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--. A) the firm's payroll checking account information Ch. 1 Payroll Flashcards | Quizlet A) Both documents contain year-to-date totals of taxes. & \text{ } & \text{ }\\ 13. What is a payroll register? | Heartland C) Both documents contain information from multiple pay periods. Regardless of the format, payroll registers tend to follow the same basic structure. B) Because payroll represents an asset and an income of the business. What is the term for transferring data from the General Journal to the General Ledger? automatically graded as incorrect.) D) The labor report True Which of the following is true of employee's earnings record? Gross wages of $500.00 less withholdings of $38.25 for FICA and $87.25 for federal and state income taxes. a wrong answer. Journal entries? This account is credited for the total amount of FIT with held each payday and is subsequently debited for the amounts paid to a depositary or to the IRS. The other hourly employees receive overtime pay when they work more than 35 hours in one week. A) Ledgering Federal Insurance Contribution Act (FICA), Form 941, Employer's Quarterly Federal Tax Return, Form W-3, Transmittal of Wage and Tax Statements, Applicable pay rates (regular or overtime), Review outgoing costs, either per employee or for the entire organization, Track employee deductions and tax withholding amounts, Reconcile payroll expenses to the general ledger, Record and track employee leave time, such as sick, vacation and paid time off (PTO), Validate direct deposit transactions and employer contributions to deferred compensation plans, such as a, Federal income taxes withheld from employee wages, State and local income taxes withheld from employee wages (if applicable), Federal unemployment taxes payable by the employer, State unemployment taxes payable by the employer, State unemployment taxes withheld from employee wages (if applicable), Benefits and other voluntary deductions from employee wages, Employer contributions to benefits and retirement savings plans. PAYROLL REGISTER Upload your study docs or become a Course Hero member to access this document Continue to access End of preview. C) As expenses View the full answer. D) Health insurance payable Employers use the employee's earnings record in preparing ___. D) Payroll register Purchaseofrentinadvance.4. Basic payroll register templates can be found online or created in programs like Excel. The primary journal entry for payroll is the summary-level entry that is compiled from the payroll register, and which is recorded in either the payroll journal or the general ledger. 8. & \text{ } & \text{ }\\ Use the information in the previous exercise to prepare journal entries for the following events in May. FUTA was designed to ensure that workers who are covered by pension plans receive benefits from those plans, Under ERISA, vesting conveys to employees the right to share in a retirement fund in the event they are terminated before the normal retirement age, Under ERISA, if there is a pension plan, every employee is eligible after reaching age 21 or completing one year of service, whichever is later, ERISA provides for full vesting of the employer's contributions in 3 years or gradually over 6, The total cost of workers' compensation insurance is borne by the employees, Worker's compensation insurance premiums for employers vary according to the different degrees of danger in various classes of jobs and the employers' accident experience rate, Workers' compensation benefits are paid directly to the employer, Only one state has passed a law to provide disability benefits to employees absent from their jobs due to illness, accident, or disease not arising out of their employment, The requisition for personnel form is sent to the Payroll Dept. It records payroll record on each employee separately. Union Dues Payable-liability Want more exclusive business insights like this delivered to your inbox?Subscribe now. 3. C) It allows payroll employees to divert funds into faux accounts. Your sister currently uses 1,700 minutes and sends 1,600 texts each month. Jan 19 Wages and salaries payable 226 8,134. The payroll register is a separate payroll record that is kept on each employee. False, Two complete payroll-related General Journal entries are recorded each pay period: one for the As of the June 11 pay date, the General Ledger account for Burling Mills has a balance of $14, B) It should make a note to create the reversing entry at the end of the next financial period. total Explain the major provisions of the Fair Labor Standards Act. C) Debit Revenue, $250,000; Credit Cash, $250, The Fair Labor Standards Act is commonly known as the Federal Wage and Hour Law. A) It is the fourth entry in the General Journal on that date. BALANCE DATE DESCRIPTION POST REF. Workers' compensation insurance premiums are paid for by the employees, Workers' compensation insurance premiums vary according to the different degrees of danger in the employees' jobs. D) 401(k) contributions Apr 16 J23 16,495 32. How does a debit balance in the wages and salaries expense account affect a firm's income (You may select more than one answer. The volume of manual paycheck entries can be reduced by continual attention to the underlying causes of transaction errors, so there are fewer payroll errors to be rectified with a manual paycheck. Define hours worked. Workers' Commpensation Insurance Expense-Operating expense A payroll register is tool that records wage payment information about each employee - gross pay, deductions, tax withholding, net pay and other payroll-related information - for each pay period and pay date. D) General journal numbers Issuance of bonds.} Solved Instructions Payroll Register Taxable Earnings - Chegg ls the payroll register used for journalizing the payroll entries? Set up payroll accounts If you haven't already, set up your payroll accounts in your chart of accounts (COA). When the employer pays the employee in 2023 for the vacation earned in 2022, what account will the company debit? BALANCE D) One side of the equation must equal zero. D) It adds complexity to the payroll register. B) It must create an adjusting entry to recognize the payroll accrual. C. National Origin Which of these employee types is an allowable exeption to the protection of the Age Discrimination in Employment? Were reimagining what it means to work, and doing so in profound ways. Withholding" and "Earnings subject to FICA"? 31. B) Payroll register After recording this entry, reverse it at the beginning of the following accounting period, and then record the actual payroll expense (as just described under the "Primary Payroll Journal Entry" section whenever it occurs. 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? Saleofequipmentforanotereceivable. At ADP, we believe sports and business both require the right approach. This entry is then reversed in the following accounting period, so that the initial recordation entry can take its place. & \text{ } & \text{ }\\ 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 True, Besides containing the supporting data for periodic tax reports, the employee earnings record On which financial report will employer-paid portions of health insurance premiums be listed? 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. All rights reserved.AccountingCoach is a registered trademark. C) The balance sheet True False. Use the following information for Questions 15 - 17: 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? FIT Payable-liability B. ERISA requires each employer to establish a pension plan. chronologically. Besides payroll information, the payroll register contains ________. & \text{ } & \text{ }\\ Read the latest news, stories, insights and tips to help you ignite the power of your people. each option. Prior year's earnings < Prev 18 of 40 . B) The labor report, C) The statement of owners' equity Didier and Sons had the following employer's share payroll tax general journal entry for the May C) Labor reports Federal withholding tax payable 220 $ ??? On which income statement will the state unemployment tax expense appear under accrual accounting? BALANCE 2. Using the payroll registers, complete the General Journal entries as follows: February 7 Journalize the employee pay. Make payments. Single click the box with the question B) A debit balance will increase the expenses of the firm's income statement. Attend webinars or find out where and when we can connect at in-person events. What portions of an employee's wages are exempt from a federal tax levy. Feb 15 J Rushing River Boats has the following data in its Social Security tax payable General Ledger Gross pay and net pay. Transfer of finished jobs to the finished goods inventory. This entry usually includes debits for the direct labor expense, salaries, and the company's portion of payroll taxes. 54. The ________ is the master document that contains an employee's marital status, deductions, Paymentofincometaxes. Social Security tax payable 221 17,980. ), What is the total amount of FICA that needs, Earn our Payroll Accounting Certificate of Achievement. Purchaseofinventory.7. Payroll Accounting 2018 CH 7 Flashcards | Quizlet A) It must credit the asset accounts for the appropriate payroll amounts. expense 522 $ 12,987. Payroll Test #1 Flashcards | Quizlet and year-to- date earnings. Are newly hired independent contractors covered under federal laws pertaining to new-hire reporting? C) It must remain in balance at all times. How can the information shown in the employees' earnings record be used? Zipperle Company has the following payroll information for the pay period ending September 18, The employers total expense for Marys employment during the week is. Medicare tax payable 3,197. 28. B) It is an individual register maintained for each employee, listing of all the payroll information. A(n) ________ is a collection of cash and other items that are used in the operation of the Solved Record the journal entry to account for employer - Chegg Payment of an account payable.} C) Payroll accounts do not appear on the trial balance because of their changeable nature. Enter the debit amount to clear the existing credit to Payroll Cash from the first journal entry above. Using the payroll register, compute the employee gross pay and net pay using 35 hours as the standard workweek for all employees except Mary Shangraw, who works 20 hours per week and receives overtime for any time worked past that point. What are some examples of secondary sex characteristics? Social Security tax $ 1,670. Complete the Regular Earnings columns (Rate per Hour and Amount) for hourly employees. Two complete payroll-related General Journal entries are recorded each pay period: one for the employees' payroll,one for the employer's share of the taxes. C) It should disburse the accrued pay to the employees. A cell phone company offers two different plans. C) Labor reports C) It is a report designed for external stakeholders. Identify distinctive compensation plans. From best practices to advice and HR consulting. You can think of it as a summary of all the payroll activity during a period. Jul 1 Wages and salaries payable 226 113,562. Gross wages of $500.00 + employer's portion of FICA $38.25 ($500.00 X employer rate of 7.65%) + unemployment tax of $24.00 + worker comp insurance of $5.00. Current period taxable earnings for FICA taxes are as. A) Form W-4 B) Form W-2 C) Payroll register D) Employee earnings record 28. Which of the following records lists all employees who earn remuneration, the amount of remuneration, the deductions, and the net amount paid for each payroll period? 10. What are the main kinds of information contained in a payroll register? Loan to another firm.} Click the card to flip Definition 1 / 66 True Click the card to flip Flashcards Learn Test Match Created by lauraberth67 Terms in this set (66) Does every state have state unemployment laws? He is the sole author of all the materials on AccountingCoach.com. During the past week, the employee worked 50 hours. Switching payroll service providers made easy. An employee is hired at a pay rate of $10 per hour. True, A debit always decreases the balance of an account. 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. Health Insurance payable 224 13,618. & \text{ } & \text{ }\\ Solved Columns included in the payroll register to compute - Chegg Which of the following are processes that occur in most payroll accounting systems? Gross pay and net pay. 2. A payroll register is tool that records wage payment information about each employee gross pay, deductions, tax withholding, net pay and other payroll-related information for each pay period and pay date. Security taxes? 9. department. Chapter 6: Analyzing and Journalizing Payroll, , , AP Lang - Television: The Plug-In Drug (T/V), Don Herrmann, J. David Spiceland, Wayne Thomas, Fundamentals of Financial Management, Concise Edition, Alvin A Arens, Mark A Beasley, Randal J Elder, National Association for the Advancement of Colored People. How will payroll deductions from employees wages for their portion of 401K plans be recorded? 16. Jeremy is single with two withholding allowances. E. Highest-paid 10% of their workforce. 63. Oct 27 Wages and salaries payable 226 202,671. To which items is information from the payroll register transferred? check mark For a correct answer and double click the box with the question mark to empty the C) Because payroll represents a liability and an expense of the business. Discover a wealth of knowledge to help you tackle payroll, HR and benefits, and compliance. B) As equity Solved Required: Complete the payroll register for this pay - Chegg Federal withholding tax payable 220 399,472. A) Form W- True (California, New Jersey, New York & Rhode Island). Raw materials purchases for cash. To prepare period reports and complete Form W-2 for each employee, Fundamentals of Financial Management, Concise Edition, Operations Management: Sustainability and Supply Chain Management, Claudia Bienias Gilbertson, Debra Gentene, Mark W Lehman. What information is commonly provided by a job-seeker on the application for employment form? tax Remittance on February 15? Who are the winners and who are the losers when the minimum wage is increased? Federal withholding tax $ 3,570. Marital status & number of withholding allowances 6. Federal income tax payable 11,955. Can employees view documents in their files that are marked confidential? Wages and salaries payable 226 202,671. True, Employee earnings records form the link between accounting and the human resources ls Form l-9 completed only by employees born in outside of the USA? A) Employee pay accrual and employee pay disbursement The ___ is a multicolumn form used to assemble and summarize the data needed at the end of each payroll period. A. ADEA All earnings are taxable. The accrual entry, as shown next, is simpler than the comprehensive payroll entry already shown, because you typically clump all payroll taxes into a single expense account and offsetting liability account. Payroll journal entries are used to record the compensation paid to employees. 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. Information available through a secured web sit, kiosk, or interactive voice response system. A credit of $16,250 is recorded on the June 25 Plan B costs$0.20 per minute plus $0.10 per text message sent. Answer : Option E, Prior Years Earnings Explanat . Accounting questions and answers. 64. C. All employees under the age of 30. D) The transaction appears on page four of the General Journal. A. ERISA applies to pension and welfare plans established by any employer engages in commerce. C) Credit $1, * Hence, no need to accrue any salaries. The holder of any unclaimed property must file a report after a specified sttutory period and then surrender the money to the stte as abandoned property. B) Employee pay remittance and voluntary deduction remittance 2. var d=new Date(); document.write(d.getFullYear()); ADP, Inc. Find the package that's right for your business. At a minimum, payroll registers help businesses: But thats hardly the extent of how beneficial a payroll register can be. Indirect materials usage. Who pays the social security taxes that are levied by the Federal Insurance Contributions Act? Collection of notes receivable.} pay date. Columns included in the payroll register to compute net pay may include which of the following? 65. C) the name of the firm and the payroll accountant A) Worker's Compensation 20XX: Gross pay $ 27,894. What options might Hazel consider if the The town is considering an ordinance that would prohibit putting Less than five have large-screen TVs? This will decrease PDF Payroll Practice Test - Atunlimited.com What is your sisters total cost under each of the two plans? Age The agreement also states that the two weeks of vacation shall be taken any time in 2023 and the amount paid will be 80 hours multiplied by the employee's rate of pay at December 31, 2022. (You may select more than one answer. Payroll-Operating expense-liability B) FUTA Although they record much of the same information, payroll journals and payroll registers are not identical. Under the U.S. payroll tax a employee has to pay the tax on hi . What is the effect of each of the following posting upon the assets, liabilities, and owner's equity of a company. select more than one answer. Employees with less than a five year tenure of employment. C) Credit $4, E. OASDI. Chapter 7 quiz - the payroll register, employees' earning record, and accounting system entries. C) A debit balance will decrease the expenses of the firm's income statement. D. Religion Based on the following data, prepare the appropriate journal entry when paying employees: Total wages earned were $8000 Health Insurance payable 224 8,375. How does the FIFO method different from the weighted-average method? 10. Saleoflandforcash.3. Deductions. mark to produce a Check mark for a correct answer and double click the box with the question account: ACCOUNT Federal withholding tax payable ACCOUNT NO. Access the definitive source for exclusive data-driven insights on todays working world. 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. B) It is employee labor that does not pertain to labor on customer jobs. & \text{ } & \text{ }\\ B) Payroll register 1. The lower payroll 7. The payroll register lists all the employees who earned remuneration, the amount of remuneration, the deductions, and the net amount paid. below deck mediterranean 2022 cast. A) Medicare tax Payroll Accounting quiz 6 Flashcards | Chegg.com Direct labor usage. Once vested, can employees receive a pension at retirement even if they no longer work for that company? \text{3. expense 522 $ 182,930. Ring up sales and take payments in style with the sleek touchscreen Register device Make it mobile Every Register comes with a PAX A920 terminal to use as a mobile credit card reader Add on wireless POS hardware Complete your hardware suite with Bluetooth barcode scanners, receipt printers and cash drawers Hardware that won't hold you back Any boxes Left with a question mark will be automatically graded as incorrect.) A. ADP hires in over 26 countries around the world for a variety of amazing careers. Payroll Accounting - 12-04 Short Version - Cengage But if you follow these seven steps, you can learn how to account for payroll with ease. pay D) Employee pay recording and employer share payroll taxes recording account: Social Security tax payable ACCOUNT NO. Not only will this make it easier for you to pay your taxes and do payroll reconciliation, but it also allows employees to better understand their finances. B) tax remittance information The following totals for the month of April were taken from the payroll What is the role of enhancing qualities in the conceptual framework? Saleoflandforcash. A) Debit Cash $27,237; Credit Health Insurance Payable $27,237. Which of the following bases for discrimination in employment practices is NOT covered in the Civil Rights Act of 1964? 1. Employee SIT Payable-liability Which financial statements are affected in the year 2022? Payroll registers include all of the information in a pay period for all employees. Learn more about Privacy at ADP, including understanding the steps that weve taken to protect personal data globally. Read more about the author. We provide payroll, global HCM and outsourcing services in more than 140 countries. Verify the date and enter General as the reference. the total incomes of the firm and decrease the net income of the firm. the box With the question mark to empty the box for a wrong answer. Transaction1. Heartland Register the All-in-one POS System | Heartland B) Debit Cash, $250,000; Credit Revenue, $250, Rushing River Boats has the following data in its Social Security tax payable General Ledger B) Credit $1, View notices and letters. 55. accurate disbursal of payroll. e-Services for Business - Employment Development Department Report changes to your business. Which of the following best describes the purpose of the payroll register? Of the items in the following list, which one (s) should appear in a payroll register? DATE DESCRIPTION POST REF. The information provided in the payroll register is used primarily to meet the requirements of the Fair Labor Standards Act. Those who have not worked at least one year and at least 1,250 hours in the previous 12 months for the company. It exists in many forms, from manual booklets and ad-hoc registers created in Excel to reports produced by dedicated payroll software. under the Civil Rights Act of 1964, the U.S. Government is classified as an exempt employer. 29. Transcribed image text: Columns included in the payroll register to compute net pay may include which of the following? Deductions. Payroll Flashcards | Quizlet Payroll Term 1 / 52 Garnishments are court-ordered amounts that an employer must withhold from an employee's post-tax pay and remit the amount to the appropriate authority. (You may Hours worked. Does FLSA require the employer to display a poster with the FLSA rules? B. ERISA the health Insurance is qualified under Section 125? B. The employee's earnings records is used in preparing the employees' W-2 forms. posted an additional $4,390 on its October 31 pay date. Dont just take our word for it.