Section+3

=Preparing Payroll Records=

Payroll Register
A payroll register is used to record payroll information. It summarizes the payroll for one pay period and shows total earnings, payroll withholdings and net pay of all employees. Below is an example Payroll Register and the steps for filling out a payroll register.

Mr. Selby's social security tax deduction, $73.91, is recorded in column 5 of the payroll register. Mr. Selby's total earnings for the year have not exceeded the social security tax base, so his total earnings for the pay period are taxed. || Rudy Ruiz || health insurance premium is $60.00. || Jonathan Gibbons || || Mrs. Sullivan || || Mrs. Sullivan ||
 * ~  ||~ Preparing a Payroll Register ||~   ||
 * Steps ||  || By: ||
 * 1 || Enter the LAST date of the semimonthly payroll period at the top of the register. || Mrs. Sullivan ||
 * 2 || Enter the date of payment, December 15, 20-, at the top of the payroll register. || Sarah Hill ||
 * 3 || For each employee, enter employee number, name, marital status, and number of allowances. || Jenna Jarnagin ||
 * 4 || Enter regular earnings, overtime earnings, and total earnings for each employee in columns 1, 2, and 3 of the payroll register. This information is taken from each employee's time card. || Jocelyn Camarillo ||
 * 5 || Enter in column 4 the federal income tax withheld from each employee. Mr. Selby's federal tax withholding $63.00 || Abril Santoyo ||
 * 6 || Enter in column 5 of the payroll register the social security tax withheld from each employee.
 * 7 || Enter in column 6 the Medicare tax withheld from each employee. || Alex Roberts ||
 * 8 || Enter in column 7 the health insurance premium deductions. Mr. Selby's semimonthly
 * 9 || Enter in column 7 the health insurance premium deductions. || Chelsea Wagner ||
 * 10 || After you have entered all the deductions in the register, add all the deduction amounts for each employee separately and enter them into column 9 (total deductions).
 * 11 || Determine the net pay for each employee by taking the total deductions amount and subtracting it from the total earnings to give you your net pay. Then put the net pay amount in column 10 (net pay).
 * 12 || Total, prove and rule the register. Total EACH column! Check yourself - Subtract the total deductions from the total earning this number should equal your total net pay number. If they do not match errors must be found and corrected! || Mrs. Sullivan ||
 * 13 || Payroll checks are written, calculations are verified, and a partner approves payroll. || Robin Hamilton ||

Employee Earnings Records

 * A business MUST send QUARTERLY reports to the state and federal government showing the taxes withheld from employee earnings. (Mrs. Sullivan)
 * An employee's earning record is a business for used to record details affecting payments made to an employee. (Jenna Jarnagin)
 * An employee's earnings and deductiosn for each pay period are summarized on one line of the employee earnings record. (Chelsea Wagner)
 * Detailed information about each employee's earnings is summarized in a single record for each employee. (Sarah Hill)

Below is an example and steps of how to transfer information from the payroll register to the employee earnings record.


 * ~  ||~ Preparing an Employee Earnings Record ||~   ||
 * Steps ||  || By ||
 * 1 || Enter the last day of the yearly quarter, at the top of the earnings record. || Robin Hamilton ||
 * 2 || Enter the employee's number, name, marital status, witholding allowances, hourly rate, social security number, and position in the provided space. This information is taken from the employee's personnel records. || Chelsea Wagner ||
 * 3 || Enter the fiscal year's accumulated earnings for the beginning of the current quarter. Mr. Selby's accumulated earnings for the first three quarters ended September 30 are $ 18,432.00 || Jon Gibbons ||
 * 4 || Enter the last date of the pay period being recorded. || Alex Roberts ||
 * 5 || Enter the earnings, deductions, and net pay in the columns of the employee earnings record. This information is taken from the current pay period's payroll register. || Rudy Ruiz ||
 * 6 || The accumulated earnings column shows the total earnings for Mr. Selby since the first of the year. || Abril Santoyo ||
 * 7 || At the end of each quarter, total and prove the earnings record for each employee. Calculate quarterly totals for each amount column. Subtract the Total Deduction column from the Total Earnings column. The result should equal the total of the Net Pay column. If the totals do not agree, the errors must be found and corrected. Proving the accuracy of Mr. Selby's fourth quarterly totals is shown. || Jocelyn Camarillo ||

13.3 Review

 * 1) //What does the payroll register summarize?//
 * 2) //How is net pay calculated?//
 * 3) //Why do companies complete employee earnings records?//