Page 279 - Essentials of Payroll: Management and Accounting

ESSENTIALS of Payr oll: Management and Accounting
EXHIBIT 10.3 (CONTINUED)

in the “Federal Unemployment Tax” section. Do not include on
this line any wages exceeding the statutory $7,000 annual wage

limitation on the FUTA tax, since this is addressed by the next
line item.
6. Wages exceeding $7,000 (Part I, Line 3). Enter the total amount

of wages paid that exceed the $7,000 annual wage limitation on the
FUTA tax.

7. Total taxable wages (Part I, Line 5). Subtract the total exempt
payments and total payments exceeding $7,000 from the total
payments to arrive at this figure.

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