Unemployment Insurance Tax Tweaks Small Service Employers Should Budget For (2024–2026)

Legislation / unemployment insurance · Small & new service employers · Updated 2026-09-18

Unemployment Insurance Tax Tweaks Small Service Employers Should Budget For (2024–2026)

Quick answer: Three states dominate this curated formation-season tracker. New Jersey A4047 is now P.L.2024, c.102 (approved 2024-12-12): charging and eligibility reforms that can change what hits an employer’s UI experience account (overpayment charging on appeals; multi-employer charging when a worker is still employed by one base-year employer). Budget the cash tax using NJ DOL Table C (FY2026–27) — published new employer rate 2.8% (current-rate column) — not a percentage invented from the bill title. Idaho H0054 (Session Law Ch. 29, effective 2025-07-01) revises taxable-wage-base and experience-rating statutes and nullifies listed IDAPA UI rules; new employers start at Idaho DOL’s published standard rate 1.000% for at least six calendar quarters (taxable wage base $55,300 in 2025; $58,300 on the 2026 rate-class array). Nebraska LB1393 (2024) + LB297 (2025) rewrite the combined-tax formula in §48-649.03 — including a 5% reduction of the final average combined tax rate for 2025–2029 and a tax-year 2025 category-12 rate of 0.48 — and NDOL’s Combined Tax Rates table shows new-employer non-construction 1.25% (construction 5.40%) for CY2024–CY2026.

Not legal advice. Proposed ≠ law. Do not invent rate percentages from bill titles — always pair statute changes with the state UI agency’s published schedule for the tax year. Aimed at cleaning, HVAC, salon, and daycare employers in year 1–2.

U.S. map of unemployment insurance tax tweaks small service employers should budget for 2024 to 2026
Charging/eligibility · employment-security admin · combined-tax formula · no curated change. As of 2026-09-18.
Bar chart of UI tax tweaks tracker status counts for small employers

Featured changes + official rate sources

StateBucketWhat changedNew-employer rate note (agency)Bills
New Jerseyenacted charging eligibilityA4047 became P.L.2024, c.102 (approved 2024-12-12). Assembly Labor Committee statement: UI charging/eligibility package — among other items, (a) removes the rule that overpayments during an employer appeal that later reduces benefits stay charged to the employer’s UI tax account; (b) stops charging a base-year employer’s account for benefits paid while the claimant still works for that employer but is laid off by another base-year employer; plus several claimant-eligibility/electronic-access changes. This is a charging-rules tracker row, not a rewrite of the experience-rating tax table.Budget using NJ DOL Table C — New Employer Rate 2.8% (current-rate column) for FY2026–27; do not invent % from A4047 titleA4047 bill_id 1861270 — Passed; Approved P.L.2024, c.102 (2024-12-12); substituted for S2949
Idahoenacted employment security adminH0054 — Session Law Chapter 29; Governor signed; effective 2025-07-01 (IDAPA sunset clauses also 2025-07-01 for listed sections). Revises Employment Security Law including taxable wage base (Idaho Code §72-1350), employer experience ratings (§72-1351 / §72-1351A), covered employment, PEO experience transfers, records/reports, and declares certain IDAPA 09.01.01 / 09.01.08 / 09.01.30 / 09.01.35 administrative rules null and void. Operator impact: confirm post-2025-07-01 wage-base and experience-rating procedures against Idaho DOL published arrays — not against pre-nullification IDAPA copies alone.Budget Idaho new-employer UI at DOL standard rate 1.000% × published taxable wage base ($55,300 for 2025; $58,300 on 2026 array) — cite DOL arrays, not H0054 titleH0054 bill_id 1939797 — Passed; Session Law Chapter 29; Effective 2025-07-01
Nebraskaenacted combined tax formulaLB1393 (approved 2024-04-16) and LB297 (approved 2025-03-25, emergency clause) both amend Neb. Rev. Stat. §48-649.03 combined tax rate under the Employment Security Law. LB297 slip law: (1) for Jan 1, 2025–Dec 31, 2029 the final average combined tax rate is reduced by five percent; (2) in tax year 2025 only, category twelve rate shall be 0.48; (3) adjusts when the commissioner may lower the yield factor (threshold changed to state’s reserve ratio ≥ 0.70%). Pair every % with NDOL’s published Combined Tax Rates table.New cleaning/salon/daycare/HVAC employers (non-construction): budget NDOL new-employer rate 1.25% of taxable wages; construction trades use 5.40% — from NDOL table, not bill titlesLB1393 bill_id 1818575 — Passed 2024-04-18; LB297 bill_id 1920235 — Passed / Approved by Governor 2025-03-25 (emergency)

Agency rate cites (bookmark these)

Formation checklist (cleaning / HVAC / salon / daycare)

  1. Register for a state UI employer account as soon as you have covered wages — new-employer columns apply until you earn an experience rate.
  2. NJ: Read P.L.2024, c.102 charging rules if you share workers across entities or fight benefit charges; price payroll tax from Table C, not headlines.
  3. ID: After 2025-07-01, use post-H0054 DOL arrays for wage base + standard/experience rates; discard superseded IDAPA copies the Act nullified.
  4. NE: Model year-1 cost at NDOL’s published new-employer rate; experience-rated firms should note LB297’s 2025–2029 average-rate reduction and the 2025 category-12 0.48 fix.
  5. Companion labor rules: paid sick leave employer-size thresholds · noncompete wage thresholds for service workers.

All 51 statuses (curated)

AbbrStateBucketBills
ALAlabamano curated change
AKAlaskano curated change
AZArizonano curated change
ARArkansasno curated change
CACaliforniano curated change
COColoradono curated change
CTConnecticutno curated change
DEDelawareno curated change
DCDistrict of Columbiano curated change
FLFloridano curated change
GAGeorgiano curated change
HIHawaiino curated change
IDIdahoenacted employment security adminH0054 bill_id 1939797 — Passed; Session Law Chapter 29; Effective 2025-07-01
ILIllinoisno curated change
INIndianano curated change
IAIowano curated change
KSKansasno curated change
KYKentuckyno curated change
LALouisianano curated change
MEMaineno curated change
MDMarylandno curated change
MAMassachusettsno curated change
MIMichiganno curated change
MNMinnesotano curated change
MSMississippino curated change
MOMissourino curated change
MTMontanano curated change
NENebraskaenacted combined tax formulaLB1393 bill_id 1818575 — Passed 2024-04-18; LB297 bill_id 1920235 — Passed / Approved by Governor 2025-03-25 (emergency)
NVNevadano curated change
NHNew Hampshireno curated change
NJNew Jerseyenacted charging eligibilityA4047 bill_id 1861270 — Passed; Approved P.L.2024, c.102 (2024-12-12); substituted for S2949
NMNew Mexicono curated change
NYNew Yorkno curated change
NCNorth Carolinano curated change
NDNorth Dakotano curated change
OHOhiono curated change
OKOklahomano curated change
OROregonno curated change
PAPennsylvaniano curated change
RIRhode Islandno curated change
SCSouth Carolinano curated change
SDSouth Dakotano curated change
TNTennesseeno curated change
TXTexasno curated change
UTUtahno curated change
VTVermontno curated change
VAVirginiano curated change
WAWashingtonno curated change
WVWest Virginiano curated change
WIWisconsinno curated change
WYWyomingno curated change

Download: unemployment-insurance-tax-changes-small-employers-by-state.csv (LegiScan data CC BY 4.0; cite LegiScan + state legislature + UI agency rate schedules).

Methods & fences

  • LegiScan getBill: NJ A4047 (1861270) P.L.2024 c.102; ID H0054 (1939797) Ch.29 eff. 2025-07-01; NE LB1393 (1818575); NE LB297 (1920235).
  • Rate % taken only from NJ DOL Table C, Idaho DOL tax arrays / standard-rate page, NDOL Combined Tax Rates, or numbers printed in chaptered LB297 — never from bill titles alone.
  • Fences: proposed ≠ law; agency schedules control the tax year; not legal advice; distinct from WC-threshold and SBA lending magnets.