This course is INACTIVE
School
Business, Entrepreneurship, and Professional Development
Division
Business & Economics
Department
Accounting
Academic Level
Undergraduate
Course Subject
Business Accounting
Course Number
120
Course Title
Introduction to Payroll Accounting
Credit Hours
2.00
Instructor Contact Hours Per Semester
32.00 (for 15-week classes)
Student Contact Hours Per Semester
32.00 (for 15-week classes)
Grading Method
A-E
Pre-requisites
BAC-110 or BAC-131, both with a "C" grade or better
Catalog Course Description
Presents the calculation of payroll, the completion of payroll taxes, and the preparation of payroll records and reports. Covers the various phases of the Social Security Taxes, Federal Income Taxes, State Income Taxes, and Unemployment Compensation Insurance.
Goals, Topics, and Objectives
Core Course Topics
- Processing a New Employee
- Define and interpret the Fair Labor Standards Act.
- Use the IRS “Circular E” or Publication 15.
- Complete various forms for new employees including the W-4 and I-9.*
- Create an employee file and earnings record.
- Calculating Employee Pay
- Distinguish between salaries and wages.
- Define and calculate overtime pay.
- Calculate incentives, commissions, piecework, and bonuses.
- Establish a payroll register.
- Federal and State Income Tax Withholding
- Identify and distinguish between mandatory and voluntary deductions.
- Determine taxable earnings.
- Calculate federal income tax withholding using the Wage-Bracket and Percentage methods.
- Calculate state and local income tax withholding.
- FICA Taxes and Voluntary Deductions
- Calculate Social Security and Medicare tax
- Apply various voluntary deductions.
- Prepare employee payroll journal entries.
- Federal and State Unemployment Taxes
- Calculate Federal Unemployment Tax (FUTA).
- Calculate State Unemployment Tax (SUTA).
- Determine matching employer taxes.
- Account for non-employee compensation.
- Calculate self-employment tax.
- Prepare employer payroll tax journal entry.
- Periodic and Year-End Payroll Reporting
- Prepare the necessary payroll journal entries.
- Complete quarterly Form 941, year-end Form 940, and any required quarterly state filings.
- Complete year-end Form W-2, W-3, and any required annual state filings.
Assessment and Requirements
Assessment of Academic Achievement
Students will be assessed through tests, quizzes, in-class activities, outside assignments using an online homework management system, and/or class participation.
Outcomes
Satisfies Wellness Requirement
No
Approval Dates
Effective Term
Winter 2022