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Note: For this textbook edition the rate 0.6% was used for the FUTA tax rate for

ID: 2463425 • Letter: N

Question

Note: For this textbook edition the rate 0.6% was used for the FUTA tax rate for employers.

The information listed below refers to the employees of Lemonica Company for the year ended December 31, 2016. The wages are separated into the quarters in which they were paid to the individual employees.

For 2016, State D's contribution rate for Lemonica Company, based on the experience-rating system of the state, was 2.8% of the first $7,000 of each employee's earnings. The state tax returns are due one month after the end of each calendar quarter. During 2016, the company paid $2,214.80 of contributions to State D's unemployment fund. The president of the company prepares and signs all tax forms. The company uses Magnetic Media UC-2A when completing the form.

Employer's phone number: (613) 555-0029. Employer's State D reporting number: 00596.

Using the forms below, complete the following for 2016. When required, round amounts to the nearest cent. Use the rounded answers for subsequent computations, if required.

a. What is the date and amount of the FUTA tax payment for the fourth quarter of 2016? State D is not a credit reduction state. Enter date in mm/dd/yyyy format.

Tax Payment:

Amount

$

Name Social Security # 1st Qtr. 2nd Qtr. 3rd Qtr. 4th Qtr. Total Robert G. Cramer 000-00-0001 $5,800 $5,000 $5,000 $5,200 $21,000 Daniel M. English (Foreman) 000-00-0003 13,000 13,400 13,400 13,400 53,200 Ruth A. Small 000-00-1998 2,000 2,300 2,300 2,400 9,000 Harry B. Klaus 000-00-7413 11,600 11,700 11,700 11,700 46,700 Kenneth N. George (Manager) 000-00-6523 13,600 14,000 14,500 15,000 57,100 Mavis R. Jones 000-00-6789 1,600 1,700 1,700 -0- 5,000 Marshall T. McCoy 000-00-3334 11,400 11,400 -0- -0- 22,800 Bertram A. Gompers (President) 000-00-1014 24,500 25,000 25,500 26,300 101,300 Arthur S. Rooks 000-00-7277 -0- 700 1,700 1,700 4,100 Mary R. Bastian 000-00-8111 8,000 8,200 8,200 8,200 32,600 Klaus C. Werner 000-00-2623 2,300 2,500 2,500 2,500 9,800 Kathy T. Tyler 000-00-3534 -0- -0- 11,300 11,700 23,000 Totals $93,800 $95,900 $97,800 $98,100 $385,600

Explanation / Answer

Due Date: 01/31/2017

Name

Social Security #

1st Qtr.

FUTA at 0.6%

2nd Qtr.

FUTA at 0.6%

3rd Qtr.

FUTA at 0.6%

4th Qtr.

FUTA at 0.6%

Total

FUTA at 0.6%

Robert G. Cramer

000-00-0001

5,800

35

5,000

30

5,000

30

5,200

31

          21,000

                     126

Daniel M. English (Foreman)

000-00-0003

13,000

78

13,400

80

13,400

80

13,400

80

          53,200

                     319

Ruth A. Small

000-00-1998

2,000

12

2,300

14

2,300

14

2,400

14

            9,000

                        54

Harry B. Klaus

000-00-7413

11,600

70

11,700

70

11,700

70

11,700

70

          46,700

                     280

Kenneth N. George (Manager)

000-00-6523

13,600

82

14,000

84

14,500

87

15,000

90

          57,100

                     343

Mavis R. Jones

000-00-6789

1,600

10

1,700

10

1,700

10

-

-

            5,000

Marshall T. McCoy

000-00-3334

11,400

68

11,400

68

-

-

-

-

          22,800

                     137

Bertram A. Gompers (President)

000-00-1014

24,500

147

25,000

150

25,500

153

26,300

158

       101,300

                     608

Arthur S. Rooks

000-00-7277

-

-

700

1,700

10

1,700

10

            4,100

Mary R. Bastian

000-00-8111

8,000

48

8,200

49

8,200

49

8,200

49

          32,600

                     196

Klaus C. Werner

000-00-2623

2,300

14

2,500

15

2,500

15

2,500

15

            9,800

                        59

Kathy T. Tyler

000-00-3534

-

-

-

-

11,300

68

11,700

70

          23,000

                     138

Totals

93,800

563

95,900

571

97,800

587

98,100

589

       385,600

                  2,259

               

Name

Social Security #

1st Qtr.

FUTA at 0.6%

2nd Qtr.

FUTA at 0.6%

3rd Qtr.

FUTA at 0.6%

4th Qtr.

FUTA at 0.6%

Total

FUTA at 0.6%

Robert G. Cramer

000-00-0001

5,800

35

5,000

30

5,000

30

5,200

31

          21,000

                     126

Daniel M. English (Foreman)

000-00-0003

13,000

78

13,400

80

13,400

80

13,400

80

          53,200

                     319

Ruth A. Small

000-00-1998

2,000

12

2,300

14

2,300

14

2,400

14

            9,000

                        54

Harry B. Klaus

000-00-7413

11,600

70

11,700

70

11,700

70

11,700

70

          46,700

                     280

Kenneth N. George (Manager)

000-00-6523

13,600

82

14,000

84

14,500

87

15,000

90

          57,100

                     343

Mavis R. Jones

000-00-6789

1,600

10

1,700

10

1,700

10

-

-

            5,000

Marshall T. McCoy

000-00-3334

11,400

68

11,400

68

-

-

-

-

          22,800

                     137

Bertram A. Gompers (President)

000-00-1014

24,500

147

25,000

150

25,500

153

26,300

158

       101,300

                     608

Arthur S. Rooks

000-00-7277

-

-

700

1,700

10

1,700

10

            4,100

Mary R. Bastian

000-00-8111

8,000

48

8,200

49

8,200

49

8,200

49

          32,600

                     196

Klaus C. Werner

000-00-2623

2,300

14

2,500

15

2,500

15

2,500

15

            9,800

                        59

Kathy T. Tyler

000-00-3534

-

-

-

-

11,300

68

11,700

70

          23,000

                     138

Totals

93,800

563

95,900

571

97,800

587

98,100

589

       385,600

                  2,259

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