Employer seeking TWC unemployment specialists for UI tax questions
Hi everyone, I'm a small business owner with about 25 employees in Austin. I've got some urgent questions about employer UI tax rates and how to properly respond to benefit claims from former employees. Our TWC tax rate just jumped from 0.7% to 2.9% and I'm trying to understand if this is due to some claims I didn't contest properly last year. The determination letters are confusing me, and I need to know what rights I have to appeal these rate increases. Anyone here with experience from the employer side of TWC unemployment? The HR consultant we used to rely on retired last month and I'm struggling to navigate this system.
19 comments


Nia Thompson
There are definitely some specialists here! I'm not one, but I used to work in HR dealing with TWC unemployment. From the employer side, those rate increases usually happen when you have multiple successful claims against your account. Did you receive notices about your employees filing? You should've gotten a NOTICE OF APPLICATION FOR UNEMPLOYMENT BENEFITS for each claim with a deadline to respond (usually 14 days). If you didn't respond or the determinations went against you, that will definitely impact your rate. The good news is you CAN appeal the tax rate itself - TWC has a specific form for this on their employer portal. Btw I've heard Claimyr is helpful for getting through to TWC reps quickly about employer accounts too, not just for claimants: https://claimyr.com - check out their video demo at https://youtu.be/V-IMvH88P1U?si=kNxmh025COIlIzKh They can help you get priority access to a TWC specialist who deals with employer accounts.
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Luca Esposito
•Thanks for the reply! Yes, I received those notices but honestly didn't understand the importance of responding to each one promptly. Our former HR person used to handle this, and after she left, some fell through the cracks. Two of the claims were from seasonal workers we always rehire, but they filed during their off-season. Do you know if that should have affected our rate? I'll definitely check out that Claimyr service - at this point I'd pay anything to actually talk to a real TWC person!
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Mateo Rodriguez
TWC is such a mess for employers too huh?? I've only dealt with them as a claimant but they were a NIGHTMARE!!! took me 6 weeks to get my claim approved and then they randomly stopped payments for "work search verification" even tho I did everything right!!! Good luck getting any answers from those people!!!!!
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GalaxyGuardian
•this isnt helpful at all... the OP is asking about employer stuff not claims
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Aisha Abdullah
I've worked as an unemployment consultant for employers for 15 years, so I can offer some insights. Your tax rate increase is significant and definitely worth investigating. Here's what you need to know: 1. Tax rates are calculated based on your "chargeback history" - essentially claims paid out against your account over the past 3 years 2. Seasonal workers typically SHOULD NOT affect your rating if you properly designated them as seasonal and responded properly to the initial claims 3. You have 30 days from receiving your Annual Tax Rate Notice to file a Tax Rate Protest (Form FS-54) 4. Missing response deadlines on claim notices almost always results in automatic rulings against the employer I'd recommend pulling your Chargeback Statement from the Employer Portal first. This will show exactly which former employees' benefits affected your rating. Then file the protest with documentation showing which employees were seasonal with a regular pattern of layoff/rehire. The appeal process is separate from normal benefit determination appeals.
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Luca Esposito
•This is exactly what I needed! I just logged into the employer portal and found the Chargeback Statement. You're right - I see claims from our seasonal landscaping crew that shouldn't have been counted against us. I think I missed designating them properly as seasonal in our quarterly reports. Is there any way to correct this retroactively?
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Ethan Wilson
My wifes company went thru something similar last year. What they did was hire a specilized unemployment consultant who handles all there TWC stuff now. Its worth the money if u have alot of turnover. He saved them like $18k in tax by getting there rate lowered after he proved some claims shouldnt have counted against them. Also make sure ur documeting everything with employees, write-ups, timesheets, etc. cause if u dont u will lose determinations.
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Luca Esposito
•That's a good point about documentation. Looking back, I think that was a big part of our problem. We verbally warned employees but didn't always document it properly. Then when they filed for unemployment after being terminated, we couldn't prove misconduct. Do you happen to know how much these unemployment consultants typically charge? Is it a monthly fee or per-case?
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Ethan Wilson
•I think they pay like $250 a month for the service, not sure exactly. But it covers all claims and the yearly tax stuff too. They also helped setup better termination procedures so they can actually win cases now.
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Yuki Tanaka
I'm on the claimant side, but my husband is a business owner too. From what he's told me, you're probably getting charged for claims you didn't properly contest. The system totally favors employees if the employer doesn't respond with solid documentation. Also, you mentioned 'seasonal workers' - there's a special designation for that in TWC's employer system that you might have missed. If properly designated, those claims shouldn't affect your rate much.
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Carmen Diaz
•Actually, the system doesn't 'favor employees' - it follows specific laws. Employers who properly document everything and respond timely have plenty of protection. The problem is most small businesses don't understand the requirements until it's too late. Also, seasonal workers are only protected from affecting your rate if you've formally registered as a seasonal employer with TWC and specified your seasonal period. It's not automatic just because you call them 'seasonal.
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Yuki Tanaka
•Well my husband would disagree with you! He did everything right and still got charged for someone who quit voluntarily. The TWC rep even admitted they made a mistake later but said it was too late to fix it. And yes, I know about the seasonal designation, that's literally what I was referring to.
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Carmen Diaz
I'm a payroll accountant who handles unemployment matters for several small businesses. Here's my advice: 1. Request a detailed chargeback statement immediately (you can do this through the employer portal) 2. File a tax rate protest using Form FS-54 within your appeal window (30 days from receiving your rate notice) 3. For the seasonal workers, you need to provide documentation showing they're truly seasonal (regular pattern of employment/unemployment in the same part of each year) and that you properly informed them of this status 4. Going forward, implement a proper response system for ALL benefit claims notices - each one needs to be addressed within 14 days with supporting documentation 5. Consider signing up for the SIDES e-response system through TWC - it streamlines the entire response process and sends you reminders Your 2.9% isn't terrible (the maximum is over 7%), but it's definitely worth appealing if you have legitimate grounds. Feel free to ask if you have specific questions about any of these steps.
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Luca Esposito
•Thank you! I hadn't heard of the SIDES e-response system - just looked it up and that would definitely help us stay on top of things. I've already requested the detailed chargeback statement and am working on the FS-54 form. Would you recommend hiring an unemployment consultant service, or is this something we can reasonably handle in-house with proper procedures in place?
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Carmen Diaz
•For a company with 25 employees, I'd recommend handling it in-house with good procedures. Consultant services make more sense for larger companies with high turnover. The key is creating a solid system: 1. Assign a specific person to handle ALL TWC correspondence 2. Set up SIDES e-response 3. Create a documentation template for all disciplinary actions 4. Maintain a calendar system for TWC deadlines 5. Consider TWC's free employer seminars (they offer them quarterly) Once you get through this current situation, it's not overwhelming if you stay organized.
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GalaxyGuardian
my cousin works for twc and says theres a huge backlog of employer appeals right now so get your paperwork in asap and be super thorough the first time
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Luca Esposito
•Thanks for the heads up! I'll make sure to be extra thorough with our documentation.
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Aisha Abdullah
Just to follow up on my earlier comment - since you mentioned these are seasonal workers you regularly rehire, you should specifically look into TWC's "Seasonal Employer" designation. There's an actual formal process to be designated as a seasonal employer (Form C-24), and it's different from just having workers you consider "seasonal". If you get this designation, benefits paid during your designated off-season won't affect your tax rate as much. But you must apply for this status before the claims happen, not retroactively, unfortunately. Also, for future reference, always respond to ALL claim notices, even if you're not contesting them. Simply saying "claim is valid, separation was due to lack of work" helps establish your responsiveness pattern with TWC.
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Luca Esposito
•I had no idea about the Form C-24! That would have saved us so much trouble. I've already found it on the TWC website and will be submitting it this week. So to be clear, this won't help with our current tax rate, but should help prevent this issue next year during our slow season? And thanks for the tip about responding to all claims - that makes a lot of sense.
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