Unemployment Compensation
If you are part of the state unemployment program, your tax rate is adjusted each year based on the amount of unemployment benefits received by your eligible employees vs. the taxable wage base (the assigned tax rate on the first $10,000 of each employees earnings).
Also, if your authority is part of the state unemployment plan, your annual rate can be adjusted negatively based on the solvency of the state. This adjustment is determined based on all unemployment benefits paid vs. the PA state reserve funds. This reserve fund includes all industry types in PA.
Doesn't it make sense to belong to an unemployment program geared only to authorities?
PMAA offers that alternative.
The base rate or entry rate for authorities that join is 2.7% on the first $10,000 vs. the average employer state rate in the state of PA of 6.7%. This is a cost savings of $390.00 per employee.
Also, your rate will not be adjusted based on the solvency of the state…something you have no control over. Once you are part of the PMAA UC Trust, your own experience will help control your cost.
For additional information, please contact:
Mike Baer
717.737.7655 x116
baer@municipalauthorities.org
or
Mike Gruschow
Unemployment Compensation Administrator
717.737.7655 x108
gruschow@municipalauthorities.org
Supporting Documents:
Rules of the Trust
Unemployment Compensation Brochure
Quarterly Reporting Form – Page 1
Quarterly Reporting Form – Additional Page
Unemployment Compensation Filing Instructions & Contact Information
Current UC Participants
Authority members only