District of Columbia Unemployment Tax Rates Set to Rise in 2021

By December 8, 2020News, Regional

The District of Columbia Department of Employment Services announced that unemployment tax rates are set to increase for 2021.

Effective January 1, 2021, unemployment tax rates for experience-rated employers are to be determined with Table 6, causing rates to range from 1.90% to 4.40% for positive-rated employers and from 6.20% to 7.40% for negative-rated employers.

Tax rates for 2020 were determined with Table 5, which generally has lower tax rates than Table 6.

The tax rate for new employers is to be 2.7o% in 2021, unchanged from 2020.

Employers also are required for 2021, as for 2020, to pay an administrative funding assessment of 0.20%.

The unemployment taxable wage base is to be $9,000 for 2021, unchanged from 2020.

As always, if there are any questions please do not hesitate to contact us or visit our website at www.thomas-and-company.com.

Josh Kendall

Author Josh Kendall

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