At Vision Club Company, office workers are employed for a40-hour workweek on either an annual or a monthly salary basis.
Given on the form below are the current annual and monthlysalary rates for five office workers for the week ended December14, 2018 (50th payday of the year). In addition, with this pay,these employees are paid their sliding-scale annual bonuses. Thebonuses are listed on the register.
For each worker, compute the following. Round your answers tothe nearest cent.
Regular earnings for the weekly payroll ended December 14,2018.
Overtime earnings (if applicable).
Total regular, overtime earnings, and bonus.
FICA taxable wages for this pay period.
FICA taxes to be withheld for this pay period.
VISION CLUB COMPANY Weekly Payroll for Period Ending December14, 2018 FICA Taxable Wages
This Pay Period
FICA Taxes
to Be Withheld
Employee Salary Hours
Worked Annual
Bonus Regular
Earnings Overtime
Earnings Total Earnings Cumulative Earnings
as of Last Pay Period OASDI HI OASDI HI Marx, A. $110,760/yr. 40 $48,200 $ $ $104,370 Boxer, C. 76,440/yr. 40 23,400 72,030 Lundy, R. 5,356/mo. 40 18,200 60,564 Ruth, B. 4,576/mo. 40 11,800 51,744 Gehrig, L. 4,160/mo. 48 6,200 $ 47,040 Totals $ $ $ $ $ $ $ $
Employer's FICA taxes for week ended December 14, 2018:
$ $ OASDI HI
At Vision Club Company, office workers are employed for a40-hour workweek on either an annual or a monthly salary basis.
Given on the form below are the current annual and monthlysalary rates for five office workers for the week ended December14, 2018 (50th payday of the year). In addition, with this pay,these employees are paid their sliding-scale annual bonuses. Thebonuses are listed on the register.
For each worker, compute the following. Round your answers tothe nearest cent.
Regular earnings for the weekly payroll ended December 14,2018.
Overtime earnings (if applicable).
Total regular, overtime earnings, and bonus.
FICA taxable wages for this pay period.
FICA taxes to be withheld for this pay period.
| VISION CLUB COMPANY | |||||||||||||||
| Weekly Payroll for Period Ending December14, 2018 | |||||||||||||||
FICA Taxable Wages | FICA Taxes | ||||||||||||||
| Employee | Salary | Hours Worked | Annual Bonus | Regular Earnings | Overtime Earnings | Total Earnings | Cumulative Earnings as of Last Pay Period | OASDI | HI | OASDI | HI | ||||
| Marx, A. | $110,760/yr. | 40 | $48,200 | $ | $ | $104,370 | |||||||||
| Boxer, C. | 76,440/yr. | 40 | 23,400 | 72,030 | |||||||||||
| Lundy, R. | 5,356/mo. | 40 | 18,200 | 60,564 | |||||||||||
| Ruth, B. | 4,576/mo. | 40 | 11,800 | 51,744 | |||||||||||
| Gehrig, L. | 4,160/mo. | 48 | 6,200 | $ | 47,040 | ||||||||||
| Totals | $ | $ | $ | $ | $ | $ | $ | $ | |||||||
Employer's FICA taxes for week ended December 14, 2018:
| $ | $ | |
| OASDI | HI |
Related questions
Problem Information
Use the following tax rates and taxable wage bases: Employees' and Employer's OASDIâ6.2% both on $118,500; HIâ1.45% for employees and employers on the total wages paid. Employees' Supplemental HI of 0.9% on wages in excess of $200,000 was not applicable.
At Haddon, Inc., the office workers are employed for a 40-hour workweek and are paid on either an annual, monthly, or hourly basis. All office workers are entitled to overtime pay for all hours worked beyond 40 each workweek at 1.5 times the regular hourly rates.
Company records show the following information for the week ended December 26, 20--.
| Employee | Salary | Hrs. Worked | Cumulative Taxable Wages as of Last Pay Period (12/19/--) | ||||||||
| OFFICE | King, M. | $119,600.00 per year | 40 | $117,300.00 | |||||||
| Manera, E. | $6,500.00 per month | 40 | $76,500.00 | ||||||||
| Tate, S. | $3,900.00 per month | 48 | $45,900.00 | ||||||||
| Yee, L. | $12.50 per hour | 44.5 | $27,675.13 | ||||||||
| PLANT | Diaz, R. | $12.50 per hour | 48 | $14,778.96 | |||||||
| Zagst, J. | $14.50 per hour | 52 | $24,703.02 | ||||||||
On the form below, calculate for each worker: (a) regular earnings, (b) overtime earnings, (c) total regular and overtime earnings, (d) FICA taxable wages, (e) FICA taxes to be withheld, and (f) net pay for the week ended December 26, 20--. Assume that there are 52 weekly payrolls in 20--. Also, determine the total where indicated. Round your answers to the nearest cent and use those rounded amounts in subsequent calculations. If an amount box does not require an entry, leave it blank.
| Weekly Payroll for Period Ending December 26, 20-- | |||||||||||
| Employee | Salary | Hrs. Worked | Regular Earnings (A) | Overtime Earnings (B) | Total Reg. and O/T Earnings (C) | Cum. Taxable Wages as of Last Pay Period (12/19/--) | FICA Taxable Wages This Pay Period (D) | FICA Taxes to be Withheld (E) | Net Pay (F) | ||
| OASDI | HI | OASDI | HI | ||||||||
| OFFICE: King, M. | $119,600.00 per year | 40 | $ | $ | $ | $117,300.00 | $ | $ | $ | $ | $ |
| Manera, E. | $6,500.00 per mo. | 40 | $76,500.00 | ||||||||
| Tate, S. | $3,900.00 per mo. | 48 | $45,900.00 | ||||||||
| Yee, L. | $12.50 per hr. | 44.5 | $27,675.13 | ||||||||
| PLANT: Diaz, R. | $12.50 per hr. | 48 | $14,778.96 | ||||||||
| Zagst, J. | $14.50 per hr. | 52 | $24,703.02 | ||||||||
| Totals | .... | .... | $ | $ | $ | .... | $ | $ | $ | $ | $ |
Employer's FICA Taxes:
| OASDI: | $ |
| HI: | $ |
The names of the employees of Cox Security Systems and theirregular salaries are shown in the following payroll register. Notethat Hall and Short are paid monthly on the last payday, while allothers are paid weekly.
In addition to the regular salaries, the company pays an annualbonus based on the amount of earnings for the year. For the currentyear, the bonus amounts to 8% of the annual salary paid to eachemployee. The bonus is to be paid along with the regular salarieson December 26, but the amount of the bonus and the amount of theregular salary will be shown separately on each employee's earningsstatement. Assume that all employees received their regular salaryduring the entire year.
Prepare the payroll for the pay period ending December 26,showing the following for each employee:
Use the wage-bracket method towithhold federal income tax from the regular salaries.
Withhold a flat 25% on the annual bonus.
Total salaries and bonuses are subject to a 2% state income taxand a 1% city income tax.
Enter all amounts as positive numbers. Round your intermediatecalculations and final answers to the nearest cent.
For Period Ending December 26
| Employee Name | No. of | Earnings | Deductions | ||||||||
| Marital | W/H | (a) | (b) | (c)FICA | (d) | (e) | (f) | (g) | |||
| Status | Allowances | Regular | Supp'l. | Total | OASDI | HI | FIT | SIT | CIT | Net Pay | |
| Hall, Michael | M | 5 | $5,000.00* | $ | $ | $ | $ | $ | $ | $ | $ |
| Short, Joy T. | M | 2 | 2,750.00* | ||||||||
| Abbott, Linda | S | 1 | 520.00 | ||||||||
| Smith, Joseph | M | 4 | 465.00 | ||||||||
| Tols, Sean M. | M | 2 | 380.00 | ||||||||
| Gillespie, Michelle | S | 1 | 350.00 | ||||||||
| Smart, Jennifer | M | 2 | 575.00 | ||||||||
| White, Matthew J. | S | 0 | 425.00 | ||||||||
| Totals | $ | $ | $ | $ | $ | $ | $ | $ | $ | ||
*Monthly
Compute the employer's FICA taxes for the pay period endingDecember 26.
| OASDI Taxes | HITaxes | ||
| OASDI taxable earnings | $ | HI taxableearnings | $ |
| OASDI taxes | $ | HI taxes |
