For all payroll calculations, use the following tax rates and round amounts to the nearest cent.

Employee: OASDI: 6.3% on first $110,000 earned; Medicare: 1.24% up to $400,000, 2.01% on earnings above $400,000.

Employer: OASDI: 6.3% on first $110,000 earned; Medicare: 1.24%; FUTA: 0.1% on first $8,000 earned; SUTA: 5.4% on first $8,000 earned.

Reyes's Mexican Restaurant incurred salaries expense of $50,000 for 2020. The payroll expense includes employer FICA tax, in addition to state unemployment tax and federal unemployment tax. Of the total salaries, $15,000 is subject to unemployment tax. Also, the company provides the following benefits for employees:

• health insurance (cost to the company, $2,500)
• life insurance (cost to the company, $360)
• and retirement benefits (cost to the company, 5% of salaries expense).

Journalize the employee benefits and payroll taxes for Reyes's Mexican Restaurant.

Journal

Date	Description	Debit	Credit
	A/PA/RCashFIT PayableFUTA PayableHealth Ins. PayableLife Ins. PayableM-Care Tax PayablePayroll PayablePayroll Tax ExpenseQASDI Tax PayableRetirement Benefits Pay.SUTA PayableSalaries PayableSalary ExpenseSit PayableUnited Way PayableWages ExpenseWages Payable
	A/PA/RCashFIT PayableFUTA PayableHealth Ins. PayableLife Ins. PayableM-Care Tax PayablePayroll PayablePayroll Tax ExpenseQASDI Tax PayableRetirement Benefits Pay.SUTA PayableSalaries PayableSalary ExpenseSit PayableUnited Way PayableWages ExpenseWages Payable
	A/PA/RCashFIT PayableFUTA PayableHealth Ins. PayableLife Ins. PayableM-Care Tax PayablePayroll PayablePayroll Tax ExpenseQASDI Tax PayableRetirement Benefits Pay.SUTA PayableSalaries PayableSalary ExpenseSit PayableUnited Way PayableWages ExpenseWages Payable
	A/PA/RCashFIT PayableFUTA PayableHealth Ins. PayableLife Ins. PayableM-Care Tax PayablePayroll PayablePayroll Tax ExpenseQASDI Tax PayableRetirement Benefits Pay.SUTA PayableSalaries PayableSalary ExpenseSit PayableUnited Way PayableWages ExpenseWages Payable
	A/PA/RCashFIT PayableFUTA PayableHealth Ins. PayableLife Ins. PayableM-Care Tax PayablePayroll PayablePayroll Tax ExpenseQASDI Tax PayableRetirement Benefits Pay.SUTA PayableSalaries PayableSalary ExpenseSit PayableUnited Way PayableWages ExpenseWages Payable
	A/PA/RCashFIT PayableFUTA PayableHealth Ins. PayableLife Ins. PayableM-Care Tax PayablePayroll PayablePayroll Tax ExpenseQASDI Tax PayableRetirement Benefits Pay.SUTA PayableSalaries PayableSalary ExpenseSit PayableUnited Way PayableWages ExpenseWages Payable
	A/PA/RCashFIT PayableFUTA PayableHealth Ins. PayableLife Ins. PayableM-Care Tax PayablePayroll PayablePayroll Tax ExpenseQASDI Tax PayableRetirement Benefits Pay.SUTA PayableSalaries PayableSalary ExpenseSit PayableUnited Way PayableWages ExpenseWages Payable
	A/PA/RCashFIT PayableFUTA PayableHealth Ins. PayableLife Ins. PayableM-Care Tax PayablePayroll PayablePayroll Tax ExpenseQASDI Tax PayableRetirement Benefits Pay.SUTA PayableSalaries PayableSalary ExpenseSit PayableUnited Way PayableWages ExpenseWages Payable