Employers receive annual evaluations of their unemployment tax rates each year. They deliver new experience rates for the state to use in calculating unemployment contributions, usually arriving in December or January. The state Unemployment insurance Rate (SUI) depends on the State, and this rate is specific to different companies. In case you are a new employer until you submit unemployment taxes, the state offers you a new employer rate.

The SUI rate needs to be adjusted accordingly in the payroll whenever it experiences any changes. Among the variegated functionalities of the QuickBooks accounting program, one major benefit it offers to its users is that they can Update State Unemployment Insurance Rate in QuickBooks.

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Procedure to Update the Unemployment Insurance SUI Rate in QuickBooks

The procedure to update the new SUI rate in QuickBooks payroll is enumerated in the following lines:

  • In the very beginning, the user is required to open the browser and navigate to QuickBooks Online.
  • Login to the account after typing in the login credentials.
  • Thereafter, click on the Settings menu.
  • Choose Payroll settings.
Payroll settings - Image
  • Pick the state that needs to be updated, and once determined, hit on the Edit option beside it.
Update your Unemployment Rate in QuickBooks Online Full Service Payroll - Image 1
  • Head to the State Unemployment Insurance (SUI) Setup option.
  • Herein, click on the option to Change or Add New Rate option.
Change or Add New Rate - Image
  • The user now requires to include the new rate and the date of effect.
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  • Incorporation of any surcharge or assessment tax rates made also need to be done by the user.
  • Thereafter, type in the new rate and the day of its effect.
  • Finally, click on the Save button to save the changes made in the foregoing steps.

Steps to Update SUI in QuickBooks Payroll

Due to its exclusion in the regular tax table in QuickBooks Payroll, the SUI rate needs to be updated manually. The steps given below should aid you through:

  • Hit on the Lists option.
  • Thereafter, choose the Payroll Item List option.
  • Herein, the user needs to double-click on ‘’[state abbreviation] -Unemployment Company’’.
  • Hit on the Next tab.
  • In the Company tax rates screen, type in the accurate rates for every quarter.
  • Follow up by clicking on Next and then hit on Finish.

Steps to incorporate Surcharge rates

Users can also add Surcharge rates through QuickBooks itself. The steps for the process are:

  • Visit the Lists tab and follow up by hitting on the Payroll Item List.
  • Subsequently, double-click on the State Surcharge item option.
  • Hit on Next.
  • The Company Tax Rate screen shows up.
  • Herein, manually type in the Surcharge rate as a percentage.

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How to Update your Unemployment Rate in QuickBooks Online Full Service Payroll?

Update your Unemployment Rate in QuickBooks Online Full Service Payroll - Image

To update SUI in QuickBooks Online Full Service Payroll, users should directly connect with our QuickBooks experts and know the elaborate and easy procedure for the same.

Relationship between FUTA and SUI

There is a certain relationship between the State Unemployment Insurance(SUI) and the Federal Unemployment Tax Act(FUTA). It should be noted that the FUTA tax rate is 6%. However, organizations can also go for a 0.6% rate if they successfully pay their SUI taxes on time. Furthermore, the company should not be in a Credit Reduction State.

That brings us to the conclusion of this brief yet, crucial blog. Herein, we have subsumed all the steps that can help users to Update state Unemployment Insurance Rate in QuickBooks. In case of any unresolved queries, users can directly connect with our 24/7 QuickBooks desktop support team of experts at the helpline i.e., 1-800-761-1787.

Frequently Asked Questions (FAQs)

What is SUI in the US payroll?

SUI is the abbreviation for State Unemployment Insurance, a tax program by employers for offering distinct benefits to their workers.

Is SUI an expense?

SUI rates form part and parcel of the payroll taxes that the employer is required to pay to the employees who have suffered a recent layoff or have been fired from the company due to other reasons, except misconduct.

What category is SUI?

SUI deduction from the paycheck is made to siphon the funds to the state with a pursuit to support workers out of their jobs.

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