1. Purpose.To transmit estimated employer contribution rates for CY 2004.
2. Background. The attached tables contain preliminary estimates of unemployment insurance (UI) average employer contribution rates reported by state agencies. The first table contains estimates for CY 2004 and actual rates for CY 2003 and CY 2002. The rates shown are UI taxes as a percentage of wages up to the state taxable wage base. To permit comparison of data among states with different taxable wage bases, estimated tax rates for each year are also shown based on total wages. The second table ranks the states for CY 2004 by their level of UI taxation relative to total wages.
3. Action Required. State Administrators are requested to provide this information to the appropriate staff.
4. Inquiries. Questions should be directed to the appropriate Regional Office.
5. Attachments. Tabulation of average employer contribution rates: (1) by state, calendar years 2002-2004; (2) by tax rate based on total wages, CY 2004.
| RESCISSIONS | EXPIRATION DATE |
| None | July 31, 2005
|