By Payroll and Entitlements Editorial Staff
For 2019, Schedule B is in effect and rates range from 0.0% to 9.35%. The rate for new nonconstruction employers not yet eligible for an experience rate is 1.2%. The rate for construction employers for the first year is 6.0%. In years two and three, rates are 1.0% and 3.0%, respectively. All new employers are subject to a 0.55% investment fee.
All contributing employers pay an investment fee as well. The investment fee rate for experience-rated employers depends on the employer’s reserve ratio. For 2019, employers with reserve ratios of less than 1.0%, pay 0.53%; employers with reserve ratios of at least 1.0% but less than 1.2%, pay 0.5%; employers with reserve ratios of at least 1.2% but less than 1.3%, pay 0.4%; employers with reserve ratios of at least 1.3% but less than 1.4%, pay 0.3%; employers with reserve ratios of at least 1.4% but less than 1.5%, pay 0.2%; employers with reserve ratios of at least 1.5% but less than 1.6%, pay 0.1%; and employers with reserve ratios of at least 1.6% or more do not pay an investment fee.
For 2019, experience-rated employers whose reserve ratios are less than 2.25% pay a 0.02% administrative fee. The administrative fee does not apply to new employers (DOL Communication).
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