Question

What is the gross pay for Anthony V. Bonno? 2. What is the amount of OASDI withheld for Catherine L. Ford? 3. What is the total net pay for all employees? 4. What is the total amount of group insurance withheld for all employees? Journal 5. What is the amount of the credit to Employees FIT Payable? 6. What is the amount of the debit to Payroll Taxes? 7. What is the amount of the credit to SUTA Taxes Payable Employer? 8. What is the amount of the debit to Employees SIT Payable on October 20? General Ledger 9. What is the balance of FICA Taxes Payable-OASDI? 10. What is the balance of Union Dues withheld for the employees?

Answer 1

To calculate the gross pay for Anthony V. Bonno, we need to know his gross annual income and apply the Social Security, Medicare, and tax deductions. By using the given percentages and gross annual income, we can calculate the deductions and then subtract them from the gross income to determine the net pay.

Step-by-step explanation:

According to the given information, to calculate the deductions and taxes, we need to know the gross annual income for each employee. The Social Security deduction is 6.2% of the gross annual income, Medicare is 1.45%, and federal and state taxes are assumed to be 15% of the gross annual income. To calculate the deductions and taxes for each employee, we can use these percentages and the gross annual income for each employee.

For example, if the gross annual income for Anthony V. Bonno is given as $50,000, we can calculate the deductions as follows:

• Social Security deduction: $50,000 * 6.2% = $3,100
• Medicare deduction: $50,000 * 1.45% = $725
• Taxes deduction: $50,000 * 15% = $7,500

So, the gross pay for Anthony V. Bonno would be $50,000 - ($3,100 + $725 + $7,500) = $38,675.

Answer 2

Payroll calculations include deductions for Social Security, Medicare, and withholding taxes, affecting the final net pay. Self-employed individuals pay combined employer and employee taxes. Social Security tax is a regressive tax applied to incomes below a certain threshold.

Step-by-step explanation:

When calculating payroll, it's important to understand both the gross pay and the various deductions that ultimately lead to net pay. Payroll taxes are split between the employer and the employee, with the employee seeing 6.2% deducted for Social Security and 1.45% for Medicare from their paycheck. Additional withholding taxes such as federal income tax (FIT) and state income tax (SIT) may also apply.

If an individual is self-employed or the sole employee of their corporation, they must pay self-employment tax, which combines both the employer and employee portions of Social Security and Medicare taxes. The Social Security tax is considered a regressive tax, as it applies a flat percentage to income below a certain threshold without further increase.

Deductions for other benefits such as group insurance also reduce the gross pay before arriving at the net pay. The final net pay for all employees would be the sum total after all deductions have been made.