Skip to comments.Key States Default in November on Unemployment Loans: Feds Sock Business to Make It Up
Posted on 12/16/2011 2:55:51 PM PST by beebuster2000
we run a business in one of the sates mentioned below. last month we got socked with a huge retro charge from the Feds on unemployment insurance. Paycor, who runs our payroll, sent the below. Apparantly when the Obama administration extended UC benefits last time, the states couldnt pay, and the feds "loaned" them the money. Now that the states can't pay it back, the Feds, by fiat, just take it from business that actually still has employees. Unexpectedly, without warning, without any process.
From the payroll company;
There are 22 states that have outstanding loans from the federal government dating back to 2009 and earlier. Unless these loans are repaid by November 10, employers in those jurisdictions will be subject to a reduction of 0.3 percent or more in the credit for unemployment taxes that can be applied to the overall FUTA tax. As of November 9, Kentucky, Michigan, Missouri, Ohio and North Carolina have announced that they will be subject to the FUTA credit reduction for 2011.
Paycor will recover the FUTA amounts due by processing a onetime adjustment run for each client affected by this change. Paycor clients affected will be notified by email or letter with the amount of debit and date of debit from the bank account. The adjustment run will occur on or before December 9, 2011 with a check date of December 16, 2011. The debit from the account(s) will be on December 15, 2011.
tell me again how “the rich” are the problem there arent more jobs.
These are the types of actions that will destroy the small businesses left in this country. Then again, this is what the federal government wants.
Because you “Rich People” ain’t hiring poor people to work. You are hording your cash and not spreading it around, so the Feds have to take from you. /s
Give all your employess a pay cut. They after all are those who get unemployment checks if needed.