The following information about the payroll for the week ended December 30 was obtained from the records of Saine Co.:

Tax rates assumed:
Social security, 6%
Medicare, 1.5%
State unemployment (employer only), 5.4%
Federal unemployment (employer only), 0.8%

Instructions
1. Assuming that the payroll for the last week of the year is to be paid on December 31, journalize the following entries:
a. December 30, to record the payroll.
b. December 30, to record the employer€™s payroll taxes on the payroll to be paid on December 31. Of the total payroll for the last week of the year, $30,000 is subject to unemployment compensation taxes.
2. Assuming that the payroll for the last week of the year is to be paid on January 4 of the following fiscal year, journalize the following entries:
a. December 30, to record the payroll.
b. January 4, to record the employer€™s payroll taxes on the payroll to be paid on January 4. Since it is a new fiscal year, all $1,185,000 in salaries is subject to unemployment compensationtaxes.

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Salaries: Deductions 625,000 240,000 320,000 1,185,000 Income tax withheld Sales salaries Warehouse salaries Office salaries Social security tax withheld Medicare tax withheld U.S. savings bonds Group insurance $232,260 71,100 17,775 35,500 53,325 $409,960