B) Equity McHale Enterprises has the following incomplete General Journal entry for the most recent pay At ADP, we say that were Always Designing for People, starting with our own. False, Two complete payroll-related General Journal entries are recorded each pay period: one for the below deck mediterranean 2022 cast. True False. When you later pay the withheld taxes and company portion of payroll taxes to the IRS, you then use the following entry to reduce the balance in the cash account, and eliminate the balances in the liability accounts: It is quite common to have some amount of unpaid wages at the end of an accounting period, so you should accrue this expense (if it is material). Payroll-Operating expense-liability E. All of the above are provisions of ERISA. Type an equals sign (=) to signal the fact that the cell contains a formula. C) Employee pay disbursement and voluntary deduction remittance Compute and record the Kipley Company's SUTA and FUTA contributions. Its easier to keep accurate payroll records and run reports quickly with payroll software. Purchase of rent in advance.} Whenever employers withhold taxes and deductions from wages, pay employees or deposit tax payments with government agencies, that information should be simultaneously documented in the payroll register. Zipperle Company has the following payroll information for the pay period ending September 18, \text{Transaction} & \text{Type of Activity} & \text{Cash Inflow or Outflow}\\ \hline When a firm has wages earned but not yet paid at the end of a financial reporting period, what Payment of income taxes.} Federal income tax payable 11,955. At a minimum, payroll registers help businesses: But thats hardly the extent of how beneficial a payroll register can be. & \text{ } & \text{ }\\ Under FMLA, may an employer substitute an employee's earned paid leave for part of the 12-week family leave? C) Payroll accounts do not appear on the trial balance because of their changeable nature. Raw materials purchases for cash. Any boxes left with a In this last task, the following steps will be completed. Saleoflandforcash. Does FLSA require all employees to be paid weekly, biweekly', monthly? You need to have a record of how many hours your employees have worked, their gross salary, tax withholdings, and all other deductions. For example, there may be deductions for 401(k) pension plans, health insurance, life insurance, vision insurance, and for the repayment of advances. 1. FICA (Federal Insurance Contributions Act). How will payroll deductions from employees wages for their portion of 401K plans be recorded? A) The statement of owners' equity Want more exclusive business insights like this delivered to your inbox? Q09. Workers' Commpensation Insurance Expense-Operating expense Make payments. This will increase the 220 The payroll register lists all the employees who earned remuneration, the amount of remuneration, the deductions, and the net amount paid. 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? Authorize a power of attorney. D) Company website B) It contains a detailed listing of every transaction during a period. A) As assets Purchaseofrentinadvance. What are the General Journal entries that should appear on each pay date? Payroll Accounting quiz 6 Flashcards | Chegg.com "I am an engineer pursuing an MBA diploma and accounting & financial economics have been a huge challenge for me to overcome. e-Services for Business - Employment Development Department What are the General Journal entries that should appear on each pay date? 16. A) By order of importance These details include the employee id number, the department they belong, their job profile, etc. Jan 19 Wages and salaries payable 226 8,134. If the expected returns are 3.8%3.8 \%3.8% for the T-bills, 12.3%12.3 \%12.3% for the large-company stocks, and 17.4%17.4 \%17.4% for the small-company stocks, what is the expected return of the portfolio? 3. 3. ), What is the total amount of FICA that needs, Earn our Payroll Accounting Certificate of Achievement. lf both federal and state regulations cover minimum wages for the same employee, is the federal rate always used for the minimum wage? Laborers for contractors who furnish materials, supplies, articles, and equipment to any agency of the United States, provided the minimum contract amount is $10,000. Discover the latest Today at Work insights from the ADP Research Institute. C) It allows payroll employees to divert funds into faux accounts. Who are the winners and who are the losers when the minimum wage is increased? The entry to record vacations earned in 2022 will affect Vacation Expense on the 2022 income statement and Vacation Payable, a liability on the 2022 balance sheet. Employers use the employee's earnings record in preparing ___. Which financial statements are affected in the year 2022? D) 401(k) contributions What special accounts must usually be opened in the general ledger to record payroll tax entries? Payroll Accounting 2018 CH 7 Flashcards | Quizlet Which items would be debited in the General Journal entry to record the employees' share of What are the enhancing qualities of the qualitative characteristics? each option. C. National Origin Payment of an account payable.} Saleofequipmentforanotereceivable.10. Purchase of treasury stock.} A) It must credit the asset accounts for the appropriate payroll amounts. The current minimum wage set by the Fair Labor Standards Act is $7.25 per hour, The FLSA imposes no record keeping requirements on employers, The employer is required by the FLSA to display a poster that informs employees of the provisions of the law, All states have set their minimum wage to be the same as the Federal government, Under the Federal Insurance Contributions Act, the Medicare portion of the tax is only paid by the employer, The FLSA provides health insurance for the aged and disabled(medicare), The tax paid to the federal government for unemployment taxes is used for paying state and federal administrative expenses of the unemployment program, The Self-Employment Contributions Act imposes a tax on the net earnings from self-employment derived by an individual from any trade or business, Each state imposes an income tax on employees that is 2 percent of gross wages, Only six states do not impose a state unemployment tax on employers in their state, One of the provisions of coverage of the Civil Rights Act is that the employer must have 15 or more workers, Title VII of the Civil rights Act protects all employees from arbitrary dismissal, By the use of executive orders, the federal government has banned discrimination in employment on government contracts, Employers not subject to Title VII coverage may come within the scope of the Civil Rights Act by reason of a contract or subcontract involving federal funds, Under the Civil Rights Act of 1964, the U.S. government is classified as an exempt employer, An exemption to the protection that the Age Discrimination in Employment Act provides for all workers over 40 involves executives who are 65 or older and who have held high policy making positions during the 2 year period prior to retirement, Under the Federal Personal Responsibility and Work Opportunity Reconciliation Act, every employer is required to report the name, address, and social security number of each new employee to the appropriate state agency, Form I-9 must be completed by each new hire, Employers are now required to photocopy new employees' form I- 9 documents, In order for the Walsh-Healey Public Contracts Act to protect laborers for contractors who furnish materials to any agency of the U.S., the contract amount must be at least $10,000, Under FMLA, the time off must be used in one uninterrupted period of time. 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--. This check may be paid through the corporate accounts payable bank account, rather than its payroll account, so you may need to make this entry through the accounts payable system. D. ERISA provides that all employees are eligible to set up their own individual retirement accounts. Which of the following is an example of a trade association? answer And double click the box with the question mark to empty the box for a wrong answer. Listed below are several transactions. entry? What is the current minimum wage under FLSA? Health Insurance $ 950. automatically graded as incorrect.) Chapter 6 Review Payroll Flashcards | Quizlet What Is A Payroll Register - Forbes Advisor This sort of regular data-entry routine, when strictly adhered to, can help ensure accurate payroll records. D) One side of the equation must equal zero. View the full answer. On which financial report will employer-paid portions of health insurance premiums be listed? 1. E. 65, Which of the following is not a provision of the Fair Labor Standards Act? D) Credit $30. question mark Will be automatically graded as incorrect.) incorrect.) It helps employers reconcile their payroll transactions and prepare quarterly and year-end tax reports. A payroll register can also . Requirements: Record the deduction for group insurance. Recorded as a liability for the employer in the payroll entry. & \text{ } & \text{ }\\ The payroll register contains ________. Should an employer in Philadelphia record the liability for the withholding of all three income taxes in one liability account such as INcome Taxes Payable? in its Federal withholding tax payable account. The completed Payroll Register for the February and March biweekly pay periods is provided, assuming benefits went into effect as anticipated. Which of the following acts prohibits discriminating in hiring, firing, promoting, compensating, or in nay other condition of employment on the basis of race, color, religion, gender, or national origin? Report new employees or independent . ls the Federal Government covered under the Civil Rights Act of 1964? C) Employee signature the health Insurance is qualified under Section 125? You face specific challenges that require solutions based on experience. The total of each distribution column shows the total amount of that department's wage expense. A) It is the fourth entry in the General Journal on that date. the payroll register, employees' earning record, and accounting system entries the purpose of the net pay and check number columns in the payroll register is to Skip to document Ask an Expert Sign inRegister Sign inRegister Home Ask an ExpertNew My Library Discovery Institutions Silver Creek High School (Colorado) Southern New Hampshire University posted an additional $4,390 on its October 31 pay date. 34. Want to read all 11 pages? 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. 221 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. Payroll liabilities are any type of payment related to payroll that a business owes but has not yet paid. Are FICA taxes levied upon employers only? C) Debit $ To rule the payroll register means that the payroll accountant establishes procedures about the payroll register. Under the FLSA, what information concerning employees' wages earned must be maintained by the employer? All rights reserved.AccountingCoach is a registered trademark. Simplify and unify your HCM compliance processes. $y = -x - 4$. The information provided in the payroll register is used primarily to meet the requirements of the Fair Labor Standards Act. 11. D) It may contain whatever accounts the accountant wishes to include. The primary payroll journal entry is for the initial recordation of a payroll. Rushing River Boats has the following data in its Social Security tax payable General Ledger Our online store for HR apps and more; for customers, partners and developers. See Answer. ERISA provides for full vesting of the employer's contributions in three years or gradually over six. He is the sole author of all the materials on AccountingCoach.com. D. All employees earning the minimum wage. Collectionofanaccountreceivable.5. Feb 15 J Under the U.S. payroll tax a employee has to pay the tax on hi . 8. The employers total expense for Marys employment during the week is. For advanced capabilities, workforce management adds optimized scheduling, labor forecasting/budgeting, attendance policy, leave case management and more. Sale of equipment for a note receivable.} Payroll data for the current week are as follows: hours worked, 46; federal income taxwithheld, $110; cumulative earnings for the year prior to this week, $24,500; Social security tax rate, 6% on maximum of $100,000; and Medicare tax rate, 1.5% on all earnings; state unemployment compensation tax, 3.4% on the first $7,000; federal unemployment A credit of $16,250 is recorded on the June 25 pay date. Because of the amount of sensitive information included in the payroll register, access tends to be limited only to those authorized within a company, such as the payroll manager. on taxes like FICA, FUTA, and SUTA? B) Employee earnings record 14. Protection under the provisions of the Age Discrimination in Employment Act begins at what age? D) A debit balance will increase the income of the firm's income statement. 66. Employers can exempt the following employees from the Family and Medical Leave Act. Take your organization to the next level with tools and resources that help you work smarter, regardless of your businesss size and goals. This entry usually includes debits for the direct labor expense, salaries, and the company's portion of payroll taxes. How are the funds used which are provided by FUTA and SUTA? and year-to- date earnings. Saleofequipmentforcash.TypeofActivityOCashInfloworOutflowCO. 54. 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? 221 ls the payroll register used for journalizing the payroll entries? The portion of the Federal Insurance Contributions Act that deals with Social Security is called. What is the (You may select more than one answer. What are the main kinds of information contained in a payroll register? Solved Instructions Payroll Register Taxable Earnings - Chegg Neither The Balance Sheet Nor The Income Statement. (You may select more than one answer. E. OASDI. A payroll register is a valuable tool that records employee wage information for each pay period and pay date. & \text{ } & \text{ }\\ Solved A payroll register does not include: Multiple Choice - Chegg A) Both documents contain year-to-date totals of taxes. Issuance of bonds.} A) It may be expressed as assets + liabilities = owners' equity. It indicates, "Click to perform a search". Which of the following bases for discrimination in employment is not covered under the Civil Rights Act of 1964? department. 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. In other words, a payroll register is the document that records all of the details about employees' payroll during a period. Q08. All earnings are taxable. Rate of pay 8. Can employees view documents in their files that are marked confidential? Verify the date and enter General as the reference. The information in the payroll register forms the basis for entries in the Employee Earnings Records and the General Journal. Which basic records are generated in most payroll accounting systems? This will increase chronologically. Payroll Register This is the first task to completing Olney Company's payroll register. The completed Payroll Register for the February and | Chegg.com Purchaseoftreasurystock. Indirect labor usage. A) It is employee labor that may be billed to customers. This entry is then reversed in the following accounting period, so that the initial recordation entry can take its place. var d=new Date(); document.write(d.getFullYear()); ADP, Inc. Find the package that's right for your business. C) Credit $4, Under the Family and Medical Leave Act, employers can exempt an employee who has not worked for the employer for at least one year and has worked for the company for at least 1,250 hours in the last year. The Federal Insurance Contributions Act covers restrictions on the employment of child labor. 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. Social Security tax payable ??? B) It facilitates accuracy in employee payroll tax computations. The other hourly employees receive overtime pay when they work more than 35 hours in one week. \text{10. B) FUTA ADP is a better way to work for you and your employees, so everyone can reach their full potential. PDF Payroll Practice Test - Atunlimited.com Chapter 7 quiz - the payroll register, employees' earning - StuDocu Employee FIT Payable-liability mark to produce a Check mark for a correct answer and double click the box with the question U.S. government T-bills account for 45%45 \%45% of the portfolio, large-company stocks constitute another 40%40 \%40%, and small-company stocks make up the remaining 15%15 \%15%. (You may select more than one answer. 1. Issuanceofcommonstock.6. From best practices to advice and HR consulting. Why is it important to have columns on the payroll register title "Earnings subject to Federal A) A debit balance will increase the expenses of the firm's income statement. A) Net pay account: Social Security tax payable ACCOUNT NO. For fill-in-the-blank questions, press or click on the blank space provided. B) Employee address During the past week, the employee worked 50 hours. What does the Civil Rights Act of 1954 cover? A) Medicare tax \text{15. C) Cross-referencing ls Form l-9 completed only by employees born in outside of the USA? Purchaseofinventory. False, The General Journal contains records of a firm's financial transactions, which appear 9. C) It is the fourth repetition of the same entry. Focus on what matters most by outsourcing payroll and HR tasks, or join our PEO. 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. lf an investigative consumer report is used in an employment decision, does the employer need to tell the individual? 17. 39. What is the effect of each of the following posting upon the assets, liabilities, and owner's equity of a company. Federal withholding tax $ 3,570. expense 522 $ 12,987. ADP helps organizations of all types and sizes unlock their potential. (You may Federal withholding tax payable 220 $ 50,725. A) $2,253. Record the regular hours and the overtime hours worked for each employee, using the time clerk's report as your reference. Explain the use of the "Cumulative" column in the employee's earnings record. Which of the following laws establishes the minimum wage? 19. D) The transaction appears on page four of the General Journal. B. A payroll liability can include wages an employee earned but has not yet received, taxes withheld from employees, and other payroll-related costs. A) $1,582. 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. Every state imposes a state unemployment tax on employers in their state. Does FLSA require the employer to display a poster with the FLSA rules? Social Security tax payable 221 10,517. Of the items in the following list, which one (s) should appear in a payroll register? C) Garnishment For superior accuracy, many smalland largebusinesses rely on automated digital payroll solutions, such as those offered by ADP, which can integrate with accounting software and other programs. & \text{ } & \text{ }\\ 27. From recruitment to retirement, getting the very best out of your people. These entries are then incorporated into an entity's financial statements through the general ledger. The lower the payroll Information available through a secured web sit, kiosk, or interactive voice response system. E. Sex, Which of the following statements is NOT a provisions of ERISA? Fair Labor Standards Act 9. Read more about the author. What is a use of a firm's labor trend reports? Cash 101 202,671. in sin did my mother conceived me meaning D) Employer's Federal Income tax, Which of the following columns would be used as part of a general journal entry? the box With the question mark to empty the box for a wrong answer. Savings bonds payable 227 1,850. PAYROLL Flashcards | Quizlet The key types of payroll journal entries are noted below. D) Debit $8. D) General journal numbers B) By dollar amount Vesting conveys to employees the right to share in the retirement fund in the event they are terminated before the normal retirement age. What is the term for transferring data from the General Journal to the General Ledger? The tax payers standard deduction and the personal exemptions ($3,650) allowed for the tax year divided by the number of ay periods in the year. Which act covers employee pension and welfare plan.?