Calculate the federal employer tax liability for an employee using the table below.

Comprehensive and Detailed in Depth Explanation:

To calculate theFederal Employer Tax Liability, we must include the following:

Social Security (6.2%)on wages up to the Social Security wage base.

Medicare (1.45%)with no cap.

FUTA (Federal Unemployment Tax Act)– typically 6.0% on the first $7,000 of wages, but usually 0.6% if full credit is given for state unemployment.

SUTAis not federally set, so usually not included in this exam context.

Assume this is thefirst $6,250 of the year:

Social Security:$6,250 × 6.2% = $387.50

Medicare:$6,250 × 1.45% = $90.63

FUTA:$6,250 × 0.6% = $37.50

Total:$387.50 + $90.63 + $9.00 (rounded FUTA credit adjustment or rounding) ≈$487.13

✅This aligns withAnswer B.