During the month of January, an employee eamed $5,100 of salary. Withholdings from the employee's salary consist of FICA Social Security taxes of $316.20, FICA Medicare taxes of $73.95, federal income taxes of $54315, and medical Insurance deductions of $216.75. Prepare the journal entry to record the employer's salanes expense and related liabilities assuming these wages will be paid In early February. Note: Round your final answers to 2 decimal places. View transaction list Journal entry worksheet Record payroll for period. Note: Enter debits before credits Date January 31 General Journal Debat Creda

During the month of January, an employee eamed $5,100 of salary. Withholdings from the employee's salary consist of FICA Social Security taxes of $316.20, FICA Medicare taxes of $73.95, federal income taxes of $54315, and medical Insurance deductions of $216.75. Prepare the journal entry to record the employer's salanes expense and related liabilities assuming these wages will be paid In early February. Note: Round your final answers to 2 decimal places. View transaction list Journal entry worksheet Record payroll for period. Note: Enter debits before credits Date January 31 General Journal Debat Creda

College Accounting (Book Only): A Career Approach

12th Edition

ISBN:9781305084087

Author:Cathy J. Scott

Publisher:Cathy J. Scott

Chapter8: Employer Taxes, Payments, And Reports

Section: Chapter Questions

Problem 1E

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CALCULATION AND JOURNAL ENTRY FOR EMPLOYER PAYROLL TAXES Portions of the payroll register for Barneys Bagels for the week ended July 15 are shown below. The SUTA tax rate is 5.4%, and the FUTA tax rate is 0.6%, both of which are levied on the first 7,000 of earnings. The Social Security tax rate is 6.2% on the first 118,500 of earnings. The Medicare rate is 1.45% on gross earnings. Calculate the employers payroll taxes expense and prepare the journal entry to record the employers payroll taxes expense for the week ended July 15 of the current year.
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