Process Name:

Calculate Adjust Individual Employer Rate

Role:

•      SUITS

Objective(s):

•      To recalculate an individual employer’s Unemployment Insurance tax rate when a request is received.

•      To assign a new UI tax rate for an individual employer manually initiated by Internal User.

Before you begin:

•      Employer account must exist in SUITS.

•    Employer is subject to and liable for unemployment insurance.

•    Employer is eligible for a calculated UI tax rate.

•      A request to recalculate an employer’s UI tax rate has been received.

What happens next:

•    Employer has been manually assigned a new UI tax rate or Employer’s UI tax rate has been recalculated by SUITS.

•    SUITS has recalculated any additional tax due for the years the rate was adjusted.

•    Employer has been notified of their new UI tax rate.

1. 

SUITS receives a request to recalculate an employer’s UI tax rate. Alternate flows initiate from this step and include Internal User steps.

If Internal User manually assigns an employer’s UI tax rate, See Manually Assign Rate.

•      If SUITS receives a request to recalculate a rate due to partial experience transfer, See Partial Experience Transfer.

•      If SUITS receives a request to recalculate a rate due to reversal of an experience transfer, See Reverse Experience Transfer.

2. 

SUITS calculates the year for which the UI tax rate will be recalculated.

3. 

SUITS adjusts the successor taxable wages and total benefits charges as necessary.

4. 

•      SUITS determines if there are other predecessor accounts.

•      SUITS repeats adjustments (Steps 2-3) for all other predecessor accounts.

5. 

SUITS updates the employer UI tax rate.

In the instance in which the successor is liable as a result of the acquisition and the experience transfer. The successor receives the predecessor’s rate (or highest rate in the event there are multiple predecessors) for the remainder of the year in which the acquisition took place.

•      For a full experience transfer, the rates will be effective the day of the transfer.

•      For a partial experience transfer, the rates will be effective the day of the transfer.

6. 

SUITS recalculates any tax due, interest and penalties for affected years by quarter.

7. 

SUITS updates the employer account.