Homework SourseDuring January Deluxe Printing pays employee salaries of 97
During January, Deluxe Printing pays employee salaries of $.97 million. Withholdings in January are $69,000 for the employee portion of FICA, $240,000 for federal and state income tax, and $50,000 for the employee portion of health insurance (payable to Blue Cross/Blue Shield). The company incurs an additional $48,000 for federal and state unemployment tax and $20,000 for the employer portion of health insurance.
During January, Deluxe Printing pays employee salaries of $.97 million. Withholdings in January are $69,000 for the employee portion of FICA, $240,000 for federal and state income tax, and $50,000 for the employee portion of health insurance (payable to Blue Cross/Blue Shield). The company incurs an additional $48,000 for federal and state unemployment tax and $20,000 for the employer portion of health insurance. 1. Record the employee salary expense, withholdings, and salaries payable. (If no entry is required for a transaction/event, select \" No journal entry required\" in the first account field. Enter your answers in dollars, not in millions.) View transaction list Journal entry worksheet Record the employee salary expense, withholdings, and salaries payable Note: Enter debits before credits. Date General Journal Debit Credit Jan 31 Record entry Clear entry View general journalSolution
Employee Salary $ 970,000.00 employee portion of FICA $ 69,000.00 federal and state income tax $ 240,000.00 employee portion of health insurance $ 50,000.00 Additional federal and state unemployment tax $ 48,000.00 employer portion of health insurance $ 20,000.00 1 Salary Expense $ 970,000.00 FICA Tax Payable $ 69,000.00 Federal & State Withholding Inc. pay $ 240,000.00 Insurance premium Accts Pay $ 50,000.00 Salary Payable (Net Pay) $ 611,000.00 2 Salary Expense (Fringe Benefit $ 20,000.00 Insurance premium Accts Pay $ 20,000.00 3 Payroll Tax Expense $ 20,000.00 Federal & State Withholding Inc. pay $ 48,000.00 FICA Tax Payable $ 69,000.00
