In: Accounting
Continuing Payroll Problem, 6B, Chapter 6
You have almost completed the Kipley's Company Employee Payroll Register for the pay period ending January 8, 20XX.
Requirements:
Record the deduction for group insurance.
Record the health insurance deduction.
Record the check number assigned to each employee.
Compute and record the net pay for each employee.
Total the input columns on the Employee Payroll register.
On Employer Register, enter total gross earnings.
Prepare the journal entries as of January 12 to record the payroll and the payroll taxes for the week ending January 8. Credit Salaries Payable for the total net pay.
Prepare the journal entry to record the payment of the payroll on January 14 when the paychecks are distributed to all workers.
Employee Benefits
Employee Benefits
The table below lists the employee contributions to Group Insurance and Health Insurance. Also, a check number has been assigned to each employee. Note that some employees are not yet eligible for Group Insurance coverage under the company plan.
KIPLEY COMPANY, INC. Insurance Deduction Register |
|||||||
Name | GRP. INS. | HEALTH INS. | CK. NO. | ||||
Carson, F. | $0.85 | $1.65 | 313 | ||||
Wilson, W. | 0.85 | 1.65 | 314 | ||||
Utley, H. | 0.85 | 1.65 | 315 | ||||
Fife, L. | 0.85 | 1.65 | 316 | ||||
Smith, L. | 1.65 | 317 | |||||
Fay, G. | 0.85 | 1.65 | 318 | ||||
Robey, G. | 0.85 | 1.65 | 319 | ||||
Schork, T. | 1.65 | 320 | |||||
Hardy, B. | 0.85 | 1.65 | 321 | ||||
Kipley, C. | 0.85 | 1.65 | 322 |
Payroll Register
Completing the Payroll Register
The Employee Payroll Register presents all the computations previously performed as it applies to this payroll period.
Complete the following steps (if an field should be blank, leave it blank):
Record the amount to be withheld for group insurance.
Record the amount to be withheld for health insurance.
Each worker is to be paid by check. Assign check numbers provided to the correct employee..
Compute the net pay for each employee.
Total the input columns.
KIPLEY COMPANY, INC. Payroll Register For Period Ending January 8, 20-- |
|||||||||||||
EARNINGS | DEDUCTIONS | NET PAY | |||||||||||
Name | Gross | OASDI | HI | FIT | SIT | SUTA | CIT | SIMPLE | Grp. Ins. | Health Ins. | Ck. No. | Amount | |
---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Carson, F. | $700.00 | $43.40 | $10.15 | $60.00 | $21.49 | $0.42 | $21.00 | $20.00 | $ | $ | $ | ||
Wilson, W. | 897.04 | 55.62 | 13.01 | 92.00 | 27.54 | 0.54 | 26.91 | 50.00 | |||||
Utley, H. | 678.75 | 42.08 | 9.84 | 26.00 | 20.84 | 0.41 | 20.36 | 40.00 | |||||
Fife, L. | 877.10 | 54.38 | 12.72 | 29.00 | 26.93 | 0.53 | 26.31 | 50.00 | |||||
Smith, L. | 790.00 | 48.98 | 11.46 | 62.00 | 24.25 | 0.47 | 23.70 | 20.00 | |||||
Fay, G. | 539.15 | 33.43 | 7.82 | 4.00 | 16.55 | 0.32 | 16.17 | 40.00 | |||||
Robey, G. | 623.08 | 38.63 | 9.03 | --- | 19.13 | 0.37 | 18.69 | 50.00 | |||||
Schork, T. | 773.08 | 47.93 | 11.21 | 64.00 | 23.73 | 0.46 | 23.19 | 60.00 | |||||
Hardy, B. | 666.11 | 41.30 | 9.66 | 2.00 | 20.45 | 0.40 | 19.98 | 30.00 | |||||
Kipley | 1,000.00 | 62.00 | 14.50 | 14.00 | 30.70 | 0.60 | 30.00 | 80.00 | |||||
Totals | $467.75 | $109.40 | $353.00 | $231.61 | $4.52 | $226.31 | $440.00 | ---- | |||||
Employer Register
Employer Register
Complete the following:
Record the total gross earnings.
KIPLEY COMPANY, INC. Employer Register Payroll Taxes |
|||||||
Taxable Earnings | OASDI | HI | FUTA | SUTA | |||
---|---|---|---|---|---|---|---|
Totals | $ | $467.75 | $109.40 | $45.27 | $278.31 | ||
Journal Entry: Recording Payroll
Journal Entry: Recording Payroll
Complete the following:
Prepare the journal entries as of January 12 to record the payroll and the payroll taxes for the week ending January 8. Credit Salaries Payable for the total net pay.
Date | Account | Debit | Credit |
20-- Jan. 12 | |||
To record payroll. | |||
20-- Jan. 12 | |||
To record payroll taxes. |
|
Payroll Register | |||||||||||||
For Period Ending January 8, 20-- | |||||||||||||
EARNINGS | DEDUCTIONS | NET PAY | |||||||||||
Name | Gross | OASDI | HI | FIT | SIT | SUTA | CIT | SIMPLE | Grp. Ins. | Health Ins. | Ck. No. | Amount | |
Carson, F. | 700 | 43.4 | $10.15 | $60.00 | $21.49 | $0.42 | $21.00 | $20.00 | 0.85 | 1.65 | 313 | 521.04 | |
Wilson, W. | 897.04 | 55.62 | 13.01 | 92 | 27.54 | 0.54 | 26.91 | 50 | 0.85 | 1.65 | 314 | 628.92 | |
Utley, H. | 678.75 | 42.08 | 9.84 | 26 | 20.84 | 0.41 | 20.36 | 40 | 0.85 | 1.65 | 315 | 516.72 | |
Fife, L. | 877.1 | 54.38 | 12.72 | 29 | 26.93 | 0.53 | 26.31 | 50 | 0.85 | 1.65 | 316 | 674.73 | |
Smith, L. | 790 | 48.98 | 11.46 | 62 | 24.25 | 0.47 | 23.7 | 20 | 1.65 | 317 | 597.49 | ||
Fay, G. | 539.15 | 33.43 | 7.82 | 4 | 16.55 | 0.32 | 16.17 | 40 | 0.85 | 1.65 | 318 | 418.36 | |
Robey, G. | 623.08 | 38.63 | 9.03 | 0 | 19.13 | 0.37 | 18.69 | 50 | 0.85 | 1.65 | 319 | 484.73 | |
Schork, T. | 773.08 | 47.93 | 11.21 | 64 | 23.73 | 0.46 | 23.19 | 60 | 1.65 | 320 | 540.91 | ||
Hardy, B. | 666.11 | 41.3 | 9.66 | 2 | 20.45 | 0.4 | 19.98 | 30 | 0.85 | 1.65 | 321 | 539.82 | |
Kipley | 1,000.00 | 62 | 14.5 | 14 | 30.7 | 0.6 | 30 | 80 | 0.85 | 1.65 | 322 | 765.7 | |
Totals | 467.75 | $109.40 | $353.00 | $231.61 | $4.52 | $226.31 | $440.00 | 6.8 | 16.5 | ---- | 5688.42 |
KIPLEY COMPANY, INC. | |||||||
Employer Register | |||||||
Payroll Taxes | |||||||
Taxable Earnings | OASDI | HI | FUTA | SUTA | |||
Totals | 7544.31 | $467.75 | $109.40 | $45.27 | $278.31 |
Date | Account | Debit | Credit | |||
20-Jan-12 | Payroll | 467.75 | ||||
To OASDI | 467.75 | |||||
(Being OASDI deducted) | ||||||
Payroll | 109.4 | |||||
To HI | 109.4 | |||||
(being HI deducted) | ||||||
Payroll | 353 | |||||
To FIT | 353 | |||||
(Being FIT deducted) | ||||||
Payroll | 231.61 | |||||
To SIT | 231.61 | |||||
(being SIT deducted) | ||||||
Payroll | 4.52 | |||||
To SUTA | 4.52 | |||||
(Being SUTA Deducted) | ||||||
Payroll | 226.31 | |||||
TO CIT | 226.31 | |||||
(Being CIT deducted) | ||||||
Payroll | 6.8 | |||||
To gross ins | 6.8 | |||||
(Being Gross insurance deducted) | ||||||
Payroll | 16.5 | |||||
To Health ins | 16.5 | |||||
(being health insurance deducted) | ||||||
Payroll | 440 | |||||
To Simple | 440 | |||||
(being simple deuction made) | ||||||
payroll | 5688.42 | |||||
To net Pay | 5688.42 | |||||
(Being payroll amount transferred to net pay) | ||||||
20-Jan-14 | Net pay | 5688.42 | ||||
To bank | 5688.42 | |||||
(being amount paid for net pay) |
Amount held for group insurance= | 6.8 | |||
Amount held for Health insurance= | 16.5 |