Unemployment funds come from a type of insurance that employersrs pay on behalf of the employe. It in most cases something that is required by the state in which you are employed. It has nothing at all to do with Social Security.
2007-11-04 10:05:19
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answer #1
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answered by ? 6
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Every employer in the U.S. is required to pay both Federal Unemployment Tax (the 941 form) and a State Unemployment Tax. Both taxes are based on wages paid to an employee. Occasionally employers are also required to deduct a small percentage from their employee's pay-check.
The federal tax is made up of two figures; the first of which is a straight percentage of the gross pay and the second part is a "State Penalty" which is based on the amount of money your state has borrowed from the federal fund.
The state tax is a percentage of gross pay, paid quarterly, but varies between employers based on their reserve; how much they have paid into the state fund, minus the amount paid out in claims made against the employer. This is why employers fight to keep their rate down by opposing claims made by employees who quit or get fired.
2007-11-04 10:19:22
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answer #2
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answered by Mike M 2
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Employers pay into their states' unemployment insurance fund in different amounts based on their experience rates. An employer who has a lot of claims pays up to 6.2% of taxable wages while one with few claims can pay a third of that. Social Security funds have nothing to do with unemployment.
2007-11-04 11:04:31
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answer #3
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answered by Anonymous
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Unemployment comp has nothing to do with social security. SS is a federal program, while UC is administered by each state. Your employer pays into UC while you are working, and this gives you coverage if you become eligible to collect.
2007-11-04 10:03:37
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answer #4
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answered by Judy 7
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Social Security Disability Information - http://DisabilityHelp.siopu.com/?ahi
2017-04-05 09:54:58
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answer #5
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answered by Loren 3
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