Record employer payroll taxes Major Co. has five employees, each of whom earns ($2,500) per month and

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Record employer payroll taxes Major Co. has five employees, each of whom earns \($2,500\) per month and has been employed since January 1. FICA Social Security taxes are 6.2% of the first \($94,200\) paid to each employee, and FICA Medicare taxes are 1.45% of gross pay. Federal income tax withholding is 15% of gross pay. State income tax withholding is 8% of the dollar amount withheld for federal income tax purposes. Prepare the March 31 journal entry to record the March wage expense and related liabilities.

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College Accounting Ch 1-14

ISBN: 9781260904314

1st Edition

Authors: John Wild, Vernon Richardson, Ken Shaw

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