! Required information Problem 6-4A & 6-5A (Algo) [The following information applies to the questions displayed...

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! Required information Problem 6-4A & 6-5A (Algo) [The following information applies to the questions displayed below.] Joseph Farmer earned $126,600 in 2020 for a company in Kentucky. He is single with one dependent under 17 and is paid monthly. The FUTA rate in Kentucky for 2020 is 0.6 percent on the first $7,000 of employee wages, and the SUTA rate is 5.4 percent with a wage base of $10,800. Use the percentage method (or the IRS federal income tax withholding assistant) in Appendix Cland the state information in Appendix D. Manual payroll system is used and Box 2 is not checked. Problem 6-4A (Algo) Required: Compute the following employee share of the taxes. (Do not round intermediate calculation. Round your final answer to 2 decimal places) Federal income tax withholding Social Security tax Medicare tax State income tax withholding ! Required information Problem 6-4A & 6-5A (Algo) [The following information applies to the questions displayed below.] Joseph Farmer earned $126,600 in 2020 for a company in Kentucky. He is single with one dependent under 17 and is paid monthly. The FUTA rate in Kentucky for 2020 is 0.6 percent on the first $7,000 of employee wages, and the SUTA rate is 5.4 percent with a wage base of $10,800. Use the percentage method (or the IRS federal income tax withholding assistant) in Appendix C and the state information in Appendix D. Manual payroll system is used and Box 2 is not checked. Problem 6-5A (Algo) Required: Compute the employer's share of the taxes. (Do not round intermediate calculation. Round your final answer to 2 decimal places.) Answer is not complete. Federal income tax withholding $ 0.00 Social Security tax $ 7,812.00 x Medicare tax FUTA tax $ 42.00 SUTA tax $ 583.20 State income tax withholding 0.00 Claude Lopez is the president of Zebra Antiques. His employee, Dwight Francis, is due a raise. Dwight's current benefit analysis is as follows: Yearly Benefit Costs Medical insurance Company Cost (Current) $ 7,100.00 $ 180.00 $ 312.00 Employee Cost (Current) $ 1,065.00 $ 180.00 0 Dental insurance Life insurance AD&D Short-term disability Long-term disability 401(k) Social Security Medicare Tuition reimbursement Total yearly benefit costs (employer) Employee's annual salary Total value of employee's compensation Required: Compute the benefit analysis assuming: ⚫ 7 percent increase in pay. $ 156.00 $ 62.40 $ 31.20 $ 780.00 $ 3,146.81 $ 735.95 $ 2,600.00 $ 15,104.36 $ 52,000.00 $ 67,104.36 0 $ 1,560.00 $ 3,146.81 $ 735.95 0 • 3 percent contribution to 401(k) will remain the same with a company match of 50 percent. ⚫ 10 percent increase in medical and dental insurance premiums. (Round your answers to 2 decimal places.) Yearly Benefit Costs > Answer is complete but not entirely correct. Employee Cost (New) Company Cost (New) Medical insurance S 7,810.00 $ 1,171.50 Dental insurance $ 198.00 $ 198.00 Life insurance $ 312.00 0 AD&D 156.00 0 Short-term disability S 62.40 0 Long-term disability 31.20 0 401(k) S 834.60 $ 1,669.20 Social Security S 3,367.10 $ 3,368.00 X Medicare S 787.47 $ 787.47 x Tuition reimbursement S 2,600.00 0 Total yearly benefit costs (employer) S 16,158.75 x Employee's annual salary S 55,640.00 Total value of employee's compensation S 71,798.75 ! Required information Problem 6-4A & 6-5A (Algo) [The following information applies to the questions displayed below.] Joseph Farmer earned $126,600 in 2020 for a company in Kentucky. He is single with one dependent under 17 and is paid monthly. The FUTA rate in Kentucky for 2020 is 0.6 percent on the first $7,000 of employee wages, and the SUTA rate is 5.4 percent with a wage base of $10,800. Use the percentage method (or the IRS federal income tax withholding assistant) in Appendix Cland the state information in Appendix D. Manual payroll system is used and Box 2 is not checked. Problem 6-4A (Algo) Required: Compute the following employee share of the taxes. (Do not round intermediate calculation. Round your final answer to 2 decimal places) Federal income tax withholding Social Security tax Medicare tax State income tax withholding ! Required information Problem 6-4A & 6-5A (Algo) [The following information applies to the questions displayed below.] Joseph Farmer earned $126,600 in 2020 for a company in Kentucky. He is single with one dependent under 17 and is paid monthly. The FUTA rate in Kentucky for 2020 is 0.6 percent on the first $7,000 of employee wages, and the SUTA rate is 5.4 percent with a wage base of $10,800. Use the percentage method (or the IRS federal income tax withholding assistant) in Appendix C and the state information in Appendix D. Manual payroll system is used and Box 2 is not checked. Problem 6-5A (Algo) Required: Compute the employer's share of the taxes. (Do not round intermediate calculation. Round your final answer to 2 decimal places.) Answer is not complete. Federal income tax withholding $ 0.00 Social Security tax $ 7,812.00 x Medicare tax FUTA tax $ 42.00 SUTA tax $ 583.20 State income tax withholding 0.00 Claude Lopez is the president of Zebra Antiques. His employee, Dwight Francis, is due a raise. Dwight's current benefit analysis is as follows: Yearly Benefit Costs Medical insurance Company Cost (Current) $ 7,100.00 $ 180.00 $ 312.00 Employee Cost (Current) $ 1,065.00 $ 180.00 0 Dental insurance Life insurance AD&D Short-term disability Long-term disability 401(k) Social Security Medicare Tuition reimbursement Total yearly benefit costs (employer) Employee's annual salary Total value of employee's compensation Required: Compute the benefit analysis assuming: ⚫ 7 percent increase in pay. $ 156.00 $ 62.40 $ 31.20 $ 780.00 $ 3,146.81 $ 735.95 $ 2,600.00 $ 15,104.36 $ 52,000.00 $ 67,104.36 0 $ 1,560.00 $ 3,146.81 $ 735.95 0 • 3 percent contribution to 401(k) will remain the same with a company match of 50 percent. ⚫ 10 percent increase in medical and dental insurance premiums. (Round your answers to 2 decimal places.) Yearly Benefit Costs > Answer is complete but not entirely correct. Employee Cost (New) Company Cost (New) Medical insurance S 7,810.00 $ 1,171.50 Dental insurance $ 198.00 $ 198.00 Life insurance $ 312.00 0 AD&D 156.00 0 Short-term disability S 62.40 0 Long-term disability 31.20 0 401(k) S 834.60 $ 1,669.20 Social Security S 3,367.10 $ 3,368.00 X Medicare S 787.47 $ 787.47 x Tuition reimbursement S 2,600.00 0 Total yearly benefit costs (employer) S 16,158.75 x Employee's annual salary S 55,640.00 Total value of employee's compensation S 71,798.75

Answer rating: 100% (QA)

SOLUTION Problem 64A Algo Federal income tax withholding 126600 x 22 2733200 Social Security tax 126600 x 62 781200 Medicare tax 126600 x 145 1849000 ... View the full answer