What is FUTA?

What is FUTA? Federal Unemployment Tax Rates and Information for 2022

The Federal Unemployment Tax Act (FUTA) established a scheme to assist states in paying for unemployment compensation for laid-off workers (other than for gross misconduct). This tax must be paid annually if you pay employees $1,500 or more in wages. This fee is in addition to any state unemployment insurance that you may be obligated to pay.

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