During the first quarter, Jason Beverage Distributors paid wages of $978,800. Of this amount, $146,000 was paid to employees who had been paid $7,000 earlier in the quarter. What was the employer's liability for FUTA and SUTA taxes, assuming that the state rate was 5.7%? (Round down to the nearest $1.)

Question

During the first quarter, Jason Beverage Distributors paid wages of $978,800. Of this amount, $146,000 was paid to employees who had been paid $7,000 earlier in the quarter. What was the employer's liability for FUTA and SUTA taxes, assuming that the state rate was 5.7%? (Round down to the nearest $1.)​

Taylor Smith · Accepted Answer

Final Answer : $54,131$978,800    $146,000 = $832,800 subject to FUTA and SUTA taxes$832,800    0.008 = $6,662.4 FUTA tax payment$832,800    0.057 = $47,469.6 SUTA tax payment$6,662.4 + $47,469.6 SUTA tax payment = $54,132

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