Quick Bites about Unemployment Benefits:

  • Check your state’s Department of Labor for details
  • Unemployment Benefits are paid out of a state level mandatory insurance pool with employers paying a tax to fund the pool.
  • In Alabama and Georgia new businesses pay 2.7% on the wage base.  After a period of time the tax rate falls or rises based on number of claims currently and recently paid to former employees.
    • There is a table for calculating.
    • Payments are made on a quarterly basis
  • Some entities are exempt from the unemployment insurance tax (non-profits, religious, among others)
  • Employees are not eligible if reason for separation of diminution of hours is their fault:
    • Fired for cause
    • Quit
  • Part time employees may be eligible if their paychecks fall below the benefit amount for that reporting period.

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