Tag Archives: unemployment rate

Stay informed on current unemployment rate trends, economic impacts, and what they mean for employers with analysis from Dunn Corporate Resources.

New Jersey Shifts Unemployment Tax Table to Column C

As of July 1, 2025, New Jersey employers will see a significant change in their unemployment insurance (UI) tax obligations. The New Jersey Department of Labor and Workforce Development (NJDOL) has announced a transition from Column D to Column C in the state’s unemployment tax table, reflecting a robust recovery in the UI Trust Fund. This shift is expected to save employers an estimated $300 million in the upcoming fiscal year. For businesses navigating these changes, partnering with Dunn Corporate Resources’ unemployment cost control services can maximize savings and ensure compliance.

Understanding the Tax Table Shift

New Jersey’s UI tax rates are determined by two key factors: the overall health of the UI Trust Fund and an employer’s individual experience rating, which reflects their history of unemployment claims. The UI Trust Fund, heavily strained during the COVID-19 pandemic when nearly $40 billion in benefits were paid to 1.6 million workers, has now recovered sufficiently to allow for lower tax rates.

Column D Rates (Current): Range from 0.6% to 6.4% of taxable wages.
Column C Rates (Effective July 1, 2025): Range from 0.5% to 5.8% of taxable wages.

This reduction in rates, set by the New Jersey Unemployment Compensation Law, will automatically take effect for the fiscal year beginning July 1, 2025. The shift to Column C signals a healthier fund reserve ratio, calculated by dividing the fund’s balance as of March 31 by the total taxable wages reported by employers for the prior year. For 2025, the taxable wage base for employers is $43,300, up from $42,300 in 2024.

Deadline

The shift to Column C is a welcome development, but employers must act swiftly to ensure they’re not overpaying due to inaccurate experience ratings or mismanaged claims. With tax rate notices arriving by September 1, 2025, now is the time to prepare. Additionally, employers considering voluntary contributions to lower their UI tax rate face a critical deadline, typically set by the state in late September or early October. Making a voluntary contribution can significantly reduce your tax rate for the year, but missing this deadline means forfeiting the opportunity until the next fiscal year. Dunn Corporate Resources’ no-cost analysis and proactive cost control services, including expert guidance on voluntary contributions, provide a risk-free opportunity to optimize your UI tax obligations and maximize savings under the new tax table.

What This Means for Employers

The transition to Column C offers immediate financial relief for New Jersey businesses, particularly those facing economic challenges. Lower UI tax rates mean reduced payroll costs, freeing up resources for reinvestment in operations, workforce development, or other priorities. However, the specific rate within Column C depends on an employer’s experience rating, which is influenced by the number and size of unemployment claims filed by former employees. Employers with fewer claims typically enjoy lower rates, while those with higher claims may still face rates toward the upper end of the range.

To fully capitalize on this tax table shift, employers must proactively manage their UI contributions and claims. This is where Dunn Corporate Resources steps in, offering expert unemployment cost control services tailored to New Jersey’s complex regulatory landscape.

How Dunn Corporate Resources Can Help

Dunn Corporate Resources specializes in helping employers minimize unemployment costs while maintaining compliance with state regulations. Their comprehensive services are designed to optimize tax rates and streamline claims management, ensuring businesses take full advantage of the Column C shift. Here’s how they deliver value:

1. No-Cost Tax Rate Analysis

Dunn Corporate Resources offers a complimentary analysis of your 2025 UI tax rate notice, which the state is required to provide by September 1, 2025. Their experts will:

Review your assigned rate under Column C to identify potential savings.
Assess whether your experience rating accurately reflects your claims history.
Identify errors or discrepancies in the notice that could lead to overpayment.

2. Voluntary Contribution Opportunities

In some cases, employers can lower their UI tax rate by making voluntary contributions to the UI Trust Fund, effectively “buying down” their rate. Dunn’s team evaluates whether this strategy is cost-effective for your business, calculating the potential long-term savings against the upfront cost.

3. Claims Management Expertise

Unemployment claims directly impact an employer’s experience rating and, consequently, their tax rate. Dunn Corporate Resources provides a centralized online dashboard for processing claims, with every response reviewed by their unemployment experts before submission to the state. This ensures accuracy and increases the likelihood of successfully contesting unwarranted claims, reducing future tax liabilities.

4. Cost Savings and Compliance

By minimizing improper benefit payments and optimizing tax rates, Dunn’s services can significantly reduce UI costs. Their proactive approach also ensures compliance with New Jersey’s Unemployment Compensation Law, avoiding penalties that can range from 5% to 25% of the balance due for late or incorrect payments.

5. Tailored Support

Dunn Corporate Resources understands that every business is unique. Their team works closely with employers to develop customized strategies that align with their operational goals, whether it’s a small business seeking to offset rising costs or a large corporation managing a high volume of claims.

Partner with Dunn Corporate Resources Today

Navigating New Jersey’s unemployment tax system can be complex, but Dunn Corporate Resources makes it simple. Their unemployment cost control services empower employers to reduce costs, maintain compliance, and focus on growing their businesses. To schedule your free tax rate analysis or learn more about their services, contact Dunn Corporate Resources today.

By leveraging the expertise of Dunn Corporate Resources, New Jersey employers can confidently embrace the shift to Column C and unlock significant savings in the year ahead.

New York State Unemployment Insurance Changes for 2026: Updates for Employers

As 2026 approaches, New York State employers must gear up for important updates to the state’s unemployment insurance system. These changes, aimed at strengthening New York’s unemployment framework, will impact business budgeting and compliance. Here’s a clear overview of the key changes and their implications for your organization.

Maximum Weekly Benefit Increase

Effective October 2026, New York’s maximum weekly unemployment benefit will rise to 50% of the state’s average weekly wage, up from $869 in 2025. This increase is designed to better support unemployed workers but may strain the state’s unemployment insurance trust fund, potentially leading to indirect cost increases for employers. Businesses should prepare for higher benefit payouts and adjust their strategies to manage potential spikes in unemployment claims.

Taxable Wage Base Increase

New York’s taxable wage base for employer contributions, currently $12,800 per employee, will increase in 2026. While the exact new figure hasn’t been confirmed, this change aims to enhance the solvency of the state’s unemployment insurance trust fund. Employers should anticipate a higher taxable wage base, which could raise their contribution costs. Proactive financial planning will be essential to address this shift.

Employer Contribution Rate

No specific changes to New York’s employer contribution rate table for 2026 have been outlined. For 2025, state and local government entities in New York maintain a contribution rate of 0.6% of taxable wages, with no announced adjustments for 2026. Employers should stay alert for any updates to the rate table, as even minor changes could affect payroll expenses.

Employer Savings from Debt Payoff

A significant relief for New York employers comes from the state’s $8 billion payoff of federal unemployment debt. In 2026, businesses will save approximately $100 per employee, with savings growing to $250 per employee in 2027. These savings, resulting from the elimination of federal interest taxes, offer employers an opportunity to reinvest in their operations or workforce.

How Dunn Corporate Resources Can Support New York Employers

Navigating New York’s unemployment insurance changes demands strategic cost management and compliance expertise. Dunn Corporate Resources’ Unemployment Cost Control Service provides customized solutions to help New York employers minimize unemployment insurance costs. Our team analyzes your claims data, optimizes contribution strategies, and implements proactive measures to reduce liabilities. With the upcoming benefit and wage base increases in New York, our service ensures you mitigate financial impacts while leveraging savings from the debt payoff. Trust Dunn Corporate Resources to keep your business compliant and cost-efficient in New York’s evolving unemployment landscape.

Get ahead of these changes—contact Dunn Corporate Resources today to protect your business’s bottom line!

New Jersey Adjusts Unemployment Tax Table: Transition from Table E to Table D

In a significant development for New Jersey employers, the state is transitioning its unemployment tax table from Table E to Table D. This shift aims to reflect the improving economic conditions and the stabilization of the unemployment insurance (UI) trust fund. As of July 24, 2024, however, the new tax rate notices have yet to be released. According to state regulations, New Jersey has until September 1st to announce these rates.

Understanding the Tax Tables

The unemployment tax rate that employers pay is based on a range of factors, including the health of the UI trust fund and an individual employer’s experience rating. Each year, New Jersey reviews the state of the UI trust fund and adjusts the tax tables accordingly.

Table E: Under Table E, the tax rates range from a minimum of 1.2% to a maximum of 7.0%.
Table D: With the transition to Table D, these rates will shift to a range of 0.6% to 6.4%.

This change represents a decrease in both the minimum and maximum rates, potentially offering some financial relief to employers across the state.

Awaiting the New Tax Rate Notices

Although the transition to Table D is a welcome change for many, employers must wait for the official release of the new tax rate notices. The state has a legal deadline of September 1st to provide these notices.

Leveraging Dunn Corporate Resources for Cost Control

Navigating these changes can be challenging, but Dunn Corporate Resources is here to help. Our unemployment cost control services are designed to assist employers in managing and reducing their unemployment tax rates. By leveraging our advanced technology and the expertise of our seasoned claims and tax professionals, we can identify opportunities to minimize costs and maximize savings.

Free Analysis of the New Tax Rate Notice

At Dunn Corporate Resources, we are committed to supporting our clients through every regulatory change. We offer a no-cost analysis of the new unemployment tax rate notice once it is released. This service includes:

Checking for Savings: We will thoroughly examine the new rates to identify any potential savings for your business.
Voluntary Contribution Opportunities: We will explore options for voluntary contributions that could further reduce your tax rates.

This proactive approach ensures that your business remains compliant while optimizing your tax position.

The transition from Table E to Table D marks a pivotal change in New Jersey’s unemployment tax structure. By partnering with Dunn Corporate Resources, businesses can navigate these changes with confidence, ensuring they are well-positioned to take advantage of any cost-saving opportunities. Contact us today to schedule your free analysis and stay ahead in the ever-evolving landscape of unemployment tax regulations.

What is the Taxable Wage Base?

What is the taxable wage base?

The taxable wage base is one of the key components in determining how much an employer will have to pay in unemployment taxes over the course of a year. Taxable wages vary from state to state, but generally there is a “cap” known as the taxable wage base, where an employer does not have to pay taxes on the money paid to an employee over a certain point. States determine the taxable wage base in different ways. Some use a formula or follow a certain percentage of each state’s average wages, while many follow the FUTA taxable wage base of $7,000 in 2017.

Below is a list of the taxable wage base in each state. You may notice that some states have much higher taxable wage bases than other states. These higher taxable wages are not always offset by a lower unemployment tax rate. Keep an eye out for states that adjust the taxable wage base each year. Those states are as follows: Alaska, Colorado, Hawaii, Idaho, Iowa, Minnesota, Montana, Nevada, New Jersey (lower for 2017), New Mexico, New York, North Carolina, North Dakota (lower for 2017), Oklahoma, Oregon, Pennsylvania, Rhode Island, Utah, Vermont, Virgin Islands, Washington, and Wyoming.

State	Taxable wage base
Alabama	8,000.00
Alaska	39,800.00
Arizona	7,000.00
Arkansas	12,000.00
California	7,000.00
Colorado	12,500.00
Connecticut	15,000.00
Delaware	18,500.00
Florida	7,000.00
Georgia	9,500.00
Hawaii	44,000.00
Idaho	37,800.00
Illinois	12,960.00
Indiana	9,500.00
Iowa	29,300.00
Kansas	14,000.00
Kentucky	10,200.00
Louisiana	7,700.00
Maine	12,000.00
Maryland	8,500.00
Massachusetts	15,000.00
Michigan	9,000.00
Minnesota	32,000.00
Mississippi	14,000.00
Missouri	13,000.00
Montana	31,400.00
Nebraska	9,000.00
Nevada	29,500.00
New Hampshire	14,000.00
New Jersey	33,500.00
New Mexico	24,300.00
New York	10,900.00
North Carolina	23,100.00
North Dakota	35,100.00
Ohio	9,000.00
Oklahoma	17,700.00
Oregon	38,400.00
Pennsylvania	9,750.00
Rhode Island	23,900.00
South Carolina	14,000.00
South Dakota	15,000.00
Tennessee	8,000.00
Texas	9,000.00
Utah	33,100.00
Vermont	17,300.00
Virginia	8,000.00
Washington	45,000.00
West Virginia	12,000.00
Wisconsin	14,000.00
Wyoming	25,400.00
District of Columbia	9,000.00
Puerto Rico	7,000.00
Virgin Islands	23,500.00

For more information about how taxable wages impact your unemployment expenses contact us today! One of our experts will be happy to help.

Vermont UI Tax Rate Notices Released!

Vermont Employers: The Vermont Department of Labor has mailed out UI Tax Rate Notices on June 23, 2017. These new rates will be effective for July 1, 2017 as the state of Vermont operates on a fiscal year for unemployment. This means that your new rates will be applied for your quarterly filing due on October 31, 2017. Below is the tax rate schedule for the 2017-2018 period. The schedule being used for this period is Schedule 4. The minimum tax rate is 1.1% and the maximum tax rate is 7.7%.

Tax Rate Class	Schedule 4
0	1.1
1	1.2
2	1.4
3	1.7
4	2.0
5	2.3
6	2.6
7	2.9
8	3.2
9	3.5
10	3.8
11	4.1
12	4.5
13	4.9
14	5.3
15	5.7
16	6.1
17	6.5
18	6.9
19	7.3
20	7.7

Keep in mind that the tax rates are not always correct on these tax rate notices. It is very important that all of the numbers in the tax rate calculation get audited. The state of Vermont has an overpayment rate just under 7% according to the DOL. If charges to your account are not closely monitored, you will see a dramatic increase on your tax rate notice!

For a no-cost analysis of your 2017-2018 tax rate notice, contact an expert at Dunn Corporate Resources. We’re always happy to help!

How do Benefit Charges Work for Employers?

What is a Benefit Charge?

To fully understand the full impact of benefit charges, we must first understand exactly what a benefit charge is. When someone applies for unemployment and then gets deemed eligible to collect unemployment benefits, they are then paid out money. In some cases, the State will even pay out unemployment benefits before a determination is made. The State will make a monetary determination (often times this is stated on a claim form) to determine the maximum dollar value that a claimant can collect. Usually this is based on the amount of money that the claimant has earned within a certain period of time. Each state has different minimums and maximums for the total amount of benefits that can be paid out to a claimant.

Benefit charges against a company?

So where does all of that money being paid out come from? Well, it depends on what kind of employer you are. Certain companies such as non-profits qualify to be reimbursable employers, which means that you pay dollar for dollar when someone collects unemployment against your organization. This will also depend on the state that you operate in.

Generally speaking, most employers are tax rated, meaning that they have an unemployment tax account with the state. Just like every other tax, each employer is assigned a specific tax rate. So the more you pay out in benefits, the higher your tax rate is going to be. Conversely, the less you pay out in benefits, the lower your tax rate will be.

How can I decrease the amount of Benefit Charges to my account?

There are a few ways to do this. The first is to make sure that you are contesting all unemployment claims in an accurate and timely manner. When claims are sent back to the state late, usually the employer will be penalized and will lose the opportunity to protest charges to their account. In order to win an unemployment claim, you must submit accurate information that is both informative and concrete, documentation is a must. By winning a claim, you will effectively block your account from being charged with unemployment benefits. This does not necessarily mean that a claimant will not get paid, it just means that the payment will not be charged to your business.

The next and most effective way to reduce the charges is to audit the charges on the benefit charge statement! This sounds like a no-brainer, however almost no-one does it! There are a few things that need to be audited on these forms – the people that are collecting, and the actual dollar amount that is being collected. The government isn’t anywhere near perfect, and they make mistakes all the time. Check out the overpayment rate in your state. Some states are over 40% in overpayments! This means that if someone is supposed to collect $10,000 from you account, they are actually getting paid $14,000. Your tax rate will skyrocket if these benefit charges are not controlled!

In conclusion, benefit charges are the most important piece of the unemployment puzzle. The amount of money being paid out of your reserve account directly affects the tax rate that you will be issued. Auditing these charges is critical and can be very cumbersome without the right tools to do it.

At Dunn Corporate Resources, our cutting edge computer system, utilizing the federal SIDES System, tracks the exact amount of benefit charges on each claim to ensure that there are no errors. And if someone is being overpaid, we automatically protest those charges and ensure that the money is credited back to the employer’s account. Contact us today if you’d like your UI account reviewed, or would like a demo of our software!

UI SIDES Award Winner

Today, a huge buzz word in the world of unemployment is UI SIDES. It is a centralized federal system for electronic transmission of data, making unemployment claims handling much easier, faster, and more efficient. To learn more about UI SIDES, check out our blog post or visit the ITSC website directly.

At the National Association of State Workforce Agencies Annual Conference, Dunn Corporate Resources was honored with the prestigious award of outstanding claims response through the SIDES system. We make sure that our clients are taken care of, and that nothing slips through the cracks. Our cutting edge computer system ensures that all claims are responded to in a timely and accurate manner. Because of our UI SIDES functionality, our clients enjoy greater lead time on claims as they no longer have to worry about mailing.

Have an interest in seeing what our UI SIDES platform can do for your organization? Contact us today and an expert will be glad to show you the benefits of working with an award winning TPA.

Virginia Revised UI Tax Rate Notices

Are you a Virginia employer that recently received a revised unemployment tax rate notice? Maybe even two revised rate notices? Not sure what to make of it?

Last month the Virginia Employment Commission mailed out a set of revised rate notices. These were mailed out to notify employers that their rates had changed. However, the changes were the result of a state benefit file that was ran in error. The state has recently corrected this matter and has issued a second set of revised tax rates reflecting the original tax rating data.

Mistakes by the State are very common. Employers should be aware that the numbers used in their tax rate calculation are often times incorrect – costing thousands! The DOL has a great list to show what the error rate is in your state.

Contact Dunn Corporate Resources today to have your UI account reviewed at no cost!