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For all payroll calculations, use the following tax rates and round amounts to the nearest cent: Employee: OASDI: 6.2% on first 0$117,000 earned; Medicare: 1.45% up to $$200,000, 2.35% on earnings above$200,000. Employer: OASDI:6.2% on first$117,000 earned; Medicare: 1.45% on all earnings; FUTA: 0.6% on first $7,000 earned; SUTA: 5.4% on first $7,000 earned

Sollenberger

manages a

Dairy House

drive-in. His straight-time pay is

$ 8

per hour, with time-and-a-half for hours in excess of 40 per week.

Sollenberger

payroll deductions include withheld income tax of

2020%,

FICA tax, and a weekly deduction of

$ 8

for a charitable contribution to United Way.

Sollenberger

worked

56

hours during the week.

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Requirements

1.	Compute Sollenberger gross pay and net pay for the week. Assume earnings to date are $11,000.
2.	Journalize Dairy House wages expense accrual for Sollenberger work. An explanation is not required.
3.	Journalize the subsequent payment of wages to Sollenberger

Requirement 1. Compute

Sollenberger

gross pay and net pay for the week. Assume earnings to date are

$ 11 comma 000$11,000.

(Round all amounts to the nearest cent.)Begin by computing

Sollenberger

gross pay for the week.

Gross Pay

Compute

Sollenberger

net pay for the week. (Round all amounts to the nearest cent.)

Withholding deductions:
Net (take-home) pay

Requirement 2. Journalize

Dairy House

wages expense accrual for

Sollenberger

work. An explanation is not required. (Record debits first, then credits. Exclude explanations from journal entries.)

Date			Accounts and Explanation	Debit	Credit

Requirement 3. Journalize the subsequent payment of wages to

Sollenberger

(Record debits first, then credits. Exclude explanations from journal entries.)

Date			Accounts and Explanation	Debit	Credit

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