State unemployment tax

SUTA rates explained for employers

SUTA is state unemployment tax. It is generally employer-paid, state-administered, and experience-rated. That means two employers in the same state can have different rates because their industry, claim history, account age, and state notices differ.

Why the calculator uses ranges

A precise SUTA calculation requires the employer's assigned state UI rate and the state's taxable wage base for the current year. New employers often receive a default or industry-based rate, while established employers receive annual rate notices.

What to enter when you know your rate

Select "Use custom employer rate" and enter the rate from your state agency notice. This turns the SUTA portion from a planning range into a specific estimate, while other components may still vary.

What is excluded

The tool does not calculate employee income tax withholding, local payroll taxes, state disability programs, paid family leave, or special industry assessments unless listed in the state note.