525.00 FICA - Social Security FICA - Medicare 2,400.00 S 1,400.00 $ 1,800.00 $ 10,400.00 322.00 54.00 43.00 944.00 Health Insurance Net Pay 8) Employer's total payroll-related expense for each employee. Employee Dall Trey Klesha Gross Pay $ 4,800.00 $ 2,400.00 $ 1,400.00 $ FICA - Social Security FICA-Medicare FUTA Chee Total 1,800.00 $ 10,400.00 SUTA Health Insurance Pension Total Payroll Expense

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Accounting What The Numbers Mean

Authors: David Marshall

13th Edition

1264126743, 9781264126743

More Books

Students also viewed these Accounting questions