Skip to content

How High are Your 2021 Unemployment Taxes?

How High are Your 2021 Unemployment Taxes?

January 4, 2021 Last Edit: March 4, 2025

How High are Your 2021 Unemployment Taxes?

Washington’s Employment Security Department has sent its unemployment insurance (UI) tax rate notices for 2021. Your feedback could help NFIB rollback this massive tax hike.

We have seen estimates that businesses with no layoffs or terminations during the pandemic could see unemployment insurance tax rates jump from about $44 per employee last year to $230 this year – a more than 500% increase. Tax rates for employers without previous UI claims that were forced to lay off or terminate workers during the COVID closures could have their taxes go from $44 to more than $1,000 per employee.

We need your help to determine whether these estimates are accurate, and how they could impact your ability to retain, re-hire, or add workers during 2021.

Members are already reporting skyrocketing rate increases.

  • A business with two, part-time employees hired midyear will see its rates increase more than 200%.
  • An employer who used a PPP loan to avoid layoffs during the pandemic will face a 400% unemployment tax increase.
  • Another reported their UI taxes increasing 500%, but no workforce details were provided.

A short survey on unemployment insurance rates is being emailed to members. If you haven’t received it, but would like to help, please click here for the survey.

 

 

 

Get to know NFIB

NFIB is a member-driven organization advocating on behalf of small and independent businesses nationwide.

Receive our newsletter and email notification
Knowledge is power. Let us help you stay informed with breaking legislative news, regulatory updates, business tips, and more.

Related Articles

June 30, 2025
Get Tips on Website ADA Compliance on the Small Business Rundow…
The Small Business Rundown talks website ADA compliance, the Small Business…
Read More
June 30, 2025
Reminder: Important Tax Changes Went into Effect on July 1
Income, sales & use, and the new “tech tax” are impacted
Read More
Small Business Owner Calculates Taxes Finance Expensive Inventory Inflation Cost
June 30, 2025
Florida’s Small Business Community Celebrates Tax Package Bec…
Governor DeSantis signed legislation eliminating the business rent tax
Read More
United States Capitol East Facade at angle
June 28, 2025
NFIB Key Votes the One Big Beautiful Bill Act in U.S. Senate
NFIB sent a letter to the U.S. Senate naming the One Big Beautiful Bill Act…
Read More

© 2001 - 2025 National Federation of Independent Business. All Rights Reserved. Terms and Conditions | Privacy Policy | Accessibility