State Unemployment Codes

Each state operates its own unemployment compensation program that is funded largely by taxes on employers. These taxes are in addition to any federal unemployment tax you may owe. Most states only impose unemployment taxes on employers.

In most states, if you're subject to the federal unemployment tax, you're automatically liable for the state unemployment tax.

You need to set up a state unemployment tax record for each state for which you will be withholding state taxes.

Click on the New button and then fill out the required information for each state unemployment record to be added.

State
Choose the state for which the unemployment record is being added from the dropdown list.

Company Rate
Enter your company's unemployment tax rate for this state. Each state will supply you with the rate your company has to pay. This should be entered as a whole percentage. Example: 2.3% should be entered as 2.30000.

Wage Limit
This is the amount after which no more SUTA will be calculated.

Liability Account
Enter the liability account to be credited when the unemployment taxes for this state are calculated. The account number can be chosen from a list of account numbers by typing it in, pressing the F2 key or by clicking on the account Lookup button.

Expense Account
Enter the company's expense account to be debited when the unemployment taxes for this state are calculated. The account number can be chosen from a list of account numbers by typing it in, pressing the F2 key or by clicking on the account Lookup button.

Click on the Save button to save the current record.