A wrong or out-of-date state unemployment rate
Each state sets its own rate and changes it, often every year. Tax on an old rate produces a state notice.
What happens if my state unemployment rate is wrong or out of date?
The tax in every payroll is wrong until the rate is fixed, and the state can send a notice. StartEase will not approve a payroll when the rate is missing, belongs to the wrong year, is stale, or a temporary rate has ended.
The problem
Your state unemployment rate arrives on a notice from the state. When the rate on file is missing, from an earlier year, or a temporary rate has ended, the tax in every payroll is wrong until it is fixed.
How StartEase manages it
- Payroll cannot be approved when the rate is missing, belongs to the wrong year, is stale, or a temporary rate has ended.
- The message names the state and tells you what to enter.
- You send us the state's notice, and the rate is entered from it. See Send your state unemployment (SUTA) rate notice.
StartEase cannot tell a wrong rate that looks right from a correct one. The number comes from your notice, so read it once against the notice.
Each state sets its own unemployment insurance tax rate for employers. The U.S. Department of Labor lists the state programs.
Sources (government sites):
StartEase