The current futa tax rate is 0.8%, and the suta tax rate is 5.4%. both taxes are applied to the first $7,100 of an employee's pay. assume that an employee earned total wages of $9,100. what is the amount of total unemployment taxes the employer must pay on this employee's wages?
The given values in the problem are enumerated below: futa tax rate = 0.8% suta tax rate = 5.4 % Employee's fee = $7,100 Amount taxes = $7100 *(0.008+0.054)= $440.2
When an employee earned total wages of $9100, we can solve the unknown: Employee's wages = $9100 + $440.2 Employee's wages = $ 9540.2
