Prepare federal, state, and local payroll reports for a company. Mrs. Samuels, the owner of Liberita Baked
Question:
Prepare federal, state, and local payroll reports for a company.
Mrs. Samuels, the owner of Liberita Baked Goods, is preparing her company's payroll forms. She has five employees, whose annual salaries are listed as follows:
- Judith Bonner, general manager: $47,000
- Carol Garrison, cashier: $28,000
- Stewart Martinez, kitchen manager: $42,000
- Nicole Gray, assistant baker: $33,500
- Patrick Woodall, assistant baker: $33,500
These five employees have paid $9,424 in federal income taxes for the entire year.
1. First, Mrs. Samuels will need to fill out the Form 941. Since it is a quarterly form, she is preparing it for the first quarter of the year. So far this year, Mrs. Samuels has paid $6,000 in deposits. Fill out the following Form 941 for Mrs. Samuels's business. Pay close attention to detail and make sure your work is accurate.
Mrs. Samuels will need to fill out the Form 940 for her employees' unemployment insurance. This is an annual form that only needs to be filled out once a year. No portion of her employees' salaries is exempt from the FUTA tax and that she did not pay any state employment tax. She has deposited $2,100 in FUTA tax so far this year.