1. CENTURY 21 ACCOUNTING © Thomson/South-Western LESSON 3-2 Recording a Payroll and Payroll Taxes Modified by D. Burns West Johnston High School

2. CENTURY 21 ACCOUNTING © Thomson/South-WesternModified by D. Burns West Johnston High School 1.Write the date. 2.Record the salary expense accounts. 3.Enter the check number. 4.Write the salary expense amounts. 5.Enter the liability accounts. 6.Record the liability amounts. 7.Write the net pay. JOURNALIZING PAYMENT OF A PAYROLL page 71 1 3 7 2 5 4 6

3. CENTURY 21 ACCOUNTING © Thomson/South-WesternModified by D. Burns West Johnston High School Audio Department Payroll Taxes Expense CALCULATING EMPLOYER PAYROLL TAXES page 72

4. CENTURY 21 ACCOUNTING © Thomson/South-WesternModified by D. Burns West Johnston High School 1.Write the date. 3.Write the source document. 4.Record the amount of payroll taxes. 2.Write expense account titles. 6.Enter the liability amounts. 5.Write the liability account titles. JOURNALIZING EMPLOYER PAYROLL TAXES page 73 13 2 56 4

5. CENTURY 21 ACCOUNTING © Thomson/South-WesternModified by D. Burns West Johnston High School 1.Write the date. 3.Write the check number. 5.Record the amount paid. 4.Enter the liability amounts. 2.Enter the liability accounts. JOURNALIZING PAYMENT OF FEDERAL INCOME TAX, SOCIAL SECURITY TAX, AND MEDICARE TAX LIABILITY page 74 1 2 3 4 5

6. CENTURY 21 ACCOUNTING © Thomson/South-WesternModified by D. Burns West Johnston High School 5.Record the amounts paid. 1.Write the date. 3.Write the check numbers. 4.Enter the liability amounts. 2.Enter the liability accounts. JOURNALIZING PAYMENT OF FEDERAL UNEMPLOYMENT TAX LIABILITY page 75 1 2345

7. CENTURY 21 ACCOUNTING © Thomson/South-WesternModified by D. Burns West Johnston High School TERMS REVIEW automatic check deposit electronic funds transfer (EFT) page 76