Since the SUTA rates changes are made at the end of each year, the available 2019 rates were used for FUTA and SUTA.
Note: For this textbook edition the rate 0.6% was used for the net FUTA tax rate for employers.
Example 5-10
Karlson Software Company is located in State H, which enables employers to reduce their contribution rates under the experience-rating system. From 2006 to 2015, inclusive, the company's total contributions to state unemployment compensation amounted to $14,695. For the calendar years 2016 to 2019, inclusive, the contribution rate for Karlson was 2.7%.
The contributions of each employer are credited to an account maintained by the State Unemployment Compensation Commission. This account is credited with contributions paid into the account by the employer and is charged with unemployment benefits that are paid from the account. Starting January 1, 2020, the contributions rate for all employers in State H will be based on the following tax rate schedule:
| Reserve Ratio | Contribution Rate |
| Contributions falling below benefits paid | 7.0% |
| 0.0% to 7.9% | 5.5% |
| 8.0% to 9.9% | 4.5% |
| 10.0% to 11.9% | 3.5% |
| 12.0% to 14.9% | 2.5% |
| 15.0% or more | 1.5% |
The annual payroll for calculation purposes is the total wages payable during a 12-month period ending with the last day of the third quarter of any calendar year. The average annual payroll is the average of the last three annual payrolls. The SUTA tax rate for the year is computed using the information available (benefits received and taxes paid) as of September 30 of the preceding year.
The schedule below shows the total payroll and the taxable payroll for the calendar years 2016 to 2019.
| Calendar Year | ||||||||
| 2016 | 2017 | 2018 | 2019 | |||||
| Total Payroll | Taxable Payroll | Total Payroll | Taxable Payroll | Total Payroll | Taxable Payroll | Total Payroll | Taxable Payroll | |
| First Quarter | $12,000 | $12,000 | $11,000 | $11,000 | $13,000 | $13,000 | $10,000 | $10,000 |
| Second Quarter | 11,750 | 11,750 | 11,500 | 11,400 | 12,750 | 12,700 | 9,300 | 9,300 |
| Third Quarter | 12,500 | 12,250 | 12,750 | 12,400 | 12,200 | 12,000 | 9,350 | 9,350 |
| Fourth Quarter | 13,000 | 12,500 | 12,500 | 12,200 | 14,000 | 13,750 | — | — |
Unemployment benefits became payable to the company's qualified unemployed workers on January 1, 2006. Between that time and September 30, 2019, total benefits amounting to $15,100.90 were charged against the employer's account. Compute:
In your computations, round amounts to the nearest cent. Round your final percentage answers to one decimal place.
a. Contribution rate for 2020.
%
b. Rate for 2020 if $2,000 additional benefits
had been charged by mistake to the account of Karlson Software
Company by the State Unemployment Compensation.
%
In: Accounting
Which of the following statements is true about the changes that occur after the supermarkets merge? Check all that apply.
The market price increases.
Consumer surplus remains unchanged.
The market quantity remains unchanged
Total surplus rises.
Producer surplus rises
In: Economics
Changes from the basic are highlighted yellow
Write a payroll processing program. Input will be from a file
called “weeklyData.txt”. You may create this file on your own for
testing purposes, but I have provided a file with 75 employees that
I will use to test your code. (I know what it should
produce).
Each line in the file contains information about one employee. Each
item is separated by a space. The items are, in order:
First Name Last Name Hourly wage rate (decimal) Hours worked
(decimal) # of dependents (whole number) % of gross withheld for
retirement (whole number, ranges from 0 to 10) Amount donated to
United Way (dollar amount)
For each employee listed in this file, read the above data and
produce the following detail data:
Regular hours worked and overtime hours worked Regular pay and
overtime pay and gross pay Pension contribution, United Way
contribution Taxable income Insurance deduction, Income tax
deduction Net pay
Calculations: Overtime hours are all hours over 40, the rest are
regular hours Regular pay is the regular hours times the wage rate
Overtime pay is 1.5 times the overtime hours times the wage rate
Gross pay is regular pay plus overtime pay Retirement is the
percentage of the gross deducted from the employee, and the company
will donate a matching amount up to $100.00. The matching amount is
not added to the employees pay, or deducted from their pay. Just
note this amount when you print the detail data for retirement.
United Way contribution is whatever was read. Taxable income is
gross minus both the retirement and united way contributions
Insurance is determined by the number of dependents: 0 is $25.19 1
is $39.02 2 or more is $50.63 Income tax is calculated on taxable
income as follows. The first $300 dollars is not taxed The next
$500 is taxed at 8.5% of gross Everything over $800 is taxed at
12.5% of gross
with the following stipulation: for each dependent, the tax rates
(8.5 and 12.5) are reduced by %0.5 (a half of a percent). So, if a
person has 2 dependents the rates would be %7.5 and %11.5
Net pay is gross pay minus the four deductions (retirement,
united way, tax and insurance)
The detail output should be to a file called “payroll.txt”
formatted nicely, and include the three input values as well as all
calculated values. Separate each employee’s detail data in the file
as you see fit.
Summary data should include the following (and should be printed at
the end of the detail data in the output file, as well as to the
screen.
# of employees Total payroll (sum of all gross pay), and of that
how much was overtime Total hours worked, and of that how many were
overtime hours Total retirement contributions and total amount of
matching funds Total United Way contributions Total insurance
premiums Total taxes withheld
In: Computer Science
(a) Increasing the minimum wage.
(b) Increasing the benefit level paid to transfers to people who are not in the labor force.
(c) Increasing wage subsidies paid to firms that hire low-skill workers.
(d) Switching to a more progressive tax system.
(e) Earned income tax credit program for low income workers.
In: Economics
Which of the following single nucleotide changes on the DNA's coding strand would be expected to have no effect on the protein level?
A. GTT change to GCT
B. TAA change to TAC
C. ATG change to ATA
D. CAA change to GAA
E. AGT change to AGC
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Cumulative effect adjustment to income statement.
Why is that above NOT used for changes in accounting principles? Please explain the concept...
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In the case of temperature change from 25 C to 37 C: What are the changes in the microorganism regulation system? What effects would it have? In the case of B.subtulis that represses any sensor? What stimulus response would it have?
In: Biology
The selling prices of mutual funds change daily. In order to study these changes, a sample of mutual funds was examined and the daily changes in price are listed below. (Round answers to 3 decimal places) 0.32, -0.17, 0.26, -0.03, -0.01, 0.18, 0.33, 0.28, 0.02, -0.29, -0.08, 0.12, 0.07, 0.03, 0.28 a) (4 Points) Using a calculator find Q1, Q3, median and IQR b) (6 Points) Determine the lower and upper fences. (Show work) (b) (3 Point) Identify the outliers (if any) in this set (Credit only if parts (a) and (b) are correct)
In: Statistics and Probability
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Explain the potential ambiguity in the effect of exchange rate changes on the balance of trade. How does the Marshall-Lerner condition clarify the nature of this ambiguity? [ 25 marks]
In: Economics