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Sally's reports the following payroll information for September 2014

Type of Salary: Gross Pay Federal inc. tax withheld Savings Bond Witheld

Sales $10,000 $2,200 $200

Office 3,000 600 300

Total: 13,000 2,800 $500

Tax rate info:

SS 6.2%

Medicare 1.45%

State Income Tax 4.0%

Federal Unemployment 0.8%

State unemployment

Assume that all wages are subject to all payroll taxes

1. Prepare the journal entry to record the employee payroll

2. Prepare the journal entry to record the employer payroll entry

 

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