Surcharge Is for First Quarter of 2011
For the first quarter of 2011, employers are now required to pay a surcharge of 0.50% of taxable wages. Up to $90,000,000 of this surcharge is to be earmarked for interest payments for interest required to be paid under Title XII of the Social Security Act or for transfers to the state’s account in the unemployment trust fund.
Taxable Wage Base Will Increase in 2012
The taxable wage base will increase from $12,960 in 2011 to $13,560 in 2012.
Further Surcharge May Apply in 2012
If necessary to further interest payments, a surcharge will also apply to the first quarter of 2012 and the 2013 wage base will remain at $13,560. Otherwise, the 2013 wage base is scheduled to revert to the 2011 level of $12,960.
Maximum Benefits Reduced Starting in 2012
The new law also reduces the maximum total amount of benefits for an eligible individual, for specified benefit years starting in 2012, to 25 (instead of 26) times his or her weekly benefit amount plus dependents’ allowances, or to the total wages for insured work paid to such individual during the individual’s base period, whichever amount is smaller.
Contact Vision Payroll for Further Information
Contact Vision Payroll for further information on the changes to Illinois unemployment taxes.