Question

i fugured out SUTA but need help finding the FUTA tax for each question. my book uses 2017 tax rates. please help show steps.

1: An employer in Delaware City, Delaware, employs two individuals, whose taxable earnings to date (prior to the current pay period) are $6.100 and $8.800. During the current pay period, these employees earn $1,380 and $2.360. respectively. The applicable SUTA tax rate is 2.1%, and the Delaware SUTA threshold is $16.500 FUTA tax = $ SUTA tax = $ 391.44 78.54 2: An employer in Bridgeport, Connecticut, employs three individuals, whose taxable earnings to date (prior to the current pay period) are $5,500. $12.900, and $14.2002 During the current pay period, these employees eam $1,980, $1,940, and $2,300, respectively. The applicable SUTA tax rate is 4.9%, and the Connecticut SUTA threshold is $15,000. FUTA tax = $ SUTA tax - $ 24 30X 23128 3: An employer in San Diego, California, employs two individuals, whose taxable carings to date (prior to the current pay period) are $1,420 and $6.600. During the current pay period, these employees earn $4,360 and $1,900, respectively. The applicable SUTA tax rate is 3%, and the California SUTA threshold is $7,000 FUTA tax SUTA tax $ $ 22.50 142.80 4: An employer in Durham, North Carolina, employs three individuals, whose taxable earnings to date (prior to the current pay period) are $6,000, 520,900, and $34,000 During the current pay period, these employees eam $960, $1,890, and $1,270, respectively. The applicable SUTA tax rate is 1.2%, and the North Carolina SUTA threshold is $23,500. X FUTA tax = $_ SUTA tax = $ 15.48 34.20

Answer 1

Since, multiple questions have been posted, I have answered the first two.

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Question 1:

The value of FUTA tax is determined as below:

Employee 1 FUTA Tax = (FUTA Wage Base - Taxable Earnings to Date)*(6% - 5.4%) = (7,000 - 6,100)*.6% = $5.40

Employee 2 FUTA Tax = $0 [as the total earnings of $8,800 to date has exceeded the FUTA wage base of $7,000)

Total FUTA Tax = Employee 1 FUTA Tax + Employee 2 FUTA Tax = 5.40 + 0 = $5.40

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Question 2:

The value of FUTA tax is arrived as follows:

Employee 1 FUTA Tax = (FUTA Wage Base - Taxable Earnings to Date)*3.9% = (7,000 - 5,500)*3.9% = $58.50

Employee 2 FUTA Tax = $0 [as the total earnings of $12,900 to date has exceeded the FUTA wage base of $7,000)

Employee 3 FUTA Tax = $0 [as the total earnings of $14,200 to date has exceeded the FUTA wage base of $7,000)

Total FUTA Tax = Employee 1 FUTA Tax + Employee 2 FUTA Tax + Employee 3 FUTA Tax = 58.50 + 0 + 0 = $58.50