3: An employer in the U.S. Virgin Islands, employs two individuals, whose taxable earnings to date (prior to the current pay period) are $1,420 and $32,100. During thecurrent pay period, these employees earn $3,350 and $1,700, respectively. The applicable SUTA tax rate is 4%, and the U.S. Virgin Islands SUTA threshold is $32,500.FUTA tax = $SUTA tax = $4: An employer in Durham, North Carolina, employs three individuals, whose taxable earnings to date (prior to the current pay period) are $6,000, $22,600, and $35,800.During the current pay period, these employees earn $980, $1,600, and $1,150, respectively. The applicable SUTA tax rate is 1.2%, and the North Carolina SUTAthreshold is $26.000,FUTA tax = $SUTA tax = $FUTA rate = 0.6% on first 7000 of an Employee's salarySUTA rate = 2.1%. Threshold = $ 16500Answer 1)FUTA Tax = $ 1450 * 0.6% = $ 8.7Note:FUTA is not applicable on the other individual as its annual income is more than $ 7000.SUTA Tax = ( $ 1450 + $ 2000 ) * 2.1% = $ 72.45Note:Since , the annual income ($ 6100 + $ 8800 = $ 14900 ) is less than the threshold , the SUTA tax isapplicable on both the individuals. PSb 5-5 Calculate FUTA and SUTA TaxFor each of the following independent circumstances calculate both the FUTA and SUTA tax owed by the employer:NOTE: For simplicity, all calculations throughout this exercise, both intermediate and final, should be rounded to two decimal places at each calculation.1: An employer in Delaware City, Delaware, employs two individuals, whose taxable earnings to date (prior to the current pay period) are $6,100 and $8,800. During thecurrent pay period, these employees earn $1,450 and $2,000, respectively. The applicable SUTA tax rate is 2.1%, and the Delaware SUTA threshold is $16,500.FUTA tax = $8.70SUTA tax = $72.452: An employer in Bridgeport, Connecticut, employs three individuals, whose taxable earnings to date (prior to the current pay period) are $5,500, $12,900, and $14,200.During the current pay period, these employees earn $2,200, $1,950, and $2,400, respectively. The applicable SUTA tax rate is 4.9%, and the Connecticut SUTAthreshold is $15,000.FUTA tax = $SUTA tax = $

Tax refers to the mandatory charge levied by the government over the income gained by an entity.…

UTA tax = $ employer in Durham, North Carolina, employs three individuals, whose taxable ea uring the current pay period, these employees earn $980, $1,600, and $1,150, re reshold is $26,000. UTA tax = $ UTA tax = $

UTA tax = $ employer in Durham, North Carolina, employs three individuals, whose taxable ea uring the current pay period, these employees earn $980, $1,600, and $1,150, re reshold is $26,000. UTA tax = $ UTA tax = $

Century 21 Accounting General Journal

11th Edition

ISBN:9781337680059

Author:Gilbertson

Publisher:Gilbertson

Chapter13: Accounting For Payroll And Payroll Taxes

Section13.3: Reporting Withholding And Payroll Taxes

Problem 1WT

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PSb 5-3 Calculate FUTA Tax For each of the following independent circumstances, calculate the FUTA tax owed by the employer: NOTE: For simplicity, all calculations throughout this exercise, both intermediate and final, should be rounded to two decimal places at each calculation.
PSb 5-4 Calculate SUTA Tax For each of the following independent circumstances calculate the SUTA tax owed by the employer. Assume a SUTA tax rate of 3.4% and a taxable earnings threshold of $8,500. NO TE: For simplicity, all calculations throughout this exercise, both intermediate and final, should be rounded to two decimal places at each calculation. 1: A-1 Framing employs three workers who, as of the beginning of the current pay period, have earned $8,550, $8,200, and $7,400. Calculate SUTA tax for the current pay period if these employees earn taxable pay of $1,000, $1,350, and $1,800, respectively. SUTA tax = $ 2: Mrs. Fix-lt Corp. employs two workers who, as of the beginning of the current pay period, have earned $4,200 and $6,500. Calculate SUTA tax for the current pay period if these employees earn taxable pay of $2,700 and $2,400, respectively. SUTA tax = $ 3: Burger Bites Restaurant employs 51 workers who, for the current pay period, earn total taxable pay of $87,450. Of this…
PSb 5-4 Calculate SUTA Tax For each of the following independent circumstances calculate the SUTA tax owed by the employer. Assume a SUTA tax rate of 3.4% and a taxable earnings threshold of $8,500. NO TE: For simplicity, all calculations throughout this exercise, both intermediate and final, should be rounded to two decimal places at each calculation.
PSa 5-9 Calculate Self-Employment Tax For each of the following individuals, calculate the applicable self-employment tax. Assume that each individual files tax returns under Single status.NOTE: For simplicity, all calculations throughout this exercise, both intermediate and final, should be rounded to two decimal places at each calculation. 1:Annabelle Jefferson earns net self-employment income of $68,400. She does not work a second job.Self-Employment tax = 2:Alexander Ryan earns net self-employment income of $117,800. He works a second job from which he receives FICA taxable earnings of $55,300.Self-Employment tax = 3:Morgan Cruise earns net self-employment income of $223,400. She works a second job from which she receives FICA taxable earnings of $114,200.00.Self-Employment tax =
Date: Name: Exercise 9.2 A. Find the employer's FICA deductions for each of the following employees. B. Find the amounts of the FUTA taxes for the current pay period for each of the following employees. FUTA Employee Year-to-Date Current Social Security Medicare Subject to FUTA Gross F. Todd $6,959.28 $1,088.64 T. Stanley $7,882.51 $827.44 R. Manley $7,136.44 $1,528.99 F. Chastain $6,485.47 $952.38
PSA 5-4 Calculate SUTA Tax For each circumstance, calculate the SUTA tax owed by the employer. Assume a SUTA tax rate of 3.4% and a taxable earnings threshold of $8,500. NOTE: For simplicity, all calculations throughout this exercise, both intermediate and final, should be rounded to two decimal places at each calculation. 1: Hometown Bakery employs three workers who, as of the beginning of the current pay period, have earned $16,200, $7,150, and $4,000. Calculate SUTA tax for the current pay period if these employees earn taxable pay of $1,590, $2,070, and $910, respectively. SUTA tax = S X 2: Electronics Outlet employs two workers who, as of the beginning of the current pay period, have earned $8,400 and $7,200. Calculate SUTA tax for the current pay period if these employees earn taxable pay of $3,090 and $2,350, respectively. SUTA tax = S 3 Delivery, Inc., employs 127 workers who, for the current pay period, earn total taxable pay of $347,540. Of this amount, only $29,400 is…
2. Two employees have earned taxable pay of $ 2,700 and $ 2,400 Both are within limits and 3.4% Hence SUTA tax will be computed as follows, SUTA Tax= (2,700+2,400) * 3.4% SUTA Tax=$ 173.40 PSb 5-4 Calculate SUTA Tax For each of the following independent circumstances calculate the SUTA tax owed by the employer. Assume a SUTA tax rate of 3.4% and a taxable earnings threshold of $8,500. NO TE: For simplicity, all calculations throughout this exercise, both intermediate and final, should be rounded to two decimal places at each calculation. 2: Mrs. Fix-It Corp. employs two workers who, as of the beginning of the current pay period, have earned $4.200 and $6,500. Calculate SUTA tax for the current pay period if these employees eam taxable pay of $2,700 and $2,400, respectively. SUTA tax = $ 173.40
Exhibit 6-1The totals from the first payroll of the year are shown below. Total Earnings FICA OASDI FICA HI FIT W/H State Tax Union Dues Net Pay $36,195.10 $2,244.10 $524.83 $6,515.00 $361.95 $500.00 $26,049.22 Refer to Exhibit 6-1. Journalize the entry to record the employer's payroll taxes (assume a SUTA rate of 3.7%).
Problem#2 Use the percentage method to compute the federal income taxes to withhold from the wages or salaries of each employee. Employee Employee No. Name 2 3 4 Fox, A. Aiken, T. Larey, P. Wolf, M. Filing Status No. of Withholding Allowances N/A MFJ S MFJ MFJ N/A N/A N/A Gross Wage or Salary Amount to Be Withheld $1,575 weekly 1,200 biweekly 1,090 semimonthly 8,120 monthly
PSb 3-11 Populate Employee Earnings Records (#3) Complete the federal withholding tax (wage-bracket method) and state withholding tax columns of the employee earnings record for the employee listed below. The state income tax withholding rate is 5.0% of taxable pay, with taxable pay being the same for federal and state income tax withholding. The associated pay period ends on 07/19/2020 (enter the year using four digits). Every employee earns hourly overtime wages 1.5 times greater than their regular wage rate. Note that the Retirement Contribution and Additional Withholding columns, for which partial information is provided below, has been populated based on the partial information shown here. Ryan Brown (SSN 100-00-0000) lives at 3 Fireside Avenue, Bentonville, AR 72716, is single, and claims 2 withholding allowances for both federal and state. He earns $14.60/hour, and worked 48 hours during the most recent week. Ryan does not make any voluntary deductions each period. Notes: For…
PSb 3-11 Populate Employee Earnings Records (#1) Complete the federal withholding tax (wage-bracket method) and state withholding tax columns of the employee earnings record for the employee listed below. The state income tax withholding rate is 5.0% of taxable pay, with taxable pay being the same for federal and state income tax withholding. The associated pay period ends on 07/19/2020 (enter the year using four digits). Every employee earns hourly overtime wages 1.5 times greater than their regular wage rate. Note that the Retirement Contribution and Additional Withholding columns, for which partial information is provided below, has been populated based on the partial information shown here. Jimmy Troffa (SSN 787-78-7878) lives at 81 Jackson Road, Berkeley, CA, 94701, is married, and claims 3 withholding allowances for both the federal and state. He earns $7.80/hour and worked 41 hours during the most recent week. Jimmy makes a 401(k) retirement plan contribution of 9.0% of gross…
PSb 3-11 Populate Employee Earnings Records (#2) Complete the federal withholding tax (wage-bracket method) and state withholding tax columns of the employee earnings record for the employee listed below. The state income tax withholding rate is 5.0% of taxable pay, with taxable pay being the same for federal and state income tax withholding. The associated pay period ends on 07/19/2020 (enter the year using four digits). Every employee earns hourly overtime wages 1.5 times greater than their regular wage rate. Note that the Retirement Contribution and Additional Withholding columns, for which partial information is provided below, has been populated based on the partial information shown here. Tyler Thomas (SSN 898-89-8989) lives at 4004 Dartmouth Court, Reno, NV 89501, is single, claims 3 federal withholding allowances, and 2 state withholding allowance. He earns $10.90/hour, and worked 45 hours during the most recent week. Tyler participates in a cafeteria plan, to which he pays $75…