Oakton Community College

Accounting 170 – Payroll Accounting

Robert Bruebach

Homework - Week #2

Problem #1

Use the percentage method to compute the federal income taxes to withhold for each employee.

Employee
No. /
Employee Name /
Marital
Status / No. of
Withholding
Allowances / Salary / Pay Frequency / Amount
to Be
Withheld
1 / Amorosa, A. / M / 4 / $1,610 / weekly
2 / Finley, R. / S / 0 / 825 / biweekly
3 / Gluck, E. / S / 5 / 9,630 / monthly
4 / Quinn, S. / M / 8 / 925 / semimonthly
5 / Treave, Y. / M / 2 / 1,975 / monthly

Problem #2

Use the percentage method and wage bracket method to compute the federal income taxes to withhold for each employee.

Amount to Be
Withheld
Employee /
Marital
Status / No. of
Withholding
Allowances / Gross Wage
or Salary / Pay Frequency /
Percentage
Method / Wage-Bracket
Method
Corn, A. / S / 2 / $ 675 / weekly
Fogge, P. / S / 1 / 1,960 / weekly
Felps, S. / M / 6 / 1,775 / biweekly
Carson, W. / M / 4 / 2,480 / semimonthly
Helm, M. / M / 9 / 5,380 / semimonthly

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Oakton Community College

Accounting 170 – Payroll Accounting

Robert Bruebach

Homework - Week #2

Problem #3

Following is a payroll register for the Royster Company located in Illinois. Employees have been paid the same amount on a weekly basis for all year. Complete the payroll register for the pay period ending December 18th, the 51st pay period of the year. Complete the payroll register. Use the wage bracket method, when able, when calculating federal income tax (FIT) and calculate state income tax (SIT) using the Weekly Illinois Tax Table provided on the class website.

For Period Ending December 19th

No. of / No. of Illinois / Deductions / (e)
Marital / Fed. W/H / (Line 1) W/H / Weekly / (a) FICA / (b) / (c) / Net
Employee Name / Status / Allowances / Allowances / Earnings / OASDI / HI / FIT / SIT / Pay
Green, Tom / M / 3 / 3 / $2,550.00
Morris, Maive / S / 1 / 1 / 400.00
Schmidt, Beth / M / 0 / 0 / 490.00
Carr, Herman / S / 2 / 3 / 1,000.00
Wilson, Ronda / S / 1 / 1 / 470.50
Gleason, Wendy / M / 3 / 2 / 880.00
Totals / $5,790.50

Compute the employer’s FICA taxes for the pay period ending December 19.

OASDI Taxes HI Taxes

OASDI taxable earnings: $ HI taxable earnings: $

OASDI taxes: $ HI taxes: $

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Oakton Community College

Accounting 170 – Payroll Accounting

Robert Bruebach

Homework - Week #2

Question #1

T / F On August 3rd, Jason filed an amended Form W-4 with his employer. Jason’s employer is required put the new withholding allowance certificate into effect before the next weekly payday, which is on August 4th.

Question #2

T / F The employer is required to forward all Form W-4’s to the IRS on a quarterly basis.

Question #3

T / F If an employer is filing ten (10) Form W-2’s, the employer must use magnetic media or electronic filing rather than paper Forms W-2.

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