Answer:
Date Account Title Debit Credit
XX-XX Wages Expense $62,000
Federal Income Tax Withholding Payable $7,440
Social Security Taxes Payable (Employee) $3,844
Medicare Taxes Payable (Employee) $ 899
Cash $49,817
<u>Working </u>
Social Security Taxes Payable (Employee) = 6.2% * 62,000 = $3,844
Medicare Taxes Payable (Employee) = 1.45% * 62,000 = $899
Date Account Title Debit Credit
XX-XX Social Security Taxes Expense (Employer) $3,844
Medicare Taxes expense (Employer) $899
State Unemployment tax expense $75
Social Security Taxes Payable (Employer) $3,844
Medicare Taxes Payable (Employer) $899
State Unemployment tax Payable $75
