For each of the following three employees calculate gross earnings, CPP contributions, EI premiums, income taxes, and
Question:
For each of the following three employees calculate gross earnings, CPP contributions, EI premiums, income taxes, and net pay after these statutory withholdings. All employees are in British Columbia. Use the tables provided (T4032) for the tax calculation. None of the employees have contributed annual maximum amounts for CPP or EI.
Name | Alfonso Reading | Lillian Worthy | Frederick Schueller |
Date of Birth | 21-Apr-61 | 15-Feb-66 | 10-Dec-97 |
Rate of pay | $52,000 per year | $22.00/ hour | $3,500 per month |
Pay cycle | Monthly | Weekly | Bi-weekly |
Car allowance | $350 per pay | - | - |
Vacation | 6% accrued | 4% with each pay | 4% accrued |
Safety Shoe allowance | - | - | $100 this pay |
Taxable benefit/pay | $30 | $5 | $10 |
RRSP Contribution | $100 | - | - |
Union Dues/pay | - | $10 | - |
Regular hours worked | - | 40 | - |
Overtime hours worked | - | 5 | - |
Federal TD1 code | 3 | 2 | 1 |
British Columbia TD1 code | 3 | 2 | 1 |
Gross Earnings | |||
Salary | |||
Wages | |||
Overtime | |||
Vacation Pay | |||
Taxable Allowance | |||
Non Taxable Allowance | |||
Total | |||
Pensionable Earnings | |||
Pay Period Exemption | |||
Contributory | |||
Insurable Earnings | |||
Gross Taxable | |||
RRSP | |||
Union Dues | |||
Net Taxable | |||
CPP Contribution | |||
EI Premium | |||
Federal Tax | |||
Provincial Tax | |||
Total statutory | |||
Net after statutory |
Introduction to Financial Accounting
ISBN: 978-0133251036
11th edition
Authors: Charles Horngren, Gary Sundem, John Elliott, Donna Philbrick