How much do I pay in Washington unemployment taxes - confused about rates

Washington state unemployment tax is paid by both you and your employer. For 2025, employees pay 0.58% of their wages up to the wage cap. So if you make $60,000 annually, you'd pay about $348 per year in unemployment taxes, spread across your paychecks.

i think mine shows up as SUTA on my paystub but not sure if thats the same thing

The rate can actually vary slightly from year to year based on the unemployment insurance trust fund balance. I've seen it range from 0.4% to 0.6% over the past few years. Your employer also pays a separate rate that's usually higher than what employees pay.

Had to call Washington ESD last year about a payroll issue and spent literally 4 hours on hold. If you need to verify your tax withholdings with them directly, I'd recommend checking out claimyr.com - they can get you through to an actual agent without the endless hold times. There's a demo video at https://youtu.be/7DieNd3C7zQ showing how it works.

Wait I thought only employers paid unemployment taxes? I've been working for 3 years and never noticed this on my paystub.

The wage cap is important to understand too. Once you hit the annual maximum taxable wages (around $62,500 in 2025), you stop paying unemployment taxes for the rest of the year. So higher earners don't pay unemployment tax on their entire salary.

this is why i hate taxes so confusing with all these different deductions

One thing to note - if you're self-employed or an independent contractor, you typically don't pay into unemployment insurance and therefore can't collect unemployment benefits if you lose work. There are some exceptions with recent legislation, but it's still primarily for traditional employees.

Your HR should be able to show you exactly how much you've paid in unemployment taxes year-to-date on your paystub or through your payroll portal. It's usually broken out separately from other deductions.

Just to clarify the math for anyone else wondering: if you make $50,000 per year, you'd pay $290 annually in Washington unemployment taxes ($50,000 × 0.0058 = $290). That breaks down to about $11 per biweekly paycheck or $24 per monthly paycheck.

The unemployment tax also funds job training programs and other workforce development initiatives, not just unemployment benefits. So it's contributing to the broader employment ecosystem in Washington state.

been paying this for 10 years and never really thought about what the rate was until now lol

If you ever need to contact Washington ESD about your tax withholdings or to get a statement of wages and taxes paid, be prepared for long wait times. Their phone system gets overwhelmed easily, especially during busy periods.

The good news is that Washington unemployment taxes are relatively straightforward compared to some other states. Fixed rate, clear wage cap, and it shows up clearly on most paystubs once you know what to look for.

Just make sure your employer is actually withholding the correct amount. I had a payroll error once where they weren't taking out unemployment tax and I had to pay a lump sum later.

For anyone who's curious, you can also see your unemployment tax contributions when you file your state tax return. It's usually listed in the withholdings section.

The 0.58% rate for 2025 is actually slightly higher than it was a few years ago. The state had to increase it to rebuild the unemployment trust fund after it was depleted during the pandemic.

At least knowing you're paying into it means you're eligible for benefits if you ever need them. It's basically insurance that you hope you never have to use.

Quick tip - if you change jobs frequently, make sure each employer is withholding unemployment tax. Sometimes there can be gaps if you have multiple W-2s in a year and one employer messes up the withholding.

Bottom line: 0.58% of your wages up to about $62,500 annually. Simple calculation, and it's automatically deducted from your paycheck. Most people pay between $200-400 per year depending on their salary.

One thing that might help is checking if your company uses a payroll service like ADP or Paychex. These systems usually have detailed breakdowns online where you can see exactly how much has been withheld for unemployment taxes year-to-date. I found it really useful when I was trying to track all my different tax withholdings. You can usually access this through your employee self-service portal if your company offers one.