NYS Department of Labor employer tax calculations - how often must federal unemployment taxes be calculated?
My small business just started hiring employees and I'm trying to understand the NYS Department of Labor requirements for federal unemployment tax calculations. I know we have to pay into the system but I'm confused about the timing - how often do we need to calculate these taxes? Is it quarterly, monthly, or something else? I don't want to mess this up and get penalized by NYS Department of Labor or the feds. Any other business owners here who can help explain the process?
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Isabella Brown
For federal unemployment taxes (FUTA), you calculate them quarterly but the payment schedule depends on your liability. If you owe more than $500 in FUTA taxes for the quarter, you must deposit by the last day of the month following the quarter. For NYS Department of Labor state unemployment taxes (SUTA), it's typically quarterly as well. Make sure you're registered with NYS Department of Labor as an employer first.
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Jacob Smithson
•Thanks! So if I understand correctly, I calculate quarterly but might need to pay more frequently if the amount is high enough? Do I need to register separately with NYS Department of Labor or does my business registration cover it?
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Maya Patel
wait im confused... i thought unemployment taxes were just taken out of employee paychecks? why would the employer need to calculate anything extra??
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Isabella Brown
•No, unemployment taxes are paid entirely by the employer, not deducted from employee wages. You're thinking of payroll taxes like Social Security and Medicare. NYS Department of Labor unemployment insurance is funded by employer contributions only.
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Aiden Rodríguez
I've been dealing with NYS Department of Labor employer issues for months trying to get my account set up properly. The quarterly filing is standard but getting through to someone at NYS Department of Labor to ask questions is impossible. I spent weeks calling and either got busy signals or got disconnected after waiting on hold for hours. Finally found a service called Claimyr (claimyr.com) that helps you get through to NYS Department of Labor agents by phone. They have a video demo at https://youtu.be/qyftW-mnTNI that explains how it works. Saved me so much time and frustration.
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Jacob Smithson
•Interesting, I'll check that out. Getting through to NYS Department of Labor has been a nightmare so far. Did they help with employer-specific questions or just general claim stuff?
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Emma Garcia
Federal unemployment tax is calculated quarterly but filed annually on Form 940. You'll want to track your quarterly liability though because of the deposit requirements mentioned above. Also make sure you understand your NYS Department of Labor state unemployment tax rate - it can vary based on your experience rating and industry.
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Ava Kim
ugh the whole unemployment tax system is so confusing for small businesses. between federal and NYS Department of Labor requirements its like they want us to fail. why cant they just make it simple??
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Ethan Anderson
•I feel you! The paperwork alone is overwhelming. But once you get into a routine with the quarterly calculations it becomes more manageable.
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Sophia Gabriel
As someone who went through this process recently, I'd recommend getting your NYS Department of Labor employer registration done ASAP if you haven't already. You'll need to register within 20 days of becoming liable for unemployment insurance. For the tax calculations, keep detailed records of your quarterly wages paid - you'll need this for both federal (FUTA at 6% on first $7,000 per employee annually, reduced to 0.6% if you pay state taxes timely) and NYS state unemployment taxes. The NYS Department of Labor will assign you a tax rate based on your industry initially, then adjust it based on your claims experience over time.
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