AZT Company has one employee who has worked January - March 15 of the current year. The employee is single, paid semi-monthly, and claims one allowance on his W-2. The federal withholding is $143. The company is in a state that has no state income taxes. The FICA Social Security tax rate is 6.2% on the first $118,500 of wages and the FICA Medicare tax rate is 1.45% on all wages. AZT Company's FUTA tax rate is 0.6% on the first $7,000 of wages and their SUTA tax rate is 1.95% on the first $8,000 of wages.
The employee's earnings thus far are as follows:
| Gross pay Jan - Mar 15th | Â Gross pay for March 31st |
| $6,500 | $1,120 |
Use the information above to calculate the employer's payroll taxes and prepare the journal entry AZT Company will use to record the employer's portion of the payroll taxes for the pay period ended March 31st.
| Date | Description | Debit | Credit |
|---|---|---|---|
| 03/31 | |||
| 03/31 | |||
| 03/31 | |||
| 03/31 | |||
| 03/31 | |||
| 03/31 | to record employer's portion of payroll taxes for the pay period ending March 31st | ||