State unemployment insurance (SUI) is a nationwide program created to provide partial wage replacement to unemployed workers while they look for employment. SUI is also called unemployment insurance (UI) and unemployment compensation (UC). Employers finance the program through the SUI tax.
The state agency responsible for SUI will inform you about your tax rate yearly or anytime your rate changes. Your SUI tax rate is based on your experience.
If you're a new employer, you are assigned a new employer rate until you have filed unemployment taxes for a period of time. This period of time varies by state. After the designated period of time, you are assigned an experience rate, which might be higher or lower than the new employer rate, depending on your reserve account balance. The less unemployment that your workers experience, the lower your tax rate will be.
If your tax rate changes, you'll get a notice from the state. When you receive the notice, fax it to us at 800.786.9598 and we will verify and update for you.
If you have questions about your rate, contact the state agency responsible for SUI.