Finance Questions? Ask a Financial Expert for Answers ASAP
Hi and welcome to Just Answer! I'm happy to help answer your Finance questions. Feel free to interject at any time if you need clarification.
How many years has your business been in operation?
Only 13 months
Also, I asked the MI UIA the following, but they were of no help: I formed the business in Illinois and the first 7 months we did business in illinois (and paid into ill. UIA), then moved the business to MI early this year (and paid into MI UIA). I don't think he would even qualify, since we've been in MI for such a short time.
Give me a couple minutes and I will get an answer to you.
As a new employer, you would not see an immediate increase in your tax rate. New Michigan employers pay 2.7% in UIA taxes for the first three years. After the third year, your rate will be partially based on experience. At this time, it is impossible to tell you how much your rate will increase 3 years from now based on the layoff of this employee since you have so little "experience" in the state of Michigan. I will provide you a link to the claculations in just a minute.
To be able to claim benefits in Michigan, they must have been employed by you for 24 weeks and earned a minimum of $4306 in this period.
Under this list of FAQs, you will want to click on Chargeable Benefits Component, Nonchargeable Benefits component, and Account Building Component to learn about the calculation of rates.
Thank you. I'm accepting.