Question

The payroll register of the Fox Manufacturing Company showed total employee earnings of $32,000 for the week ended April 19, 2019. Compute each of the employer's payroll taxes for the period. Use a rate of 6.2 percent for the employer’s share of the social security tax, 1.45 percent for Medicare tax, 0.6 percent for FUTA tax, and 5.4 percent for SUTA tax. Assume all earnings are taxable.

Social security tax
Medicare tax
FUTA
SUTA

Answer 1

Social security tax =$1,984

Medicare tax=$464

FUTA tax=$192

SUTA tax=$1,728

Total =$4,368

Step-by-step explanation:

Computation of each of the employer's payroll taxes for the period for Fox Manufacturing Company.

Using this formula

Tax= Base× Rate =Amount

Let plug in the formula

Social security tax=$32,000×6.2% =$1,984

Medicare tax=$32,000×1.45%=$464

FUTA tax=$32,000×0.6%=$192

SUTA tax=$32,000×5.4%=$1,728

Total=$4,368

Therefore,

Social security tax =$1,984

Medicare tax=$464

FUTA tax=$192

SUTA tax=$1,728

Total =$4,368