Despite a relatively healthy UI trust fund, and national trends lowering UI tax rates, the Massachusetts Department of Unemployment Assistance has confirmed that Tax Rate Schedule “E” will officially be enacted as of January 1, 2019. This schedule will effectively raise employer contribution rates, with the minimum rate being .94% (previously .83%) and the maximum rate at 14.37% (previously 12.65%).
Fortunately, the state Solvency Assessment will be set at 0.96%, which has decreased by from 1.01%. The taxable wage base for 2019 will remain unchanged at $15,000 per employee.
This schedule will be applied to all Massachusetts 2019 tax rate notices, which employers will begin receiving in the next few weeks. If you are a UTCA client, or just an employer with questions about your experience and rate calculation we would be happy to review with you. Please contact us here.