Chapter 11, Problem E11.20E

Recording employee and employer payroll taxes

Learning Objective 2

2. Salaries and Wages Payable $15,923.20

County Company had the following partially completed payroll register.

Earnings			Withholdings						Net Pay	Check No.	Salaries and Wages Expense
Beginning Cumulative Earnings	Current Period Earnings	Ending Cumulative Earnings	OASDI	Medicare	Income Tax	Health Insurance	United Way	Total Withholdings
$ 77,000	$ 4,500				$ 900	$90	$ 15			801
112,000	7,200				1,200	144	35			802
48,000	3,300				600	66	0			803
61,000	3,300				850	66	20			804
0	4,500				1,100	90	0			805
$ 298,000	$22,800				$4,650	$456	$70

Requirements

1. Complete the payroll register. Round to two decimals.
2. Journalize County Company’s salaries and wages expense accrual for the current pay period.
3. Journalize County Company’s expenses for employer payroll taxes for the current pay period.
4. Journalize the payment to employees.
5. Journalize the payment for withholdings and employer payroll taxes.