Payroll can be confusing, even for those of us who have worked jobs with payroll deductions for many years. So, it is hard to imagine what those of you who have never encountered payroll deductions think. Go to Publication 15 (Circular E) for 2023 G.Before computers every business could apply to have Circular E mailed each year or it could be picked up at a public library. Read the paragraph on social security and medicare tax for 2023. Please read about FUTA in this document and skim other items of interest. 1. If you had a business with 20 employees working 40 hours per week and earning an average of $25.00 per hour (and no one makes over $160,000 ), how much would you pay in social security and medicare in 2023 ? 2. What benefits would you like to provide to your employees (paid sick days off, vacation, 401k contributions, health benefits, and other). 3. Using the 2023 average Washington State SUTA Tax Rate and the 2023 Washington State SUTA wage base how much SUTA would you pay in 2023 ? The more unemployment claims paid, the higher the businesses rate. This is why employers will sometimes fight a claim. 4. Assume that your company receives the 5.4% credit against the 6.0% FUTA rate. How much is FUTA tax for 2023? 5. States require employers to maintain insurance against on the job worker injuries. In both Oregon and Washington, Labor and Industries (commonly known as L\&l) collect premiums and administer worker's compensation insurance. However, companies can elect to be self insured. The insurance rates depend on the type of work, plus other factors. For example, the 2023 log hauling base rate is $5.1246 per hour in Washington. Use Washington's $0.2321 base rate for accounting, law, and service companies to determine the amount of L\&I that you as an employer would pay for the 20 employees above. Washington 2023L and I Base Rate Information 6. Discuss how the payroll taxes affect your willingness to provide other benefits to employees