The following information is for an employee for the week ended March 15. Total hours worked: 45
Question:
The following information is for an employee for the week ended March 15.
Total hours worked: 45
Rate: $20 per hour, with double time for all hours in excess of 40
Federal income tax withheld: $400
Cumulative earnings prior to current week: $10,000
Tax rates:
Social security: 6% on maximum earnings of $100,000. Medicare tax: 1.5% on all earnings.
State unemployment: 3.4% on maximum earnings of $12,000 per year; on employer
Federal unemployment: 0.8% on maximum earnings of $8,000 per year; on employer
(a) | Determine: (1) total earnings ___________ (2) total deductions _________ (3) cash paid ______________ | ||||||||||||||||
(b) | Journalize the employer's payroll taxes for this employee for the week.
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Income Tax Fundamentals 2013
ISBN: 9781285586618
31st Edition
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill