Selected information from the payroll register of Barbara's Stables for the week ended September 28, 20--, is as follows: Social Security tax is 6.2% on the first $110,100 of earnings for each employee. Medicare tax is 1.45% of gross earnings, FUTA tax is 0.8%, and SUTA tax is 5.4% each on the first $7,000 of earnings.
Calculate the amount of taxable earnings for unemployment and Social Security taxes, and prepare the journal entry to record the employer's payroll taxes as of September 28, 20--.

Question

Selected information from the payroll register of Barbara's Stables for the week ended September 28, 20--, is as follows: Social Security tax is 6.2% on the first $110,100 of earnings for each employee. Medicare tax is 1.45% of gross earnings, FUTA tax is 0.8%, and SUTA tax is 5.4% each on the first $7,000 of earnings.  ​
Calculate the amount of taxable earnings for unemployment and Social Security taxes, and prepare the journal entry to record the employer's payroll taxes as of September 28, 20--.

Quizplus · Accepted Answer

The Answer of Selected information from the payroll register of Barbara's Stables for the week ended September 28, 20--, is as follows: Social Security tax is 6.2% on the first $110,100 of earnings for each employee. Medicare tax is 1.45% of gross earnings, FUTA tax is 0.8%, and SUTA tax is 5.4% each on the first $7,000 of earnings.  ​
Calculate the amount of taxable earnings for unemployment and Social Security taxes, and prepare the journal entry to record the employer's payroll taxes as of September 28, 20--.

Selected Information from the Payroll Register of Barbara's Stables for the Week