Unemployment Insurance Rates and Due Dates

This article first appeared on the Thomson Reuters blog.

This month, let’s discuss unemployment rates. Most states set unemployment rates using individual company fund balances, type of industry and experience.

The following states also allow companies to “buy down” their individual unemployment rates for the next year by making a voluntary contribution. This calculation is available on the state websites (e.g. Massachusetts website).

This is helpful to research and advise clients on — for example, if your business client is anticipating increasing their labor size in the next year, it may be cost effective to make a voluntary contribution. Be aware — if advising on the matter, there are strict deadlines when this contribution can be made to reduce their next year rate. If the employer is late, the rate will not be reduced — but money is not lost, it will just go into your individual company fund balance.

Below is a list of states that allow voluntary contributions and the due dates.

State Due Date State Due Date
Arizona Jan 31 Missouri Postmarked Jan 15
Arkansas Postmarked Mar 31 Nebraska Jan 10
California Mar 31 New Jersey 30 days after notice
Colorado Mar 15 New York Mar 31
Georgia 30 days after notice North Carolina 30 days after notice
Indiana 30 days after notice North Dakota Apr 30
Kansas 30 days after notice Ohio Dec 31
Kentucky 20 days after notice Pennsylvania 30 days after notice
Louisiana 30 days after notice South Dakota Dec 31
Maine 30 days after notice Texas 60 days after notice
Massachusetts 30 days after notice Washington Received by Feb 15
Michigan 30 days after notice West Virginia 30 days after notice
Minnesota 120 calendar days after Jan 1 Wisconsin Nov 30

Most states use June 30 as a benchmark for determining the next year SUI wage bases. This is known as the “computation date”. Many states can take from four to nine months after the computation date to make their announcements.

Also, several states use different dates for “computation date” calculations:

State Due Date State Due Date
Delaware Oct 1 North Carolina Aug 1
Hawaii Dec 31 North Dakota Sep 30
Kentucky Jul 31 Oklahoma Sep 30
Massachusetts Sep 30 Rhode Island Sep 30
Montana Sep 30 Tennessee Dec 31*
Nebraska Dec 31 Texas Oct 1
New Hampshire Jan 31 Vermont Dec 31*
New Jersey Dec 31 U.S. Virgin Islands Sep 30
New York Dec 31    

* July 1 wage base resets

Want more resources? We have you covered!

  • Thomson Reuters myPay Solutions payroll services for accountants keeps clients in compliance with these rates and provides accurate payrolls, so you and your clients don’t have to worry about it.
  • For processing payroll in-house, Thomson Reuters Accounting CS® Payroll includes an unbeatable collection of compliance resources, including an extensive library of federal, state and local forms — plus, it’s regularly updated for payroll tax rates, limits and minimum wage rates.
  • To keep your payroll staff informed, we recommend the Payroll Guide and other payroll publications. This guide provides analysis of deposit and reporting requirements, Social Security and Medicare taxes, federal unemployment tax, state unemployment and disability, benefits law, federal and state wage-hour laws, garnishments and child support withholding and more.

----------

James Paille CPP is the Director of Operations for Thomson Reuters myPay Solutions. He has been an executive manager in the payroll service industry for more than 30 years, specializing in managing multi-location offices. Jim is President of the American Payroll Association as well as a member of the National Speakers Bureau and chair of the CPP Certification Review Panel. He holds a Bachelor of Science in Accounting from St. John Fisher College in Rochester, NY.


Loading