In: Accounting
On 1/31/2020, Deluxe Printing pays employee salaries of $14,000. Withholdings are $850 for the employee portion of FICA, $1,800 for federal income tax, $500 for state income tax, and $400 for the employee portion of health insurance (payable to Blue Cross/Blue Shield). The company incurs $150 for federal and state unemployment tax and $400 for the employer portion of health insurance.
What amount will be paid to employees for this payroll.
$9,900.
$10,300.
$14,000.
$10,450.
Calculation of amount paid to employees:
Particulars | Amount |
Salaries | $14,000 |
Less: Deductions | |
FICA tax | 850 |
Federal income tax | 1,800 |
State income tax | 500 |
Health insurance | 400 |
Amount paid to employees | $10,450 |
Amount paid to employees = $10,450 is the correct answer.
$10,450 is the correct answer.
$10,450 is the correct answer.