Problem $8-4$B $($Algo$)$ Record payroll $($LO$8-3)$

Emily Turnbull, president of Fitness Equipment Corporation, is concerned about her employees$$ well$-$being. The company offers its employees free medical, dental, and life insurance coverage. It also matches employee contributions to a voluntary retirement plan up to $5\%$ of their salaries. Assume that no employee$$s cumulative wages exceed the relevant wage bases. Payroll information for the biweekly payroll period ending January $24$ is listed below.

Wages and salaries $$2,000,000$

Employee contribution to voluntary retirement plan $100,000$

Medical insurance premiums paid by employer $40,000$

Dental insurance premiums paid by employer $14,000$

Life insurance premiums paid by employer $7,000$

Federal and state income tax withheld $430,000$

FICA tax rate $7\mathrm{.}65\%$

Federal and state unemployment tax rate $6\mathrm{.}20\%$

Required:

$1.$ Record the employee salary expense, withholdings, and salaries payable.

$2.$ Record the employer$-$provided fringe benefits.

$3.$ Record the employer payroll taxes.