When Will a Futures Trader Be Required to Pay Additional

question 41

Essay

When will a futures trader be required to pay additional funds into their margin account?

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Definitions:

FICA Tax

In the United States, mandatory deductions from employees' salaries to support Social Security and Medicare, known as federal taxes.

FUTA Tax

The Federal Unemployment Tax Act tax, which is imposed on employers to fund state workforce agencies.

SUTA Tax

State Unemployment Tax Act tax, which employers pay to the state to fund unemployment benefits.

Income Tax Withholding

The process by which employers withhold a portion of employees' salaries or wages to pay directly to the government as an advance payment of income tax.