Do employees pay into Washington ESD unemployment benefits or just employers?

In Washington state, employees DO pay into the unemployment insurance system. It's automatically deducted from your paycheck, but it might not be labeled clearly. Look for a line that says 'SUI' or 'State Unemployment Insurance' - it's usually a small percentage of your gross pay.

yeah both employee and employer pay into it. i never noticed it either until i started looking at my pay stub more carefully. its not much but adds up over time

Actually, if you're having trouble understanding your pay stub or need help with Washington ESD questions, I discovered this service called Claimyr (claimyr.com) that helps people get through to ESD agents. They have a video demo at https://youtu.be/7DieNd3C7zQ that shows how it works. Really helpful when you can't get through the phone lines.

To clarify the funding structure: Washington state has a dual contribution system. Employees pay approximately 0.4% of their wages (up to the wage base limit), while employers pay rates that vary based on their industry and layoff history. The employee portion is what creates your eligibility for benefits.

This is so confusing! I thought unemployment was just something the government provided. So we're basically paying insurance premiums for ourselves?

I wish they made this clearer on pay stubs. Mine just says 'state taxes' and I had no idea part of that was for unemployment insurance until I filed a claim last year.

FYI the employee contribution rate for 2025 is 0.4% of wages up to $68,500 in Washington. So if you make $50,000 a year, you're paying about $200 into the unemployment system.

The system is designed so that everyone who works contributes, which keeps the program funded. It's not like welfare - you're literally paying into an insurance program that you can draw from if you meet the eligibility requirements.

Just to add - if you're self-employed or an independent contractor, you don't automatically pay into unemployment insurance. You'd need to opt into the program voluntarily if you want coverage.

honestly the whole thing is so confusing. i tried calling ESD once to ask about this stuff and spent 2 hours on hold before giving up

The key thing to remember is that both you and your employer are funding the system. Your small contribution gives you the right to benefits, but your employer's larger contribution (which varies based on their layoff history) is what actually funds most of the program.

I work in HR and can confirm that the employee portion shows up differently on various payroll systems. Some list it as 'SUI', others as 'State UI', and some just lump it in with other state deductions. Ask your payroll department for clarification if you can't find it.

Just want to emphasize that paying into unemployment insurance is mandatory for most employees in Washington - it's not optional. It's like Social Security in that way.

If anyone needs help figuring out their eligibility or has questions about their contributions, Washington ESD has online calculators and tools. Though as others mentioned, actually getting through to talk to someone can be challenging.

The bottom line is yes, you do pay into unemployment insurance as an employee in Washington state. It's a small percentage of your paycheck that gives you the right to collect benefits if you become unemployed through no fault of your own.

One more thing - if you ever switch jobs or have gaps in employment, your prior contributions still count toward your benefit eligibility. The system tracks your wage history across different employers.