SUTA

SUTA, state unemployment tax, is the tax employers pay into their state's unemployment insurance fund. Each state sets its own rates and taxable wage base. It is also called SUI, state unemployment insurance, or a state reemployment tax.

Your rate depends on your experience rating, meaning how many former employees have drawn benefits, and new employers start at a rate the state assigns. The tax applies only up to the state's wage base for each employee. In a few states employees pay a small share too.

Paying SUTA on time earns the credit that cuts FUTA from 6.0% to 0.6%. Each state page in the payroll calculator by state lists that state's wage base and rate range, and the payroll calculator lets you enter the rate on your notice.