KHerbert Sampson manages a Dairy World drive-in. His straight-time pay is $18 per hour, with time-and-a-half forhours in excess of 40 per week. Sampson's payroll deductions include withheld income tax of 30%, FICA tax, and aweekly deduction of $9 for a charitable contribution to United Way. Sampson worked 54 hours during the week.i (Click the icon to view payroll tax rate information.)Read the requirements.Requirement 1. Compute Sampson's gross pay and net pay for the week. Assume earnings to date are $13,000.(Round all amounts to the nearest cent.)Begin by computing Sampson's gross pay for the week.Gross PayMore infoxt pagesFor all payroll calculations, use the following tax rates and round amounts to thenearest cent:Employee:Employer:OASDI: 6.2% on first $132,900 earned; Medicare: 1.45% up to$200,000, 2.35% on earnings above $200,000.OASDI: 6.2% on first $132,900 earned; Medicare: 1.45%; FUTA:0.6% on first $7,000 earned; SUTA: 5.4% on first $7,000 earned.PrintGet more help.▲Done- XClear allCheck answ

The United States government uses the Federal Payroll System (FPS) to handle and oversee employee…

son manages i Dairy es of 40 per week. Sampson's payroll deductions includ on of $9 for a charitable contribution to United Way. Sa con to view payroll tax rate information.) rements. Compute Sampson's gross pay and net pay for the unts to the nearest cent.) uting Sampson's gross pay for the week. ons, use the following tax rates and round amounts 6.2% on first $132,900 earned; Medicare: 1.45% u 00, 2.35% on earnings above $200,000. 6.2% on first $132,900 earned; Medicare: 1.45%; first $7,000 earned; SUTA: 5.4% on first $7,000 e Print Done

son manages i Dairy es of 40 per week. Sampson's payroll deductions includ on of $9 for a charitable contribution to United Way. Sa con to view payroll tax rate information.) rements. Compute Sampson's gross pay and net pay for the unts to the nearest cent.) uting Sampson's gross pay for the week. ons, use the following tax rates and round amounts 6.2% on first $132,900 earned; Medicare: 1.45% u 00, 2.35% on earnings above $200,000. 6.2% on first $132,900 earned; Medicare: 1.45%; first $7,000 earned; SUTA: 5.4% on first $7,000 e Print Done

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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According to a summary of the payroll of Guthrie Co., $560,000 was subject to the 6.0% social security tax and the 1.5% Medicare tax. Also, $60,000 was subject to state and fed-eral unemployment taxes. a. Compute the employer’s payroll taxes, using the following rates: state unemployment, 5.4%; federal unemployment, 0.6%. b. Journalize the entry to record the accrual of payroll taxes.
Samantha Lindsay works at College of Austin and is paid $15 per hour for a 40-hour workweek and time-and-a-half for hours above 40. (Click the icon to view payroll tax rate information.) Read the requirements. CEN Requirement 1. Compute Lindsay's gross pay for working 52 hours during the first week of February. Straight-time pay for 40 hours $ 600.00 270.00 Overtime pay for 12 hours 870.00 Gross Pay Requirement 2. Lindsay is single, and her income tax withholding is 15% of total pay. Lindsay's only payroll deductions are payroll taxes. Compute Lindsay's net (take-home) pay for the week. Assume Lindsay's earnings to date are less than the OASDI limit. (Round all amounts to the nearest cent) Gross pay Withholding deductions: Employee income tax Employee OASDI tax Employee Medicare tax Total withholdings Net (take-home) pay 4
A company's payroll records report $3,460 of gross pay and $484 of federal income tax withholding for an employee for the weekly pay period. Compute this employee's FICA Social Security tax (6.2%), FICA Medicare tax (1.45%), state income tax (1.0%), and net pay for the current pay period. Note: Round your final answers to 2 decimal places. Gross pay FICA Social Security tax deduction FICA Medicare tax deduction Federal income tax deduction State income tax deduction Total deductions Net pay
John Jansen, an employee of Redwood Company, had gross earnings for the month of May of $4,000. FICA taxes are 7.65% of gross earnings (all earnings are subject to), federal income taxes amount to $675 for the month, state income taxes are 3% of gross earnings, and Jansen authorized voluntary deductions of $5 per month to the United Way. What is the net pay for John Jansen? O $2,899 O $3,205 O $3,694 O $2,894
Solve the problem using 6.2%, up to $128,400 for Social Security tax and using 1.45%, no wage limit, for Medicare tax. Calculate the monthly Social Security and Medicare withholdings (in $) for the employee as the payroll manager for a cargo and freight company. Year-to-Date Employee Earnings Current Month Social Security Graham, C. $14,300 $1,780 Medicare
Kenneth McFarland's weekly gross earnings for the week ending March 9 were $2,170, and her federal income tax withholding was $390.60. Assuming the social security tax rate is 6% and Mcdicarc tax is 1.5% of all carnings, what is McFarland's net pay? If required, round your answer to two decimal places.
Payroll Tax Entries According to a summary of the payroll of Mountain Streaming Co., $582,000 was subject to the 6.0% social security tax and the 1.5% Medicare tax. Also, $19,000 was subject to state and federal unemployment taxes. a. Calculate the employer's payroll taxes, using the following rates: state unemployment, 4.2%; federal unemployment, 0.8%. $ b. Journalize the entry to record the accrual of payroll taxes. If an amount box does not require an entry, leave it blank. ▼
Assume a tax rate of 6.2% on $142,800 for Social Security and 1.45% for Medicare. No one will reach the maximum for FICA. Complete the following payroll register. (Use the percentage method to calculate FIT for this weekly period.) (Use Table 9.1). Note: Do not round intermediate calculations and round your final answers to the nearest cent. Employee Pat Brown Marital status S Gross pay $ 1,900 FIT Social Security FICA Medicare Net pay
Kip Bowman is owner and sole employee of KB Corporation. He pays himself a salary of $1,500 each week. Additional tax information includes: FICA tax—OASDI 6.2% on first $132,900 FICA tax—HI 1.45% on total pay Federal income tax $232.00 per pay State income tax 22% of the federal income tax withholding Federal unemployment tax 0.6% on first $7,000 State unemployment tax 0.05% on first $14,000 Additional payroll deductions include: 401(k) plan 3% per pay Child support garnishment $100 per pay Health insurance premium $95 per pay
Po.7.
From the following information, calculate the payroll tax expense for New Company for the payroll of April 9 View the Dayto The FICA Social Security tax rate is 6.2% on the first $142,800 earned, and FICA Medicare is 1.45% on all earnings Federal unemployment tax is 06% on the first $7,000 earned by each employee The SUTA tax rate for New Company is 5 7% on the test $7,000 of employce earnings for state unemployment purposes (Round to the nearest cent as needed) Total Payroll Employee W Duncan C. Hart G. Oval Cumulative Earnings Before Weekly Payroll Print Gross Pay for the Week 3.000 $ 6.100 8.000 Done 750 650 250
Maxwell Washington's weekly gross earnings for the week ending March 9 were $900, and her federal income tax withholding was $153.00. Assuming the social security tax rate is 6% and Medicare tax is 1.5% of all earnings, what is Washington's net pay? If required, round your answer to two decimal places.