Using the Information Below,determine the Amount of the Payroll Tax

question 80

Short Answer

Using the information below,determine the amount of the payroll tax expense for B.Hope Company's first payroll of the year.In your answer list the amounts for FICA (OASDI and Medicare),SUTA,and FUTA.
$$\begin{array} { l c } \text { Employee } & \text { Taxable Earnings } \\\hline \text { K. Wilson } & \$ 600 \\\text { K. James } & 520 \\\text { T. Paulsen } & 300\end{array}$$
Assume:
FICA tax rates are: OASDI 6.2% on a limit of $117,000 and Medicare 1.45%.
State Unemployment tax rate is 5.0% on the first $7,000.
Federal Unemployment tax rate is 0.8% on the first $7,000.

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Definitions:

Frequent Job Changes

The practice of changing jobs more often than is typical, which can reflect a variety of career strategies or market conditions.

Employment Gaps

Periods of time when an individual was not employed, which may appear in their work history.

Relevant Experiences

Past activities or jobs that directly relate to the position or task at hand, demonstrating suitability and competence.

Increased Responsibilities

The addition of more duties or tasks to a person's role, often accompanied by greater expectations for performance.