What do employers do with the money they withhold from workers paychecks

Q: Salaries Expense is debited to record the employer's FICA contributions and the FUTA and SUTA taxes.…

A: Payroll tax: This is the tax which is withheld by an employer from the pay of the employee and…

Q: How much in wages did the company actually pay to its employees during Year 2? Show your work.

A: Wage actual paid is the wage expenses adjusted to the outstanding amount at the beginning and ending…

Q: How does the pay-as-you-go procedure apply to wage earners? To persons who have income from sources…

A: A tax is a payment levied by the order of Federal, state, or local government agencies and collected…

Q: can you help me how to Explain how an employer can receive a credit against the FUTA tax due.

A: FUTA stands for Federal Unemployment Tax Act under federal law of US. FUTA tax is paid by the…

Q: Discuss the importance of employee timekeeping in preparing the payroll? Discuss the different…

A: Timekeeping Timekeeping is important for the business entity which provides and track the details of…

Q: If an employee’s income is reported based on the total amount received in a year, what basis is the…

A: Taxation - Employees get taxed on the income they earned after deducting exemptions and deductions.

Q: Question 44 Below are example of (Fill in the blank) • Revenue per Employee • Expense per Employee •…

A: Profit and Loss Statement (P&L), or Statement of Revenue or Activity, is a financial statement…

Q: How do I account for an advance to an employee and the resulting deduction?

A: An advance to employee means to pay the salary or money to such employee before the due date.

Q: Cafeteria-style benefit programs are an approach to employee benefits that give each employee a set…

A: A cafeteria plan is an employee benefits that allows staff to choose from a variety of pre-tax…

Q: Should employee vacation pay be recorded in the period during which the vacation privilege is earned…

A: Vacation is the period provided to the employee by the company. And the associated privileges are…

Q: Which payroll tax is levied on both employers and employees? Both employees and employers are…

A: The payroll tax is required to be remitted to the government on the behalf of employee and is…

Q: Employees are subject to taxes withheld from their paychecks.a. List the federal taxes withheld from…

A: Payroll: The total payment that a company is required to pay to its employee for the services…

Q: proper plan

A: The obligation for collecting and remitting withholding taxes to the Internal Revenue Service lies…

Q: posit for their pay. C. The fringe benefit must be subject to income tax. D. The amount of the…

A: 1  The right answer is D. The amount of the deduction must be listed on the employee's pay advice. 2…

Q: What might a company do to prevent an employee from taking wages in kind?

A: Internal control is an important part of every organization. It helps in maintaining the efficiency…

Q: Which of the following is not an example of how payroll can provide input into the union negotiation…

A: Union negotiation process involves determining the pay for various categories of employees and…

Q: Can the owner of a small business receive unemployment compensation? Explain.

A: Income Taxes- Federal, state, and local governments levy taxes on the gross income of individuals…

Q: Why are deductions from employees’ earnings classified as liabilities for the employer?

A: Payroll: The total payment that a company is required to pay to its employee for the services…

Q: TRUE OR FALSE A minimum wage earner is not only tax exempt on his basic salary but also on holiday…

A: Minimum wage earners as defined in Section 22(HH) of this Code shall be exempt from the payment of…

Q: How is the unemployment merit rating assigned to employers?

A: Unemployment refers to the situation when a person is eligible for employment but he fails to get…

Q: When referring to employee earnings, gross pay is the total amount of an employee’s pay before…

A: Gross pay:   Gross pay is a payment made to an employee for completion of work allocated by the…

Q: Which of the following types of payment are exempt from unemployment taxable wage base: a.  Standby…

A: The correct answer is option (c).

Q: It is a person's earnings before deduction. Salary Wage Gross pay Net pay

A: Employment is one of the major economic activities. Employees get some remuneration from their…

Q: What can a business do to prevent an employee from receiving salary in kind

A: Internal control is an essential component of every business. It aids in the management's continued…

Q: What would the journal entry be for the payment of wages to employees?    A. Dr Bank; Cr Employees…

A: Journal entry: It is the duty of the accountant to record business economic and non economic…

Q: A positive-balance employer has: a.  an employee development program that promotes work-life…

A: Answer: Option b

Q: Why is it critical for employers to properly arrange their employees' taxes

A: Introduction :  Withholding taxes are collected and sent to the Internal Revenue Service (IRS) by…

Q: This revenue taxes deducted from an employee's gross salary is a cost to the company. is it true or…

A: The expenses are the costs incurred to earn the revenue for the business and liabilities are the…

Q: Identify and discuss the non-financial factors that may affect a client’s decision to reduce…

A: Wage is a payment that an employee receives for their work. Wages are mainly paid on a daily and…

Q: How is self-employment income treated differently than income earned when you work

A: Taxable income: Taxable income can be defined as income derived after adjustment of necessary…

Q: Net pay is: Select one: a. the amount received by the employee b. the amount received by the…

A: Introduction:- Net pay means the amount employees earn after all payroll deductions. Net pay means…

Q: for any unused sick leave entitlements if they leave the organisation, whereas in other organisatons…

A: Unused Sick leave entitlements: Each and every employee are allotted sick leaves. If employees do…

Q: Which is exempt from VAT?

A: given    VAT is

Q: Employees are subject to taxes withheld from their paychecks.  Please indicate the federal taxes…

A: Payroll tax: This is the tax which is withheld by an employer from the pay of the employee and…

Q: Please explain the tax implications of compensation in the form of salary and wages from the…

A: SOLUTION COMPENSATION IN THE FORM OF SALARY AND WAGES : COMPENSATION REFER TO THE CASH PRIZES THAT…

Q: TRUE OR FALSE The fringe benefits tax assumed by the employer is a deductible expense of the…

A: Fringe benefits include: Employee stock option Interest-free loans Higher education assistance Cab…

Q: Apart from the benefits required by legislation, what benefit can a company expect from offering…

A: Employee benefit are generally the non cash and indirect benefits that are provided in addition to…

Q: What are tax considerations of household employers

A: Household employee:  He is an individual who is paid to provide a service within their employer’s…

Q: Which of the following is not likely to be included in thetypical components of management…

A: It is an amount paid by the employer to his employees for the work they do in accordance with…

Q: Which of the following is not deducted from an employee’s salary? a. FICA taxes.b. Unemployment…

A: Payroll tax The costs incurred by an employer to pay the employee for his labor, including other…

Q: Salary of employee [ Choose] Payment/Fee of tax [ Choose ] consultant service for assisting in tax…

A: As per our protocol we provide solution to one question only or up to three sub-parts only but you…

Q: credit reports

A: A credit report is a report that contains detailed information about the individual's credit…

Q: Accrued salaries are Salaries that have been neither earned by employees nor paid. Salaries that…

A: "Since you have asked multiple questions, we will solve first question for you. If you want any…

Q: Some employers will pay out employees for any unused sick-leave entitlements if they leave the…

A: Unused Sick leave entitlements: Each and every employee are allotted sick leaves. If employees do…

Q: i. The portion of the payroll tax levied on employers is O regressive, if the incidence is on…

A: Payroll tax is withheld by an employer from an employee's pay. The employer later pays it to the…

Q: 1. Assuming that net pay was directly deposited into the employee's bank accounts, prepare the…

A: Journal entry is made at the time when a business transaction or any other accruals has been…

Q: An example of fringe benefit is:   the employee health insurance the direct labor wage rate.…

A: The fringe benefit is the extra compensation given to the employess in excess to regular and…

Q: a) What are the differences between time rate system and piece rate system? b) What do you…

A: a) Piece rate system is a method of wage payment to workers based on the quantity of output produced…

Q: Recording employee payroll deductions may involve:

A: Payroll deductions are amount deducted from the salary of employees towards taxes or other duties…

Q: what are the rules for calculating taxes if an employee has more than one employer?

A: Following are the rules for calculating taxes if an employee has more than one employer

Q: ayroll expense will usually Multiple Choice   a)be more than the cash amount paid to an employee…

A: Solution: Payroll expense consist of employee gross pay and employer's statutory contributions.…

Payroll Entries

Payroll is a comprehensive record of employees that are paid by the company. Payroll classifies employees into various categories according to their function and pays scale (basic wage, allowance, income tax, other taxes, employee loans, etc.). Payroll processes form the bedrock of every organization as it contains sensitive information on the ‘wage and paycheck’ portion of the company’s strength—its employees. The organization needs to keep a track of the employees currently on the payroll, the net payout for the company, the record of transactions related to the employees including deductions and payroll taxes to identify the liability and its effect on the balance sheet (and other financial statements). Payroll records also include qualitative factors such as the conduct of the employee.