- Felipe S Mexican Restaurant Incurred Salaries Expense Of 59 000 For 2024 The Payroll Expense Includes Employer Fica Ta 1 (81.91 KiB) Viewed 21 times
Felipe's Mexican Restaurant incurred salaries expense of $59,000 for 2024. The payroll expense includes employer FICA tax, in addition to state unemployment tax and federal unemployment tax. Of the total salaries, $16,000 is subject to unemployment tax. Also, the company provides the following benefits for employees: health insurance (cost to the company, $2,400), life insurance cost to the company, $400), and retirement benefits (cost to the company, 5% of salaries expense). (Click the icon to view payroll tax rate information.) Х More info Х Requirements For all payroll calculations, use the following tax rates and round amounts to the nearest cent: 1. Journalize Felipe's expenses for employee benefits and for payroll taxes. Explanations are not required. Employee: OASDI: 6.2% on first $132,900 earned; Medicare: 1.45% up to 2. What was Felipe's total expense for 2024 related to payroll? $200,000, 2.35% on earnings above $200,000. Employer: OASDI: 6.2% on first $132,900 earned per employee; Medicare: 1.45%; FUTA: 0.6% on first $7,000 earned per employee; SUTA: 5.4% on first $7,000 earned per employee. Print Done Print Done
Requirement 1. Journalize Felipe's expenses for employee benefits and for payroll taxes. Explanations are not required. Begin with the entry to accrue Felipe's employer payroll taxes. (Round all amounts to the nearest cent. Record debits first, then credits. Exclude explanations from journal entries.) Date Accounts Debit Credit