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

College Accounting (Book Only): A Career Approach

12th Edition

ISBN:9781305084087

Author:Cathy J. Scott

Publisher:Cathy J. Scott

Chapter7: Employee Earnings And Deductions

Section: Chapter Questions

Problem 2E

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Holden Smith manages a Dairy World drive-in. His straight-time pay is $18 per hour, with time-and-a-half for hours in excess of 40 per week. Smith's payroll deductions include withheld income tax of 30%, FICA tax, and a weekly deduction of $10 for a charitable contribution to United Way. Smith worked 57 hours during the week. (Click the icon to view payroll tax rate information.) Read the requirements. Requirement 1. Compute Smith's gross pay and net pay for the week. Assume earnings to date are $10,000. (Round all amounts to the nearest cent.) Begin by computing Smith's gross pay for the week. Gross Pay Compute Smith's net pay for the week. (Round all amounts to the nearest cent.) Withholding deductions:
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Lucy Rose works at College of Fort Worth and is paid $12 per hour for a 40-hour workweek and time-and-a-half for hours above 40. A (Click the icon to view payroll tax rate information.) Read the requirements. Requirement 2. Rose is single, and her income tax withholding is 15% of total pay. Rose's only payroll deductions are payroll taxes. Compute Rose's net (take-home) pay for the week. Assume Rose's earnings to date are less than the OASDI limit. (Round all amounts to the nearest cent.) Withholding deductions: Net (take-home) pay Requirement 3. Journalize the accrual of wages expense and the payments related to the employment of Lucy Rose. (Record debits first, then credits. Select the explanation on the last line of the journal entry table.) Begin with the entry to accrue wages expense and payroll withholdings for Lucy Rose. (Round all amounts to the nearest cent.) Date Accounts and Explanation Debit Credit
Sienna Watson works for MRK all year and earns a monthly salary of $12,200. There is no overtime pay. Sienna's income tax withholding rate is 12% of gross pay. In addition to payroll taxes, Sienna elects to contribute 1% monthly to United Way for co-payment of the health insurance premium. As of September 30, Sienna had $122,000 of cumulative earnings. (Click the icon to view payroll tax rate information.) Read the requirements. Requirements Requirement 1. Compute Sienna's net pay for October. (Round all amounts to the nearest cent.) Gross pay Withholding deductions: Employee income tax $ 12,200.00 1. Compute Sienna's net pay for October 2. Journalize the accrual of salaries expense and the payment related to the employment of Sienna Watson Employee OASDI tax Employee Medicare tax Employee contribution to United Way Employee health insurance Total withholdings Net (take-home) pay $ 1,464.00 675.80 176.90 122.00 300.00 2,738.70 $ 9,461,30 Requirement 2. Journalize the accrual of…
Grace Kelley earns $2,000 per week. She is married and claims 2 exemptions. What is Grace’s income tax? Use the percentage method (Use Table 7.1 and Table 7.2). (Round your final answer to the nearest cent.)
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Can I do a general journal entry on this scenario, if so how do i do it? Master Flow’s first employee, Emma Stone starts at the Company. She will be responsible for Warehouse Management. She will be paid $20 / Hour. Emma works 30 Hours / Pay Period (every two weeks). The pay period ends on 12-31-20. Emma’s Federal Tax Withholding is $50, based on her W4, and all other standard payroll taxes apply at their appropriate rates. She does not receive benefits and does not have any contributions of any type withheld from her pay.
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Sky Company employed Tom Mills in Year 1. Tom earned $5,300 per month and worked the entire year. Assume the Social Security tax rate is 6 percent for the first $110,000 of earnings, and the Medicare tax rate is 1.5 percent. Tom's federal income tax withholding amount is $940 per month. Use 5.4 percent for the state unemployment tax rate and 0.6 percent for the federal unemployment tax rate on the first $7,000 of earnings per employee. Required a. Answer the following questions. (1) What is Tom's net pay per month? (2) What amount does Tom pay monthly in FICA payroll taxes? (3) What is the total payroll tax expense for Sky Company for January Year 1? February Year 1? March Year 1? December Year 1? b. Assume that instead of $5,300 per month Tom earned $9,700 per month. Answer the following questions. (1) What is Tom's net pay per month? (2) What amount does Tom pay monthly in FICA payroll taxes? (3) What is the total payroll tax expense for Sky Company for January Year 1? February Year…
Maze Company has one employee that is paid $1,000 weekly. All of the employee's wages are subject to social security and Medicare taxes. Federal and state income tax withholding on the employee's pay are $100 and $40, respectively. Federal and state unemployment taxes amount to $8 and $56, respectively. What is the employer's weekly payroll tax expense? Group of answer choices $1,280.50 $280.50 $140.50 $1,000.00
Sky Company employed Tom Mills in Year 1. Tom earned $5,800 per month and worked the entire year. Assume the Social Security tax rate is 6 percent for the first $130,000 of earnings, and the Medicare tax rate is 1.5 percent. Tom's federal income tax withholding amount is $920 per month. Use 5.4 percent for the state unemployment tax rate and 0.6 percent for the federal unemployment tax rate on the first $7,000 of earnings per employee. Required a. Answer the following questions: 1. What is Tom's net pay per month? 2. What amount does Tom pay monthly in FICA taxes? 3. What is the total payroll tax expense for Sky Company for January, Year 1? February, Year 1? March, Year 1? December, Year 1? b. Assume that instead of $5,800 per month Tom earned $11,300 per month. Based on this new level of income Tom's new federal income tax withholding is $2,200. Answer the following questions. 1. What is Tom's net pay per month? 2. What amount does Tom pay monthly in FICA payroll taxes? 3. What is the…