Employees' Earnings and Taxes
Note: For this exercise, use the following tax rates:
FICA-Employer and employee, 8% of the first $100,000 of earnings per employee per calendar year.
State unemployment-4% of the first $8,000 of earnings per employee per calendar year.
Federal unemployment-1% of the first $8,000 of earnings per employee per calendar year.
Federal income tax withholding-15% of each employee's gross earnings, unless otherwise stated.
A weekly payroll summary made from labor time records shows the following data for Victory Parkway Inc.: