Triston Vale is paid on a monthly basis. For the month of January of the current year, he earned a total of $5,220. Federal Insurance Contributions Act (FICA) tax for Social Security is 6.2% on the first $137,700 of earnings each calendar year, and the Federal Insurance Contributions Act (FICA) tax for Medicare is 1.45% of all earnings. The Federal Unemployment Taxes (FUTA) tax rate is 0.6% and the State Unemployment Taxes (SUTA) tax rate is 5.4%. Both unemployment taxes are applied to the first $7,000 of an employee's pay. The amount of Federal Income Tax withheld from his earnings was $885.70. a. Journalize the entry to record the payroll for the month of January. DATE X/X Salaries Expense SUTA tax FUTA tax Debit Credit b. Using the information from the question above, journalize the entry to record the payroll tax expense incurred for the month of January. DATE X/X Debit Credit
Triston Vale is paid on a monthly basis. For the month of January of the current year, he earned a total of $5,220. Federal Insurance Contributions Act (FICA) tax for Social Security is 6.2% on the first $137,700 of earnings each calendar year, and the Federal Insurance Contributions Act (FICA) tax for Medicare is 1.45% of all earnings. The Federal Unemployment Taxes (FUTA) tax rate is 0.6% and the State Unemployment Taxes (SUTA) tax rate is 5.4%. Both unemployment taxes are applied to the first $7,000 of an employee's pay. The amount of Federal Income Tax withheld from his earnings was $885.70. a. Journalize the entry to record the payroll for the month of January. DATE X/X Salaries Expense SUTA tax FUTA tax Debit Credit b. Using the information from the question above, journalize the entry to record the payroll tax expense incurred for the month of January. DATE X/X Debit Credit
College Accounting (Book Only): A Career Approach
13th Edition
ISBN:9781337280570
Author:Scott, Cathy J.
Publisher:Scott, Cathy J.
Chapter8: Employer Taxes, Payments, And Reports
Section: Chapter Questions
Problem 2PA
Related questions
Question
![Triston Vale is paid on a monthly basis. For the month of January of the current year, he earned a total of $5,220.
Federal Insurance Contributions Act (FICA) tax for Social Security is 6.2% on the first $137,700 of earnings each
calendar year, and the Federal Insurance Contributions Act (FICA) tax for Medicare is 1.45% of all earnings. The
Federal Unemployment Taxes (FUTA) tax rate is 0.6% and the State Unemployment Taxes (SUTA) tax rate is 5.4%.
Both unemployment taxes are applied to the first $7,000 of an employee's pay. The amount of Federal Income Tax
withheld from his earnings was $885.70.
a. Journalize the entry to record the payroll for the month of January.
DATE
X/X
Salaries Expense
SUTA tax
FUTA tax
Debit
Credit
b.
Using the information from the question above, journalize the entry to record the payroll tax expense incurred
for the month of January.
DATE
X/X
Debit
Credit](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fc48780b6-6248-4276-8248-bd118d5e39d4%2Fc1a3c1e2-1006-4c6f-9da3-539d8d35fe38%2F77qko9t_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Triston Vale is paid on a monthly basis. For the month of January of the current year, he earned a total of $5,220.
Federal Insurance Contributions Act (FICA) tax for Social Security is 6.2% on the first $137,700 of earnings each
calendar year, and the Federal Insurance Contributions Act (FICA) tax for Medicare is 1.45% of all earnings. The
Federal Unemployment Taxes (FUTA) tax rate is 0.6% and the State Unemployment Taxes (SUTA) tax rate is 5.4%.
Both unemployment taxes are applied to the first $7,000 of an employee's pay. The amount of Federal Income Tax
withheld from his earnings was $885.70.
a. Journalize the entry to record the payroll for the month of January.
DATE
X/X
Salaries Expense
SUTA tax
FUTA tax
Debit
Credit
b.
Using the information from the question above, journalize the entry to record the payroll tax expense incurred
for the month of January.
DATE
X/X
Debit
Credit
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