Unemployment Insurance Assessment on the Way
Are you an employer in Colorado? Be watching your mailbox in June or July, because an assessment is on it’s way. Colorado employers pay premiums into the Colorado Unemployment Insurance Trust Fund to pay for unemployment benefits. The recent economic downturn caused an unprecedented demand for unemployment benefits in Colorado and across the country. In January 2010, Colorado joined 30 other states in borrowing money from the federal government so that we could continue to pay unemployment benefits from the state’s Unemployment Insurance Trust Fund. Unless Congress acts, by law, certain experience-rated employers must make an annual interest payment on borrowed money from the federal government (see the Colorado Employment Security Act 8-77-103). All active, experience-rated employers must share in the repayment of the federal loan interest, so when you get an assessment bill, please don’t think it’s junk mail and throw it out! If you are an employer in Colorado, you will need to make this payment or else be subject to interest and penalties.
