SUTA

State Unemployment Tax Act (SUTA) taxes, also called state unemployment insurance (SUI) taxes, are employer-paid taxes that fund state unemployment benefit programs. Each state sets its own SUTA tax rates and wage bases.

SUTA rates vary significantly by state and by employer. New employers typically receive a standard "new employer rate" until they have enough employment history to be assigned an experience-rated rate. Employers with high unemployment claims history pay higher rates; those with low claims pay lower rates.

In Florida, the SUTA wage base is $7,000 per employee per year. New employer rates vary by industry. Managing unemployment claims effectively — including contesting unwarranted claims — is an important way to keep SUTA rates low.