Problem
MRI Company has one employee. FICA Social Security taxes are 6.2% of the first $106,800 paid to its employee, and FICA Medicare taxes are 1.45% of gross pay. For MRI, its FUTA taxes are 0.8% and SUTA taxes are 2.9% of the first $7,000 paid to its employee.
Gross Pay through August Gross Pay for September
a. $ 6,600 $ 825
Prepare the employer's September 30 journal entries to record the employer's payroll taxes expense and its related liabilities.