
Originally Posted by
Sgt. Hartman
There is so much misinformation in this thread I don't even know where to start. You guys shouldn't post about subjects you're completely ignorant about.
- unemployment wages are a form of social welfare, look up the definition
- employees do not contribute to unemployment insurance in any way, that's right $0.00, nothing
- the employer pays 6% of the first $7000 you make per year to the federal govt (FUTA); local state govt charges and collects the remainder, which can be over 10% in some states
- the unemployment tax rate is based on demand, ie. more people collecting unemployment causes an increase in the employer's unemployment tax rates
- because unemployment is currently so high, state government's unemployment funds have run dry and they have had to borrow tens of billions of dollars from the fed govt which is already insolvent
- the few states that haven't borrowed money from Uncle Sam have had to increase their unemployment tax rates to insanely high levels which cripples businesses