Lets start with FUTA taxes. FUTA is Federal Unemployment Tax Act. This is strictly an employer tax. The full FUTA tax is 6.2%. If the employer makes all of his state unemployment tax payments on time, the employer gets a credit of 5.4%. Leaving the tax rate of FUTA at 0.8%. FUTA is calculated on the first $7000 that each employee makes. For example, let say that you only have 1 employee working for you. On the 1st quarter, the employee makes $9000. You would only tax the first $7000 and the remaining $2000 is excess (that does not get tax). You would multiply $7000 x 0.8%=$56. Your FUTA tax is $56 for that employee. If you had more than 1 employee, you would figure it out the same way. FUTA tax is due at the end of the quarter if the amount is $500 or more. If the amount is less than $500, it carries over to the following quarter. The tax liability will carry over to the following quarter if it does not go over $500. If its the end of the 4th quarter and it still didnt go over $500, you pay it with the form 940.
Regarding suta tax. Is basically, like FUTA tax. The only difference is that each state has their own wage base limit and the tax rate is higher. For example, in Florida the wage base limit is the same as FUTA, $7000. The tax rate can range from 0.12% to 5.4%. The tax is due on a quarterly basis and you pay it with the form. I hope this helps.
