13. Make payments. Discover what others say about us. Neither The Balance Sheet Nor The Income Statement. Health Insurance Premiums Collected-liability The Federal Insurance Contributions Act covers restrictions on the employment of child labor. As of the June 11 pay date, the General Ledger account for Burling Mills has a balance of $14, Medicare tax payable 3,197. D. ERISA provides that all employees are eligible to set up their own individual retirement accounts. We provide payroll, global HCM and outsourcing services in more than 140 countries. What is the total amount of FICA that needs to be remitted by an employer in 2023 for an employee earning $50,000? \text{7. pay date. 3. B. C) Debit Health Insurance Payable $13,618; Credit Cash $13,618. Medicare tax payable 222 4,205. It exists in many forms, from manual booklets and ad-hoc registers created in Excel to reports produced by dedicated payroll software. C. ERISA establishes minimum vesting schedules that protect the workers' benefits. For example, there may be deductions for 401(k) pension plans, health insurance, life insurance, vision insurance, and for the repayment of advances. Does every state have state unemployment laws? \text{4. On which income statement will the state unemployment tax expense appear under accrual accounting? D) Credit $30. It lists payroll information about each employee, such as hours worked, gross pay, deductionsand net pay. 8. What si the primary purpose of the Employee Retirement Income Security Act (ERISA)? He is the sole author of all the materials on AccountingCoach.com. B) It must create an adjusting entry to recognize the payroll accrual. It records payroll record on each employee separately. \text{2. Collectionofnotesreceivable. 31. See Answer. B) It is employee labor that does not pertain to labor on customer jobs. Many employers find a payroll register to be an indispensable part of their business because of its ability to help them keep both their payroll records and their budgets in order. Copyright D) $1,875. DATE DESCRIPTION POST REF. False. Hours worked. C) Social Security tax, $746; Medicare tax, $174. The portion of the Federal Insurance Contributions Act that deals with Social Security is called. BALANCE DATE DESCRIPTION POST REF. An employee worked the entire year of 2022 and earned two weeks of vacation as specified in the company's labor agreement. expense 522 $ 182,930. Are newly hired independent contractors covered under federal laws pertaining to new-hire reporting? The Federal Insurance Contribution Act, the Medicare portion of the tax is only paid by the employer. When specific payroll details are needed, such as during an audit, accountants typically refer to the payroll journal instead of the general ledger. Which of the following is an example of a trade association? Collectionofanaccountreceivable.5. The ___ is a multicolumn form used to assemble and summarize the data needed at the end of each payroll period. D) It must wait until the next financial period to record the payroll data. What is your sisters total cost under each of the two plans? Click the card to flip Definition 1 / 52 True Click the card to flip Flashcards Learn Test Match Created by Ziera117 Plus Terms in this set (52) Most firms are now using a standard reference inquiry form, supplied by the IRS, If an investigative consumer report is being checked, the job applicant must be notified in writing by the employer that such a report is being sought, There are no states that allow employees to access their personnel files, The payroll register is a separate payroll record that is kept on each employee, A payroll register lists all employees who have earned remuneration, the amount of remuneration, the deductions, and the net amount paid for each pay period, The amounts needed for the payroll entries in the journal come from the employee's earnings record, The trend toward outsourcing of payroll operations has weakened in recent years. Wages and salaries payable 226 117,334. 4. 38. Which of the following best describes the purpose of the payroll register? A) The statement of owners' equity ls the written record sent to the Payroll Department telling them that a new employee should be added to the payroll called a hiring notice? A) the firm's payroll checking account information ls the payroll register used for journalizing the payroll entries? Suppose your sister doubles her monthly usage to 3,400 minutes and sends 3,200 texts. Raw materials purchases for cash. pay Which of the following are processes that occur in most payroll accounting systems? The lower the payroll Which of the following acts levies a tax on employers and employees that is credited to the Federal Old-Age and Survivor's Trust Fund and the Federal Disability Insurance Trust Fund? Union Dues payable 227 4,683. Compute and record the Kipley Company's SUTA and FUTA contributions. Purchaseoftreasurystock. \text{8. C) It must pay its employees for the wages earned as of that date. b. Owners equity as of December 31, 2014, assuming that assets increased by $113,000 and liabilities increased by$44,000 during 2014. The highest-paid 10 percent of their workforce. D. Requires equal pay for equal work, regardless of gender. What is the This entry usually includes debits for the direct labor expense, salaries, and the company's portion of payroll taxes. Single click the box with the question mark to produce a check mark for a correct Your sister currently uses 1,700 minutes and sends 1,600 texts each month. A payroll register is a valuable tool that records employee wage information for each pay period and pay date. Cash 101 202,671. Authorize a power of attorney. Name of each employee 5. & \text{ } & \text{ }\\ Requirements: Record the deduction for group insurance. Rate of pay 8. A) Social Security tax, $204; Medicare tax, $792. Savings bonds payable 227 1,850. posted an additional $4,390 on its October 31 pay date. 1. D) Employer's Federal Income tax, Which of the following columns would be used as part of a general journal entry? \text{11. 56. So that the total amount of accumulated wages can be recorded for each pay period thus when the accumulated wages of an employee reaches the cutoff level has been reached. Compute the employer's payroll taxes for the period. C) It designates where labor is used in a firm. Time worked - regular & overtime 7. Issuance of bonds.} Q09. C) Asset, Copyright 2023 StudeerSnel B.V., Keizersgracht 424, 1016 GC Amsterdam, KVK: 56829787, BTW: NL852321363B01, Campbell Biology (Jane B. Reece; Lisa A. Urry; Michael L. Cain; Steven A. Wasserman; Peter V. Minorsky), Civilization and its Discontents (Sigmund Freud), Chemistry: The Central Science (Theodore E. Brown; H. Eugene H LeMay; Bruce E. Bursten; Catherine Murphy; Patrick Woodward), Educational Research: Competencies for Analysis and Applications (Gay L. R.; Mills Geoffrey E.; Airasian Peter W.), Forecasting, Time Series, and Regression (Richard T. O'Connell; Anne B. Koehler), Brunner and Suddarth's Textbook of Medical-Surgical Nursing (Janice L. Hinkle; Kerry H. Cheever), Principles of Environmental Science (William P. Cunningham; Mary Ann Cunningham), Business Law: Text and Cases (Kenneth W. Clarkson; Roger LeRoy Miller; Frank B. Which of the following is not a provision of FLSA? Which basic records are generated in most payroll accounting systems? Employers use the employee's earnings record in preparing ___. Upload your study docs or become a Course Hero member to access this document Continue to access Term Winter Professor N/A Tags Federal withholding tax $ 3,570. A) Debit $1, How does the FIFO method different from the weighted-average method? C) Credit $4, Can employees view documents in their files that are marked confidential? Verify the date and enter General as the reference. B) Equity What is a use of a firm's labor trend reports? 12. This entry usually includes debits for the direct labor expense, salaries, and the company's portion of payroll taxes. D) the employee's name, social security number, and address Sometimes you will see all the taxes lumped together into one account called Payroll Taxes Payable. Payroll Chapter 1 Flashcards | Quizlet Payroll Chapter 1 5.0 (5 reviews) Term 1 / 50 True Click the card to flip Definition 1 / 50 The current minimum wage set by the Fair Labor Standards Act is $7.25 per hour Click the card to flip Flashcards Learn Test Match Created by kittykiss Terms in this set (50) True Megan Newell is the owner and operator of Ultima LLC, a motivational consulting business. Question: Continuing Payroll Problem, 6B: Chapter 6 You have almost completed the Olney Company's Employee Payroll Register for the pay period ending January 8, 20--. the health Insurance is qualified under Section 125? the payroll register, employees' earning record, and accounting system entries the purpose of the net pay and check number columns in the payroll register is to Skip to document Ask an Expert Sign inRegister Sign inRegister Home Ask an ExpertNew My Library Discovery Institutions Silver Creek High School (Colorado) Southern New Hampshire University Age Which of the following is true of employee's earnings record? Feb 15 J Hourly-paid employees have their paydays approximately one week after their workweeks and generally the workweek does not end on the last calendar day of the month. C) Credit $1, SUTA Taxes Payable-liability \text{Transaction} & \text{Type of Activity} & \text{Cash Inflow or Outflow}\\ \hline Employee benefits, flexible administration, business insurance, and retirement plans. Listed below are several transactions. Loantoanotherfirm.12. Since Eco Brewers is a monthly schedule 61. Report new employees or independent . Explain the use of the "Cumulative" column in the employee's earnings record. the total expenses of the firm and increase the net income of the firm. Pre-hire questions pertaining to religion, gender, national origin, or age are allowed if: Which of the following forms is used to notify the Payroll Department to add a new employee to the payroll? Define hours worked. Dont just take our word for it. Name two advantages and two drawbacks of Payroll registers are typically a series ofsimple charts (one for each employee during a given pay period) that include such information as: Note that payroll recordkeeping laws differ across jurisdictions. & \text{ } & \text{ }\\ Tasks previously performed include determining gross earnings, FICA withholding, federal, state and city taxes. All rights reserved.AccountingCoach is a registered trademark. Purchaseofinventory.7. All salaried employees. For multiple-choice and true/false questions, simply press or click on what you think is the correct answer. C) Form W- 21 On December 1, 20XX, Riley Sanders invested $250,000 to open Sanders Enterprises. Want more exclusive business insights like this delivered to your inbox? Learn more about Privacy at ADP, including understanding the steps that weve taken to protect personal data globally. B. ERISA There will also be credits to a number of accounts, each one detailing the liability for payroll taxes that have not been paid, as well as for the amount of cash already paid to employees for their net pay. How might globalists and traditionalists view cultures, places, and regions differently. C) It is the fourth repetition of the same entry. Purchaseofrentinadvance.4. Which employee payroll classification will likely require an accrual adjusting entry for the gross salaries or wages at the end of a calendar month? a. Walsh-Healey Public Contracts Act ADP is a better way to work for you and your employees, so everyone can reach their full potential. FICA Taxes payable-HI-liability 1. Entitled to retirement program even if you're no longer working there. A) Employee pay accrual and employee pay disbursement General Journal entry to record this transaction? What are the main kinds of information contained in a payroll register? B) Debit $30, This check may be paid through the corporate accounts payable bank account, rather than its payroll account, so you may need to make this entry through the accounts payable system. & \text{ } & \text{ }\\ TransactionTypeofActivityCashInfloworOutflow1. grass clippings at the curb for pickup because local landfills cannot handle the volume. e. None of the above. B) the total gross pay, deductions, and net pay during the period Forbids discrimination in hiring. Dooley Publishing has the following payroll data for its July 1 pay date: Jul 1 Wages and salaries. & \text{ } & \text{ }\\ total 221 64. Title of report 2. Type the formula, then press Enter. Records and the General Journal. Questions pertaining to religion, gender, national origin, or age are allowed on application forms when these are bonafide occupational qualifications for a job. Were reimagining what it means to work, and doing so in profound ways. Any Boxes left with a question mark will be automatically graded as incorrect.) D) Company website The lower payroll Does workers' compensation laws only relate to work-related incidents? Based on the following data, prepare the appropriate journal entry when paying employees: Total wages earned were $8000 B) It depicts the ideal distribution of labor in a firm. Recall that Zachary Fox and Michael Sierra are married, while Calvin Bell and David Alexander . 19. & \text{ } & \text{ }\\ 3. Color ls the FUTA tax used to pay unemployment benefits? 54. Use rates of 6.2 percent for the employer's shareof the social security tax, 1.45 percent for Medicare tax, 0.6 percent for FUTA tax, and 5.4 percent for SUTA tax. 29. Discover what others say about us. c. McNamara-O'Hara Service Contract Act BALANCE Federal withholding tax payable 220 $ 2,207. For the entry on January 31, what does the J4 signify? True False. Under the U.S. payroll tax a employee has to pay the tax on hi . Accounting questions and answers. D) A debit balance will increase the income of the firm's income statement. Comprehensive payroll and HR software solutions. Read the latest news, stories, insights and tips to help you ignite the power of your people. All earnings are taxable. False - also needs to be a reasonable amount. 8. C) Labor reports department. A) Medicare tax Fast, easy, accurate payroll and tax, so you can save time and money. Saleoflandforcash. BALANCE Use the following information for Questions 19 - 20: check mark For a correct answer and double click the box with the question mark to empty the The higher payroll What is meant by the garnishment of wages? C) Earnings subject to FICA tax This entry usually includes debits for the direct labor expense, salaries, and the company's portion of payroll taxes. In a recent study, 90 percent of the homes in the United States were found to have largescreen TVs. If the expected returns are 3.8%3.8 \%3.8% for the T-bills, 12.3%12.3 \%12.3% for the large-company stocks, and 17.4%17.4 \%17.4% for the small-company stocks, what is the expected return of the portfolio? It helps employers reconcile their payroll transactions and prepare quarterly and year-end tax reports. Payroll Accounting (Practice Quiz) Print PDF For multiple-choice and true/false questions, simply press or click on what you think is the correct answer. Security taxes? Medicare tax $ 390. True, The information in the payroll register forms the basis for entries in the Employee Earnings Social Security tax $ 1,670. Issuance of common stock.} DATE DESCRIPTION POST REF. Sets minimum wage. date: Oct 27 Wages and salaries expense 522 $298,384. Laborers for contractors who furnish materials, supplies, articles, and equipment to any agency of the United States, provided the minimum contract amount is $10,000.