QuestionHi Can you help me with this question please! this question related to Accounting Payroll 032Start your Continuing Payroll Project This project is cumulative. Please work on the sections by Chapter. Please DO NOT submit partially completed worksheet. Only submit the COMPLETED PROJECT (Chapters 2-6) at the end of Week 6. CHAPTER 2 In the Continuing Payroll Problem A, presented at the end of succeeding chapters, you will gain experience in computing wages and salaries and preparing a payroll register for Kipley Company, Inc., a newly formed corporation. At the end of subsequent chapters, information will be presented so that the payroll register can be completed step by step as you proceed through the discussion material relating to that particular section of the payroll register. Kipley Company is a small manufacturing firm located in Pittsburgh, Pennsylvania. The company has a workforce of both hourly and salaried employees. Each employee is paid for hours actually worked during each week, with the time worked being recorded in quarter-hour increments. The standard workweek consists of 40 hours, with all employees being paid time and one-half for any hours worked beyond the 40 regular hours. Wages are paid every Friday, with one week’s pay being held back by the company. Thus, the first payday for Kipley Company is January 14 for the workweek ending January 8 (Saturday). The information below will be used in preparing the payroll for the pay period ending January 8. Ms. Glenda B. Robey prepares the time clerk’s report for each pay period. Her report for the first week of operations is given below. For Period Ending January 8, 20-Time Record Time Time EmployeeWorked” Lost M T … Show more… Show more*All employees, except for Carson Kipley, are paid for hours worked beyond 40 at one and onehalf times their regular hourly rate of pay. Using the payroll register for Kipley Company, which is provided in Excel worksheet, proceed as follows:1. Enter each employee’s time card number and name in the appropriate columns.2. Record the regular hours and the overtime hours worked for each employee, using the time clerk’s report as your reference.3. Complete the Regular Earnings columns (Rate per Hour and Amount) and the Overtime Earnings columns (Rate per Hour and Amount) for each hourly employee. For salaried workers, complete the Regular Earnings column and show the hourly overtime rate and earnings only if overtime was worked.4. Record the Total Earnings for each employee by adding the Regular Earnings and the Overtime Earnings.Note: Retain your partially completed payroll register for use at the end of Chapter 3 CHAPTER 3Refer to the partially completed payroll register you started at the end of Chapter 2. You will now determine the amount of FICA taxes to be withheld from each employee’s pay for the pay period ending January 8. 1. In the Taxable Earnings columns, record the amount of each employee’s weekly earnings that is subject to FICA taxes. 2. Using the amount recorded in step (1), compute the taxes for each employee and record in the appropriate column.Note: Keep your partially completed payroll register for use at the end of Chapter 4.CHAPTER 4 ACCT032 – Payroll Accounting Refer to the partially completed payroll register which you worked on at the end of Chapter 3. You will now determine the amount of income tax to withhold for each employee, proceeding as follows:1. In the appropriate columns of your payroll register, record the marital status and number of withholding allowances claimed for each employee, using information provided.2. Record the payroll deductions for the SIMPLE plan that the employer has established for participating employees. All of the employees are participating, and their weekly contributions are listed below. The tax deferral on these deductions applies only to the federal income tax.3. Record the amount of federal income taxes using the wage-bracket method.4. Record the state income taxes on the gross weekly earnings for each employee. The rate is 3.07% for the state of Pennsylvania.5. Record the city income taxes on the gross weekly earnings of each employee. The rate is 3% of the city of Pittsburgh residents. Time Marital No. of SIMPLE Card No.Employee Name Status AllowancesDeductions 11 Carson, Fr… Show more… Show moreNote: Retain your partially completed payroll register for use at the end of Chapter 5.CHAPTER 5 Refer to the partially completed payroll register which you worked on at the end of Chapter 4. You will now compute the employer’s liability for unemployment taxes (FUTA and SUTA) for the pay of January 14. These computations will be used at the end of Chapter 6 in recording the payroll tax entries. To compute the employer’s liability for the unemployment taxes, proceed as follows: ACCT032 – Payroll Accounting1. Enter each employee’s gross earnings in the Taxable Earnings -FUTA and SUTA columns.2. Total the Taxable Earnings-FUTA and SUTA columns.3. At the bottom of your payroll register, compute the following: a. Net FITA tax. Since this is the first pay period of the year, non of the employees are near the $7,000 ceiling; therefore, each employee’s gross earnings is subject to the FUTA tax. b. SUTA tax. Since Kipley Company is a new employer, Pennsylvania has assigned the company a contribution rate of 3.6785% on the first $8,500 of each employee’s earnings. Employer pay 0.07% on total gross pay. Note: Retain your partially completed payroll register for use at the end of Chapter 6. CHAPTER 6 In the last phase of your work on the Continuing Payroll Problem A, you will record the amounts withheld for group and health insurance and calculate the net pay for each employee. Refer to the partially completed payroll registers upon which you were working at the end of Chapter 5, and proceed as follows:1. In the appropriate column of the payroll register, records the amount to withheld for group like insurance. Each employee contributes 85 cents each week toward the cost of group insurance coverage, with the exception of Smith and Schork (Kipley Company), who are not yet eligible for coverage under the company plan.2. Record the amount to be withheld for health insurance. Each employee contributes $1.65 each week toward the cost of health insurance.3. Record the net pay of each employee. The net pay for each employee is obtained by subtracting the total amount of all deductions from the total earnings.4. Each worker is to be paid by check. Assign check numbers commencing with No. 313.5. Foot all money columns of the payroll register, and prove the accuracy of the total columns.6. Prepare the journal entries as of January 12 to record the payroll and the payroll taxes for the week ending January8. Credit Salaries Payable for the total net pay. Use the following tax rates and bases: ACCT032 – Payroll Accounting Employer’s FICA-OASDI 6.2% on the first $113,700 Employer’s FICA-HI 1.45% on the total earnings FUTA 0.6% on the first $7,000 SUTA 3.6785% on the first $8,5007. Prepare the journal entry to record the payment of the payroll on January 14 when the paychecks are distributed to all the workers. Your work on this project is now complete. 28 X V fx =SUM(018:027) A B C DE F GH I J K L M N O P Q R S U V W X Y ZAA AE AC AL AE AF AG AI… Show more… Show more NET PAY TAXABLE EARNINGSAMOUNT OASDI HI FUTA SUTA… Show moreLawSocial ScienceTax law ACCOUNTING 032
