Question

Beth Corbin’s regular hourly wage rate is $16, and she receives an hourly rate of $24 for work in excess of 40 hours. During a January pay period, Beth works 45 hours. Beth’s federal income tax withholding is $95, and she has no voluntary deductions. Use January 15 for the end of the pay period and the payment date. Prepare the journal entries to record (a) Beth’s pay for the period and (b) the payment of Beth’s wages

Answer 1

Date	Account Titles and Explanation	Debit	Credit
January 15	Salaries and wages expense	760.00		=(40*16)+(5*24)
	Federal income tax withholding payable		95.00
	FICA payable		58.14	=760*7.65%
	Salaries and wages payable		606.86
January 15	Salaries and wages payable	606.86
	Cash		606.86