FICA expense: warehouse

Under the accrual method of accounting, this account reports the employer's portion of the Social Security and Medicare tax that pertains to the period indicated in the heading of the income statement, whether or not the company has paid/remitted the FICA taxes within this time period. Since this account involves the warehouse functions of the business, the expense should be reported in the same section of the company's income statement as the warehouse salaries and wages are reported.