The Federal-State Unemployment Insurance Program provides unemployment benefits to eligible workers who are unemployed through no fault of their own (as determined under State law), and meet other eligibility requirements of State law. Unemployment insurance payments (benefits) are intended to provide temporary financial assistance to unemployed workers who meet the requirements of State law.
Purpose of Unemployment Insurance :
- Each State administers a separate unemployment insurance program within guidelines established by Federal law.
- Eligibility for unemployment insurance, benefit amounts and the length of time benefits are available are determined by the State law under which unemployment insurance claims are established.
- In the majority of States, benefit funding is based solely on a tax imposed on employers. (Three (3) States require minimal employee contributions.)
Benefits :
- In general, benefits are based on a percentage of an individual's earnings over a recent 52-week period - up to a State maximum amount.
- Benefits can be paid for a maximum of 26 weeks in most States.
- Additional weeks of benefits may be available during times of high unemployment (see Extended Benefits). Some States provide additional benefits for specific purposes.
- Benefits are subject to Federal income taxes and must be reported on your Federal income tax return. You may elect to have the tax withheld by the State Unemployment Insurance agency.
In addition to helping workers and their families the Unemployment Insurance Program plays a key roll in helping business communities and nation's economy.
Check this guide for information on the benefits of these Unemployment Insurance Plans for you!
