Journalize period payroll
The payroll register of Longboat Co. indicates $5,400 of social security withheld and $1,350 of Medicare tax withheld on total salaries of $90,000 for the period. Retirement savings withheld from employee paychecks were $5,400 for the period. Federal withholding for the period totaled $17,820.
Provide the journal entry for the period’s payroll.
Journalize the entry to record period’s payroll.
Payroll: The total payment that a company is required to pay to its employee for the services received is called as payroll.
Payroll withholding deduction: The amounts which the employer withheld from employees’ gross pay to deduct taxes such as federal income tax, state income tax, local income tax, and social security tax are called payroll withholding deduction.
Prepare journal entry to record period’s payroll.
|Date||Accounts and Explanation||Post Ref||Debit($)||Credit ($)|
|Social Security Taxes Payable||5,400|
|Medicare Taxes Payable||1,350|