journalize period payroll\n\nthe payroll register of heritage co. indicates $4,340 of social security…
journalize period payroll\n\nthe payroll register of heritage co. indicates $4,340 of social security withheld and $3,150 of medicare tax withheld on total salaries of $70,000 for the period. federal withholding for the period totaled $11,900. retirement savings withheld from employee paychecks were $2,500 for the period.\n\njournalize the entry to record the periods payroll. if an amount box does not require an entry, leave it blank.
Answer
Explanation:
Step1: Identify the total salary expense
The total salaries for the period are given as $$70,000$, which represents the gross pay to be debited to Salary Expense.
Step2: List all employee withholdings
Identify the liabilities for taxes and savings: Social Security Tax $($4,340)$, Medicare Tax $($3,150)$, Federal Income Tax $($11,900)$, and Retirement Savings $($2,500)$.
Step3: Calculate the net pay
Subtract all withholdings from the gross salary to determine the amount payable to employees. $$ \text{Net Pay} = 70,000 - (4,340 + 3,150 + 11,900 + 2,500) = 48,110 $$
Step4: Record the journal entry
Debit the expense account and credit the various liability accounts for withholdings and the net salaries payable.
Answer:
| Date | Accounts | Debit | Credit |
|---|---|---|---|
| Salaries Expense | 70,000 | ||
| Social Security Tax Payable | 4,340 | ||
| Medicare Tax Payable | 3,150 | ||
| Employees Federal Income Tax Payable | 11,900 | ||
| Retirement Savings Deductions Payable | 2,500 | ||
| Salaries Payable | 48,110 |