| Book Edition | 22nd Edition |
| Author(s) | Heintz, Parry |
| ISBN | 9781305666160 |
| Publisher | Cengage |
| Subject | Accounting |
The Totals line from Hart Company's payroll register for the week ended December 31, 20--, is as follows:
Payroll taxes are imposed as follows: Social Security, 6.2%; Medicare, 1.45%; FUTA, 0.6%; and SUTA, 5.4%.
a. Prepare the journal entry for payment of this payroll on December 31, 20--.
The Totals line from Hart Company's payroll register for the week ended December 31, 20--, is as follows:
Payroll taxes are imposed as follows: Social Security, 6.2%; Medicare, 1.45%; FUTA, 0.6%; and SUTA, 5.4%.
b. Prepare the journal entry for the employer's payroll taxes for the period ended December 31, 20--.
The journal entry to record the payroll on December 31 20-- involves a debit to the wages and salaries expense of $3,799.70; a credit to employee federal income tax payable of $380; a credit to social security tax payable of $235.60; a credit to medicare tax payable of $55.10; a credit to health insurance premiums payable of $50; a credit to united way contributions payable of $100 and a credit to cash of $2,979.
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