# Calculation and Journal Entry for Employer Payroll Taxes1.  Calculate the employer's payroll taxes expense. Round your answer to the nearest cent.2.   Prepare the journal entry to record the employer's payroll taxes expense for the week ended July 15 of the current year. Round your answers to the nearest cent, if required. If an amount box does not require an entry, leave it blank.Portions of the payroll register for Barney’s Bagels for the week ended July 15 are shown below. The SUTA tax rate is 5.4%, and the FUTA tax rate is 0.6%, both of which are levied on the first \$7,000 of earnings. The Social Security tax rate is 6.2% on the first \$118,500 of earnings. The Medicare rate is 1.45% on gross earnings.Barney’s BagelsPayroll Register Total Taxable Earnings of All EmployeesTotal EarningsUnemployment CompensationSocial Security\$12,200\$10,500\$12,200

Question
29 views

Calculation and Journal Entry for Employer Payroll Taxes

1.  Calculate the employer's payroll taxes expense. Round your answer to the nearest cent.

2.   Prepare the journal entry to record the employer's payroll taxes expense for the week ended July 15 of the current year. Round your answers to the nearest cent, if required. If an amount box does not require an entry, leave it blank.

Portions of the payroll register for Barney’s Bagels for the week ended July 15 are shown below. The SUTA tax rate is 5.4%, and the FUTA tax rate is 0.6%, both of which are levied on the first \$7,000 of earnings. The Social Security tax rate is 6.2% on the first \$118,500 of earnings. The Medicare rate is 1.45% on gross earnings.

 Barney’s BagelsPayroll Register Total Taxable Earnings of All Employees Total Earnings Unemployment Compensation Social Security \$12,200 \$10,500 \$12,200

check_circle

Step 1

### Want to see the full answer?

See Solution

#### Want to see this answer and more?

Solutions are written by subject experts who are available 24/7. Questions are typically answered within 1 hour.*

See Solution
*Response times may vary by subject and question.
Tagged in