Links to items of current interest on the Unemployment Insurance (UI) Program and Web site:

• Change to Existing Unemployment Extensions
• Holiday Schedule for Applicants
• Unauthorized Web sites and Phone Scams
• 2010 UI Tax Rates
• Minnesota COBRA Premium Subsidy
• Replacement Unemployment Debit Cards are Being Issued

Minnesota COBRA Premium Subsidy

Beginning July 1, 2009, the Minnesota COBRA subsidy will pay 35 percent of the COBRA premium for people who meet certain qualifications. For more information on COBRA, visit:

Minnesota Department of Health - General information about COBRA in Minnesota, including who is eligible

COBRA Continuation Coverage Assistance - Information about the federal COBRA subsidy, part of the American Recovery and Reinvestment Act (ARRA)

2010 UI Tax Rates

2010 Unemployment Insurance Tax Rate Notices will be sent to all Minnesota employers by U.S. Mail no later than December 15, 2009.

Taxable Wage & Rate Information for 2010

• $27,000 – the annual taxable wage base for 2010 (the first $27,000 of gross wages paid to each employee is subject to unemployment insurance tax in 2010).
• 0.50% - the base tax rate
• 2.41% - the new employer tax rate for non-high experience rating industries (includes base tax rate)
• 8.50% - the new employer rate for high experience rating industries (includes base tax rate)
• 9.40% - the maximum tax rate (maximum experience rating + base tax rate)

Base Tax Rate + Your Experience Rating or Your New Employer Tax Rate = UI Tax Rate before Additional Assessments

Additional Assessments and Fees for 2010

• 14.00% of tax due – Additional Assessment
•   0.12% of taxable wages – Workforce Development Fee (also referred to as Workforce Enhancement Fee)

When you submit your wage detail report each quarter, the total amount due will be calculated as follows:

Your UI Tax Rate + Additional Assessment + Workforce Development Fee = Total Amount Due

Reminder: Your 2009 UI tax rate will be used to calculate your UI taxes due for the fourth quarter of 2009 (due by January 31, 2010).

Related Links:

• 2009 UI Tax Rates
• 4-Year Tax Rate History (2010)
• FAQs: 2010 UI Tax Rates