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Can I please get help with this question? Paloma Company has four employees. FICA Social Security taxes are 6.2% of the first $137,700 paid to each employee, and FICA Medicare 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 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 Gross Pay through August 18 Gross Pay Income Tax Withholding Dali $ 125,500 $ 3,400 $ 369 Trey 135,100 2,600 411 Kiesha 7,700 1,800 44 Chee 1,650 1,000 35 In addition to gross pay, the company must pay one-half of the $72 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.

Can I please get help with this question? Paloma Company has four employees. FICA Social Security taxes are 6.2% of the first $137,700 paid to each employee, and FICA Medicare 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 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 Gross Pay through August 18 Gross Pay Income Tax Withholding Dali $ 125,500 $ 3,400 $ 369 Trey 135,100 2,600 411 Kiesha 7,700 1,800 44 Chee 1,650 1,000 35 In addition to gross pay, the company must pay one-half of the $72 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.

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Can I please get help with this question?

Paloma Company has four employees. FICA Social Security taxes are 6.2% of the first $137,700 paid to each employee, and FICA Medicare 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 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 Gross Pay through August 18 Gross Pay Income Tax Withholding
Dali $ 125,500 $ 3,400 $ 369
Trey 135,100 2,600 411
Kiesha 7,700 1,800 44
Chee 1,650 1,000 35

In addition to gross pay, the company must pay one-half of the $72 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.

1) Employees' FICA Withholdings for Social Security Earnings Subject to Tax Employee Tax Rate Dali Trey Kiesha Chee 2) Employees' FICA Withholdings for Medicare Earnings Subject to Tax Employee Tax Rate Dali Trey Kiesha Chee Employee 3) Employer's FICA Taxes for Social Security Earnings Subject to Tax Tax Rate Dali Trey Kiesha Chee 4) Employer's FICA Taxes for Medicare Earnings Subject to Tax Tax Rate Employee Tax Rate Dali Trey Kiesha Chee Total Tax Rate Tax Rate Tax Amount Total S Tax Rate S Total Tax Amount Total S 0.00 Tax Amount 0.00 S 0.00 Tax Amount 0.00
Transcribed Image Text:1) Employees' FICA Withholdings for Social Security Earnings Subject to Tax Employee Tax Rate Dali Trey Kiesha Chee 2) Employees' FICA Withholdings for Medicare Earnings Subject to Tax Employee Tax Rate Dali Trey Kiesha Chee Employee 3) Employer's FICA Taxes for Social Security Earnings Subject to Tax Tax Rate Dali Trey Kiesha Chee 4) Employer's FICA Taxes for Medicare Earnings Subject to Tax Tax Rate Employee Tax Rate Dali Trey Kiesha Chee Total Tax Rate Tax Rate Tax Amount Total S Tax Rate S Total Tax Amount Total S 0.00 Tax Amount 0.00 S 0.00 Tax Amount 0.00
5) Employer's FUTA Taxes Employee Tax Rate Dali Trey Kiesha Chee 6) Employer's SUTA Taxes Employee Tax Rate Dali Trey Kiesha Chee Earnings Subject to Tax Gross Pay Income tax withholding FICA -Social Security FICA - Medicare Health Insurance Net Pay 7) Each Employee's Net (take-home) Pay Employee Dali Earnings Subject to Tax Employee Gross Pay FICA - Social Security FICA - Medicare FUTA SUTA Health Insurance Pension Total Payroll Expense Tax Rate $ 3,400.00 S 369.00 $ Tax Rate Total Trey Tax Amount S Total S $ 3,400.00 S 2,600.00 Tax Amount 2,600.00 S 411.00 0.00 8) Employer's Total Payroll-Related Expense for Each Employee. Dali Trey 3,400.00 S 2,600.00 S 1,800.00 $ 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 (5) S 0.00 Kiesha 1,800.00 $ 44.00 Kiesha 1,800.00 $ Chee 1,000.00 S 35.00 Chee 1,000.00 0.00 0.00 0.00 0.00 S S 1,000.00 S Total 8,800.00 859.00 Total 0.00 0.00 0.00 0.00 8,800.00 0.00 0.00 0.00 0.00 0.00 0.00 8,800.00
Transcribed Image Text:5) Employer's FUTA Taxes Employee Tax Rate Dali Trey Kiesha Chee 6) Employer's SUTA Taxes Employee Tax Rate Dali Trey Kiesha Chee Earnings Subject to Tax Gross Pay Income tax withholding FICA -Social Security FICA - Medicare Health Insurance Net Pay 7) Each Employee's Net (take-home) Pay Employee Dali Earnings Subject to Tax Employee Gross Pay FICA - Social Security FICA - Medicare FUTA SUTA Health Insurance Pension Total Payroll Expense Tax Rate $ 3,400.00 S 369.00 $ Tax Rate Total Trey Tax Amount S Total S $ 3,400.00 S 2,600.00 Tax Amount 2,600.00 S 411.00 0.00 8) Employer's Total Payroll-Related Expense for Each Employee. Dali Trey 3,400.00 S 2,600.00 S 1,800.00 $ 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 (5) S 0.00 Kiesha 1,800.00 $ 44.00 Kiesha 1,800.00 $ Chee 1,000.00 S 35.00 Chee 1,000.00 0.00 0.00 0.00 0.00 S S 1,000.00 S Total 8,800.00 859.00 Total 0.00 0.00 0.00 0.00 8,800.00 0.00 0.00 0.00 0.00 0.00 0.00 8,800.00
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