Wayland Custom Woodworking is a firm that manufactures custom cabinets and woodwork for business and residential customers. Students will have the opportunity to establish payroll records and to complete a month of payroll information for Wayland. Wayland Custom Woodworking is located at 12850 Old Highway 50, Glenbrook, Nevada, 89413, phone number 775-555-9877. The owner is Mark Wayland. Wayland's EIN is 91-7444533, and the Nevada Employer Account Number is E6462582020-6. Wayland has determined it will pay its employees, on a semimonthly basis. Federal income tax should be computed using the percentage method. For Part 1 of this project, you will complete payroll for the last month (December) of the fourth quarter (Q4) of 2021, which consists of the final pay periods of the year. Once payroll has been completed for the fourth quarter, you will then file the annual tax forms for Wayland as well as prepare each employee's Form W-2 in Part 2. Rounding can create e thallenge. For this project, the hourly rate for the individuals should be rounded to five decimal places. Take the emy is's salary and divide it by 2,080 ( 52 weeks at 40 hours per week) for fult-time, nonexempt employees. NOTE: LE. - the hourly rate rounded to 5 decimal places as shown in this example. After the gross pay has been calculated, then round the result to two decimal points prior to caiculating taxes or other withholdings. Example: Annual Salary to Hourly Rate, Nonexempt Employee Employee Cooper's annual salary is $62,000, and he is a nonexempt employee. Hourly rate =$62,000/(5240)=$62,000/2,080 Hourly rate =$29.80769 per hour Example: Period Gross Pay, Salaried Employee Employee Chinson carns an annual salary of $48,000 and is paid semimonthly. Period gross pay =$48,000/24=$2,000 gross pay For poy periods with holiday hours: determine the amount paid per day, multiply by the number of days applicable to each pay period. Annual salary, $48,000/(525)=$48,000/260=$184.61538 (rounded to 5 decimal points) per day, Once you have the holiday pay, subtract it from their salary for the period for regular time. After the gross pay has been calculated, round the result to only two decimal points prior to calculating taxes or other withholdings. Employees are paid for the following holidays occurring during the finol quarter: - Thanksgiving day and the day after, Tharsday and Friday, November 2526. Example: Annual Salary to Hourly Rate, Nonexempt Employee Employee Cooper's annual salary is $62,000, and he is a nonexempt employee. Hourly rate =$62,000/(5240)=$62,000/2,080 Hourly rate =$29.80769 per hour Example: Period Gross Pay, Salaried Employee Employee Chinson earns an annual salary of $48,000 and is paid semimonthly. Period gross pay =$48,000/24=$2,000 gross pay For pay periods with holiday hours: determine the amount paid per day, multiply by the number of days applicable to each pay period. Annual salary: $48,000/(525)=$48,000/260=$184.61538 (rounded to 5 decimal points) per day. Once you have the holiday pay, subtract it from their salary for the period for regular time. After the gross pay has been calculated, round the result to only two decimal points prior to calculating taxes or other withholdings. Employees are paid for the following holidays oocurring during the final quarter: - Thanksgiving day and the day after, Thursday and Friday, November 25-26. - Christmas is on Saturday. Employees receive holiday pay for Friday, December 24. For the completion of this pryect, refer to the tax-related information in the table below. Employees' 401(k) and insurance are pre-tax for federal income tax. The SUTA (U1) rate for Wayland Custom Woodworking is 3.25% on the first $33,400 of employee wages. There is an additional 0.05% for Career Enhancement Program (CEP). Both FUTA and SUTA have a deduction for section 125 but not for 401(k) contributions by the employee. The same is applicable for the caiculation of Career Enhancement Program (CEP). Employer contribution of section 125 is 1.5 times the employee portion and stiould be added to wages for completion of FUTA and SUTA forms. For federal tak withholding calculations, use the percentage method tables for manual payroll systems with Forms W-4 from 2021 or later. Assume, all W.4s are received in 2021 and the Step 2 of Form W.4 is not checked. Federal thenploynent rate (enployer only)(lenk section 0.51 on the firat 37,000 of wages 125) Seninontbly Federal rercentage Mathod for wanual. Payrolle vitb rorns M4 fron 2020 or later Tax zable Abpendix. a Stace Unenploynent nate (enployer only) (lese tiection 3,251 on the firat $33,400 of waged 125) Nevada Career Enhancenent Dregram (enployer anty) (Iene 0,05s on the first $33,400 of vaget Section 125) October t: Wayland Custom Woodworking (WCW) pays its employoes according to their job classification. The following employees comprise Wayland's staff: October 1: Wayland Custom Woodworking (WCW) pays its employees according to their job classification. The following employees comprise Wayland's staff: Department O0: Sales and Administration Department Ot: Factory workers Department 02: Dellyery and Customer service You havo been hired as of October 1 as the new accounting clerk. Your employee number is O0-SUCCE. Your name is Student Success. Your address is 16 Kelly Circle 22 , Glonbrook. NV 89413 . Your phone number is 775-556-1211, you were born July 16, 1985, your Nevade divers license number is 168575381944 expiring on your birthday in 2024 , and your Social Security number is 555-55-5555. You are nonexempt and paid at a rate of $42,000 per year as an accounting clerk. The balance sheet for WCW as of November 30, 2021, is as follows: Voluntary deductions for employee are as follows: For additional instructions on how to navigate and work through through Part 1 of this project. please download the student project gulde here. Required: 2. Complete the payroll process for Wayland Custom Woodworking's last two pay periods of the fourth quarter. Please note that you must carry the ending balance from each account in the December 15 General Ledger to the following period's General Ledger to the input boxes titied "Ending account balance from the prior period" before posting the payroll journal entries from the current period to the Ledger: For additional instructions on how to carry information from one pay period General Ledger to another, along with a guided walkthrough example of this process, refer to the project user guide in the project information section above. No employee has additional information in Step 4 of their W-4s, all W.4s were recelved in 2021, no box 2c has been checked. Refer to Rage 54 of publication 15-T. December 15 December 15 is the eni it the first pay period for the month of December. Employee pay will be disbursed on December 20,2021. Remember that the e ces are paid on a semimonthly basis. Compute the net pay and update the Employees' Earnings Records with the December 15 pay and the new yTD information. Any hours worked in excess of 88 hours during this pay period are considered overtime for nonexempt employeos. - Complete the Employee Gross Pay tab. - Complete the Payroil Register for December 15 Pay. Employee pay will be disbursed on December 20, 2021. - Refer to the Employee Earning Record Forms for each employee for the cutrent YTD amounts after you have completed the December 15 Payroal Register and update eoch EERF with the amounts from the current period. YTD amounts from the previous four pay periods of the fourth quarter are shown for each employee. - Complete the General Journal entries for the Docember 15 poyroll. - Post the journal entries to the General Ledgec Amounts for the ledger accounts from the previous four pay periods of the fourth. Compute the gross eamings for regular, overtime, and hollday pay for each employee for the December 15 pay perlod. Remember that while an hourfy rate is shown for all employees, the period pay for exempt employees should be calculated by taking their yearly salary and dividing it by the number of semimonthly pay perlods in a year, which should then be split between the number of hours considered regular time and hollday time. (Round answers for hourfy rate or perlod wages to 5 decimal places and all other answers to 2 decimals.) Complete the question by filling in all answers in the tabs below, Complete the psyroll requiter for the December 15 py perock fidund your antwers ta 2 destimal piacrs.) Cemplete the question by fiting in all answers In the tabs below, Journal entry worksheet Record the entry for employee semimonthly payroll expenses for the period ending on December 15. Note: Enter debits before credits. \begin{tabular}{|l|r|r|r|} \hline \multicolumn{2}{|c|}{ Account Number: 203 Employee Federal Income Tax Payable } \\ \hline \multicolumn{1}{|c|}{ Date } & \multicolumn{1}{|c|}{ Debit } & Credit & \multicolumn{1}{|c|}{ Balance } \\ \hline October 15 & & 686.61 & 683.61 \\ \hline October 31 & & 669.16 & 1,357.77 \\ \hline November 4 & 1,357.77 & & 0.00 \\ \hline November 15 & & 710.96 & 710.96 \\ \hline November 30 & & 768.61 & 1,499.57 \\ \hline December 4 & 1,499.57 & & 0.00 \\ \hline & & & \\ \hline & & & \\ \hline \end{tabular} December 31 The final pay perlod of the year will not be paid to employees until January 4, 2022. The company will accrue the wages for the final pay period only. Because the pay period is complete, there will not be a reversing entry for the accrual As a result, paychecks will not be issued for this pay period since they will be paid in the following year and reflected on the Employee Earning Record forms for each employee when paid. The remainder of the employer liability will be paid with the final fling for the year. The company pays for Christmas Eve and the day of Christmas for 2020 . Employees will be paid for both Thursday and Friday as holiday pay. Stands e for the pay period was 96 hours, but employeos worked extra hours on Saturday 12/26. Reminder, holidays and vacations are in . luded as hours worked for calculation of overtime. - Compiete the Employee Gross Pay tab. - Complete the Payroal Register for December 31. - Complete the General Joumal entries for the December 31 payroll. - Update the General Ledger with the ending ledger balances from the December 15 pay period ledgor accounts first, and then post the journal entries from the current period to the General Ledger. Complete the question by filing in all answers in the tabs below. Compute the gross eamings for regutar, overtime, and holiday pay for each employee for the December 31 pay peried. Remember that while an houriy rate is shown for all employees, the period pay for exempt employees should be caloulatod by taking their yearty saiary and dividing it by the number of semimonthiy pay periods. In a yeac, which should then be spit between the number of hours considered regular time and holiday time. The pay rates for each employee have been gluen from the prior peried. (Round ammers for hourly rate or period wnges to 5 decimal places and ail other antwern to 2 decienais.) Wayland Custom Woodworking is a firm that manufactures custom cabinets and woodwork for business and residential customers. Students will have the opportunity to establish payroll records and to complete a month of payroll information for Wayland. Wayland Custom Woodworking is located at 12850 Old Highway 50, Glenbrook, Nevada, 89413, phone number 775-555-9877. The owner is Mark Wayland. Wayland's EIN is 91-7444533, and the Nevada Employer Account Number is E6462582020-6. Wayland has determined it will pay its employees, on a semimonthly basis. Federal income tax should be computed using the percentage method. For Part 1 of this project, you will complete payroll for the last month (December) of the fourth quarter (Q4) of 2021, which consists of the final pay periods of the year. Once payroll has been completed for the fourth quarter, you will then file the annual tax forms for Wayland as well as prepare each employee's Form W-2 in Part 2. Rounding can create e thallenge. For this project, the hourly rate for the individuals should be rounded to five decimal places. Take the emy is's salary and divide it by 2,080 ( 52 weeks at 40 hours per week) for fult-time, nonexempt employees. NOTE: LE. - the hourly rate rounded to 5 decimal places as shown in this example. After the gross pay has been calculated, then round the result to two decimal points prior to caiculating taxes or other withholdings. Example: Annual Salary to Hourly Rate, Nonexempt Employee Employee Cooper's annual salary is $62,000, and he is a nonexempt employee. Hourly rate =$62,000/(5240)=$62,000/2,080 Hourly rate =$29.80769 per hour Example: Period Gross Pay, Salaried Employee Employee Chinson carns an annual salary of $48,000 and is paid semimonthly. Period gross pay =$48,000/24=$2,000 gross pay For poy periods with holiday hours: determine the amount paid per day, multiply by the number of days applicable to each pay period. Annual salary, $48,000/(525)=$48,000/260=$184.61538 (rounded to 5 decimal points) per day, Once you have the holiday pay, subtract it from their salary for the period for regular time. After the gross pay has been calculated, round the result to only two decimal points prior to calculating taxes or other withholdings. Employees are paid for the following holidays occurring during the finol quarter: - Thanksgiving day and the day after, Tharsday and Friday, November 2526. Example: Annual Salary to Hourly Rate, Nonexempt Employee Employee Cooper's annual salary is $62,000, and he is a nonexempt employee. Hourly rate =$62,000/(5240)=$62,000/2,080 Hourly rate =$29.80769 per hour Example: Period Gross Pay, Salaried Employee Employee Chinson earns an annual salary of $48,000 and is paid semimonthly. Period gross pay =$48,000/24=$2,000 gross pay For pay periods with holiday hours: determine the amount paid per day, multiply by the number of days applicable to each pay period. Annual salary: $48,000/(525)=$48,000/260=$184.61538 (rounded to 5 decimal points) per day. Once you have the holiday pay, subtract it from their salary for the period for regular time. After the gross pay has been calculated, round the result to only two decimal points prior to calculating taxes or other withholdings. Employees are paid for the following holidays oocurring during the final quarter: - Thanksgiving day and the day after, Thursday and Friday, November 25-26. - Christmas is on Saturday. Employees receive holiday pay for Friday, December 24. For the completion of this pryect, refer to the tax-related information in the table below. Employees' 401(k) and insurance are pre-tax for federal income tax. The SUTA (U1) rate for Wayland Custom Woodworking is 3.25% on the first $33,400 of employee wages. There is an additional 0.05% for Career Enhancement Program (CEP). Both FUTA and SUTA have a deduction for section 125 but not for 401(k) contributions by the employee. The same is applicable for the caiculation of Career Enhancement Program (CEP). Employer contribution of section 125 is 1.5 times the employee portion and stiould be added to wages for completion of FUTA and SUTA forms. For federal tak withholding calculations, use the percentage method tables for manual payroll systems with Forms W-4 from 2021 or later. Assume, all W.4s are received in 2021 and the Step 2 of Form W.4 is not checked. Federal thenploynent rate (enployer only)(lenk section 0.51 on the firat 37,000 of wages 125) Seninontbly Federal rercentage Mathod for wanual. Payrolle vitb rorns M4 fron 2020 or later Tax zable Abpendix. a Stace Unenploynent nate (enployer only) (lese tiection 3,251 on the firat $33,400 of waged 125) Nevada Career Enhancenent Dregram (enployer anty) (Iene 0,05s on the first $33,400 of vaget Section 125) October t: Wayland Custom Woodworking (WCW) pays its employoes according to their job classification. The following employees comprise Wayland's staff: October 1: Wayland Custom Woodworking (WCW) pays its employees according to their job classification. The following employees comprise Wayland's staff: Department O0: Sales and Administration Department Ot: Factory workers Department 02: Dellyery and Customer service You havo been hired as of October 1 as the new accounting clerk. Your employee number is O0-SUCCE. Your name is Student Success. Your address is 16 Kelly Circle 22 , Glonbrook. NV 89413 . Your phone number is 775-556-1211, you were born July 16, 1985, your Nevade divers license number is 168575381944 expiring on your birthday in 2024 , and your Social Security number is 555-55-5555. You are nonexempt and paid at a rate of $42,000 per year as an accounting clerk. The balance sheet for WCW as of November 30, 2021, is as follows: Voluntary deductions for employee are as follows: For additional instructions on how to navigate and work through through Part 1 of this project. please download the student project gulde here. Required: 2. Complete the payroll process for Wayland Custom Woodworking's last two pay periods of the fourth quarter. Please note that you must carry the ending balance from each account in the December 15 General Ledger to the following period's General Ledger to the input boxes titied "Ending account balance from the prior period" before posting the payroll journal entries from the current period to the Ledger: For additional instructions on how to carry information from one pay period General Ledger to another, along with a guided walkthrough example of this process, refer to the project user guide in the project information section above. No employee has additional information in Step 4 of their W-4s, all W.4s were recelved in 2021, no box 2c has been checked. Refer to Rage 54 of publication 15-T. December 15 December 15 is the eni it the first pay period for the month of December. Employee pay will be disbursed on December 20,2021. Remember that the e ces are paid on a semimonthly basis. Compute the net pay and update the Employees' Earnings Records with the December 15 pay and the new yTD information. Any hours worked in excess of 88 hours during this pay period are considered overtime for nonexempt employeos. - Complete the Employee Gross Pay tab. - Complete the Payroil Register for December 15 Pay. Employee pay will be disbursed on December 20, 2021. - Refer to the Employee Earning Record Forms for each employee for the cutrent YTD amounts after you have completed the December 15 Payroal Register and update eoch EERF with the amounts from the current period. YTD amounts from the previous four pay periods of the fourth quarter are shown for each employee. - Complete the General Journal entries for the Docember 15 poyroll. - Post the journal entries to the General Ledgec Amounts for the ledger accounts from the previous four pay periods of the fourth. Compute the gross eamings for regular, overtime, and hollday pay for each employee for the December 15 pay perlod. Remember that while an hourfy rate is shown for all employees, the period pay for exempt employees should be calculated by taking their yearly salary and dividing it by the number of semimonthly pay perlods in a year, which should then be split between the number of hours considered regular time and hollday time. (Round answers for hourfy rate or perlod wages to 5 decimal places and all other answers to 2 decimals.) Complete the question by filling in all answers in the tabs below, Complete the psyroll requiter for the December 15 py perock fidund your antwers ta 2 destimal piacrs.) Cemplete the question by fiting in all answers In the tabs below, Journal entry worksheet Record the entry for employee semimonthly payroll expenses for the period ending on December 15. Note: Enter debits before credits. \begin{tabular}{|l|r|r|r|} \hline \multicolumn{2}{|c|}{ Account Number: 203 Employee Federal Income Tax Payable } \\ \hline \multicolumn{1}{|c|}{ Date } & \multicolumn{1}{|c|}{ Debit } & Credit & \multicolumn{1}{|c|}{ Balance } \\ \hline October 15 & & 686.61 & 683.61 \\ \hline October 31 & & 669.16 & 1,357.77 \\ \hline November 4 & 1,357.77 & & 0.00 \\ \hline November 15 & & 710.96 & 710.96 \\ \hline November 30 & & 768.61 & 1,499.57 \\ \hline December 4 & 1,499.57 & & 0.00 \\ \hline & & & \\ \hline & & & \\ \hline \end{tabular} December 31 The final pay perlod of the year will not be paid to employees until January 4, 2022. The company will accrue the wages for the final pay period only. Because the pay period is complete, there will not be a reversing entry for the accrual As a result, paychecks will not be issued for this pay period since they will be paid in the following year and reflected on the Employee Earning Record forms for each employee when paid. The remainder of the employer liability will be paid with the final fling for the year. The company pays for Christmas Eve and the day of Christmas for 2020 . Employees will be paid for both Thursday and Friday as holiday pay. Stands e for the pay period was 96 hours, but employeos worked extra hours on Saturday 12/26. Reminder, holidays and vacations are in . luded as hours worked for calculation of overtime. - Compiete the Employee Gross Pay tab. - Complete the Payroal Register for December 31. - Complete the General Joumal entries for the December 31 payroll. - Update the General Ledger with the ending ledger balances from the December 15 pay period ledgor accounts first, and then post the journal entries from the current period to the General Ledger. Complete the question by filing in all answers in the tabs below. Compute the gross eamings for regutar, overtime, and holiday pay for each employee for the December 31 pay peried. Remember that while an houriy rate is shown for all employees, the period pay for exempt employees should be caloulatod by taking their yearty saiary and dividing it by the number of semimonthiy pay periods. In a yeac, which should then be spit between the number of hours considered regular time and holiday time. The pay rates for each employee have been gluen from the prior peried. (Round ammers for hourly rate or period wnges to 5 decimal places and ail other antwern to 2 decienais.)