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Tax Deduction Consulting: FUTA Payroll Tax Deduction Hilo HI

The Federal Unemployment Tax Act (FUTA) provides the funds for State workers services and unemployment services. This system provides the funds used for unemployment benefits. The tax is paid by employers. It is not actually a deduction from the employee's paycheck nor are they responsible for it. Employers are responsible for this tax if they either pay a total of $1500 in wages in any given quarter of the year or if they have an employee working at least one day of the week during any 20 weeks of the year. The weeks do not have to be consecutive.

Kevin E. Lewis, EA
(808) 934-0144
908 Kumukoa St.
Hilo, HI
 
H&R Block
(808) 965-2388
15-2945 PAHOA VILLAGE rd
PAHOA, HI

Data Provided by:
Conrad Takehara
2051 Young Street #89
Honolulu, HI
Service
Real Estate Investment Planning,Commission-Only Financial Planning (Full Disclosure),Insurance & Risk Management Planning,Retirement Income Distribution Planning,Education Funding & Financial Aid Planning,Hourly Financial Planning Engagements,Fee Only Portfolio Management,Wealth Engineering,Mortgage Refinancing,IRA, 401k, Roth IRA, QDRO Rollovers,CD Alternative,Alternative Investments,Disability Insurance,Annuities,Alternative Asset Class Planning,Investment Consulting & Allocation Design,Busine

Data Provided by:
Ms. Amber Maureen Puanani Doig (RFC®), CSA, EA
(808) 637-9690
66-250 Kamehameha Hwy., Suite C-209
Haleiwa, HI
Company
Financial Management Solutions, Inc.
Qualifications
Education: BBA
Years of Experience: 30
Membership
IARFC, FPA
Services
Invoice, Estate Planning, Business Planning, Portfolio Management, Pension Planning, Retirement Planning, Tax Planning, Tax Returns, Mutual Funds, Mortgage Loans, Annuities, Life Insurance, Disability Income Insurance, Long Term Care Insurance, Medical Insurance, Business Coach, Education Plan, Healthcare Accounts, Compensation Plans

Data Provided by:
H & R Block
(808) 235-2647
45-934 Kamehameha Hwy
Kaneohe, HI
 
H&R Block
(808) 961-5487
325 E MAKAALA ST
HILO, HI

Data Provided by:
Michelle H. Tucker (RFC®), CPAPFS, JD
(808) 791-1444
820 Mililani Street, #401
Honolulu, HI
Company
Tucker Wealth Management, Inc.
Qualifications
Education: BBA, High Honors Accounting, University of Hawaii; Juris Doctor, William S. Richardson School of Law
Years of Experience: 28
Membership
IARFC, FPA, AICPA, Bar
Services
Invoice, Estate Planning, Portfolio Management, Retirement Planning, Medicaid Planning, Tax Planning, Tax Returns, Seminars Work, Mutual Funds, Charitable Planning, Asset Protection

Data Provided by:
Mr. John D. Cornillez (RFC®), CSA, LUTCF, RFP
(808) 884-5388
P.O. Box 1245
Kapaau, HI
Company
The Cornillez Group, LLC
Qualifications
Education: BS
Years of Experience: 22
Membership
IARFC, MDRT, SCSA, NAIFA
Services
Invoice, Estate Planning, Business Planning, Tax Planning, Employee Benefits, Annuities, Life Insurance, Long Term Care Insurance, Medical Insurance, BuySell

Data Provided by:
Mr. Calen R. Matsuno (RFC®), RFP
(808) 589-3344
803 Kamehameha Hwy Ste 414
Pearl City, HI
Company
Advantage Group, LLC
Qualifications
Education:
Years of Experience: 27
Membership
IARFC, NAIFA
Services
Invoice, Estate Planning, Business Planning, Pension Planning, Executive Compensation Planning, Retirement Planning, Medicaid Planning, Tax Planning, Seminars Work, Employee Benefits, Mutual Funds, CD Banking, Annuities, Life Insurance, Disability Income Insurance, Long Term Care Insurance, Medical Insurance, Group Insurance, Auto Home Insurance, Charitable Planning, Education Plan, Healthcare Accounts, Asset Protection, BuySell, LiabCover, Compensation Plans

Data Provided by:
Tax Services of Amer
(808) 623-0401
95-221 Kipapa Dr Ste A2
Mililani, HI
 
Data Provided by:

Tax Deduction Consulting: FUTA Payroll Tax Deduction

FUTA Payroll Tax Deduction

The Unemployment system is funded jointly by Federal and State funds collected through payroll taxes. The FUTA payroll tax deduction provides these funds.

The Federal Unemployment Tax Act (FUTA) provides the funds for State workers services and unemployment services. This system provides the funds used for unemployment benefits. The tax is paid by employers. It is not actually a deduction from the employee's paycheck nor are they responsible for it. Employers are responsible for this tax if they either pay a total of $1500 in wages in any given quarter of the year or if they have an employee working at least one day of the week during any 20 weeks of the year. The weeks do not have to be consecutive.

The tax amounts to 6.2% of the first $7000 of income. However, the employer receives a credit against any State unemployment tax. The credit is 5.4% and the employer is eligible for it regardless of the State tax rate as long as they file and pay the tax in a timely manner. After the credit, the actual rate is reduced to 0.8%. Since only the first $7000 is taxed, the maximum amount paid for any single employee is only $56 per year.

The FUTA payroll tax is required for agricultural and domestic workers also, but they are under slightly different rules. Agricultural employers must pay the tax if they either pay at least $20,000 in wages in any given calendar quarter or if they have at least 10 workers on any single day of the week in a total of 20 weeks during the year. They do not have to be the same workers, nor do the weeks have to be consecutive, nor do the workers all have to be working at the same time.

Domestic employees include maids, housekeepers, gardeners, and babysitters employed in a home. The employer must pay FUTA taxes for them if their pay totals at least $1000 in any quarter of the year. For both agricultural and domestic workers, the tax rate is the same at 6.2% with a credit of 5.4%. The maximum tax due for any ...

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