H9.C2Paloma Company has four employees. FICA Social Security taxes are 6.2% of the first $137,700 paid to each employee, and FICAMedicare 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 SUTAtaxes are 5.4%. The company Is preparing its payroll calculations for the week ended August 25. Payroll records show the followingInformation for the company's four employees.NameDaliTreyKieshaCheeGross Pay throughAugust 18Dali: $ 136,600Trey: 136,800Kiesha: 6,900Chee: 1,250gross PavDali: $ 2,000Trey: 900Kiesha: 450Chee: 400Current WeekIncome TaxWithholdingDali: $284Trey: 145Kiesha: 39Chee: 30In addition to gross pay, the company must pay two-thirds of the $60 per employee weekly health insurance; each employee pays theremalning one-third. The company also contributes an extra 8% of each employee's gross pay (at no cost to employees) to a pensionfund.Required:places.)Compute the following for the week ended August 25. (Round your Intermedlate calculations and final answers to 2 decimal 21 Employees RCA Widthordings har Sochid SamurtyCuningtSubject to TaxEmployeeTax RateDaliTreyKieshaChee2) Employees' FICA Withholdings for MedicareEarningsSubject to TaxEmployeeTax RateDaliTreyKieshaChee3) Employer's FICA Taxes for Social SecurityEarningsSubject to TaxEmployeeTax RateDaliTreyKieshaChoe4) Employer'e FICA Taxes for MedicareEarningsSubject to TaxEmployeeTax RateTreyKinshaChee5) Employer's FUTA TaxesEmployeeTax RuleDakTreyKlienhas61 EmploTex HataEarningeSubject to TaxTotalTax RateTax RateTotal STax RateTix Amount$Tax RateTax AmountTotal S0.00Total STax Amount0.000.00Tax Amount0.00Tax Amount 6) Employer's SUTA TaxesEmployeeTax RateDaliTreyKieshaChee7) Each Employee's Net (take-home) PayEmployeeGross PayIncome tax withholdingFICA - Social SecurityFICA - MedicareHealth InsuranceNet PayEarningsSubject to TaxEmployeeGross PayFICA-Social SecurityFICA-MedicareFUTASUTAHealth InsurancePensionTotal Payroll Expense$DaliSTax RateDaliTrey8) Employer's Total Payroll-Related Expense for Each EmployeeTrey2,000.00 S0.000.000.000.00Total2,000.00 $ 900.00 $284.00145.00S 2.000.00 $Tax Amount$900.00 S0.000.000.000.00900.00 $0.00Kiesha450.00 S39.00Kiesha450.000.000.000.000.00450.00SSChee400.00 S30.00CheeS400.00 S0.000.000.000.00400.00 STotal3,750.00498.000.000.000.000.00Total3,750.000.000.000.000.000.000.003,750.00

Payroll It is important for the business entity to maintain the payroll expenses which are incurred…

Answered: H9.C2 Paloma Company has four…

College Accounting, Chapters 1-27

23rd Edition

ISBN:9781337794756

Author:HEINTZ, James A.

Publisher:HEINTZ, James A.

Chapter9: Payroll Accounting: Employer Taxes And Reports

Section: Chapter Questions

Problem 3MC

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H9.C2 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. Name Dali Trey Kiesha Chee Gross Pay through August 18 Dali: $ 136,600 Trey: 136,800 Kiesha: 6,900 Chee: 1,250 gross Pav Dali: $ 2,000 Trey: 900 Kiesha: 450 Chee: 400 Current Week Income Tax Withholding Dali: $284 Trey: 145 Kiesha: 39 Chee: 30 In addition to gross pay, the company must pay two-thirds of the $60 per employee weekly health insurance; each employee pays the remalning one-third. The company also contributes an extra 8% of each employee's gross pay (at no cost to employees) to a pension fund. Required: places.) Compute the following for the week ended August 25. (Round your Intermedlate calculations and final answers to 2 decimal

21 Employees RCA Widthordings har Sochid Samurty
Cuningt
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
3) Employer's FICA Taxes for Social Security
Earnings
Subject to Tax
Employee
Tax Rate
Dali
Trey
Kiesha
Choe
4) Employer'e FICA Taxes for Medicare
Earnings
Subject to Tax
Employee
Tax Rate
Trey
Kinsha
Chee
5) Employer's FUTA Taxes
Employee
Tax Rule
Dak
Trey
Klienhas
61 Emplo
Tex Hata
Earninge
Subject to Tax
Total
Tax Rate
Tax Rate
Total S
Tax Rate
Tix Amount
$
Tax Rate
Tax Amount
Total S
0.00
Total S
Tax Amount
0.00
0.00
Tax Amount
0.00
Tax Amount

6) Employer's SUTA Taxes
Employee
Tax Rate
Dali
Trey
Kiesha
Chee
7) Each Employee's Net (take-home) Pay
Employee
Gross Pay
Income tax withholding
FICA - Social Security
FICA - Medicare
Health Insurance
Net Pay
Earnings
Subject to Tax
Employee
Gross Pay
FICA-Social Security
FICA-Medicare
FUTA
SUTA
Health Insurance
Pension
Total Payroll Expense
$
Dali
S
Tax Rate
Dali
Trey
8) Employer's Total Payroll-Related Expense for Each Employee
Trey
2,000.00 S
0.00
0.00
0.00
0.00
Total
2,000.00 $ 900.00 $
284.00
145.00
S 2.000.00 $
Tax Amount
$
900.00 S
0.00
0.00
0.00
0.00
900.00 $
0.00
Kiesha
450.00 S
39.00
Kiesha
450.00
0.00
0.00
0.00
0.00
450.00
S
S
Chee
400.00 S
30.00
Chee
S
400.00 S
0.00
0.00
0.00
0.00
400.00 S
Total
3,750.00
498.00
0.00
0.00
0.00
0.00
Total
3,750.00
0.00
0.00
0.00
0.00
0.00
0.00
3,750.00

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