Unemployment Insurance Requirements for Wisconsin – UIAN

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For many employers in Wisconsin, receiving an Unemployment Insurance Account Number from the Wisconsin Department of Workforce Development is a requirement. The rules and laws change from time-to-time, so make sure you check with the state before making a determination if you as an employer are subject to unemployment insurance laws and regulations.

Because 1 Reason Insurance works with so many new businesses, we get asked often how to setup LLCs, get a Federal Employer Identification number, and unemployment insurance. Because our focus is to help in every way possible, we pulled a small and limited amount of information from Wisconsin Department of Workforce Development's website to make it easy to find more information. It would be a significant mistake to use this page as your only source of information in terms of business liability for unemployment insurance. If you consider this page as a starting point, or easy link to get registered with WI DWD, you have the right idea.

According to Wisconsin Department of Workforce Development, the following is my understanding of the Wisconsin guidelines to determine coverage liability (as of the date of writing). If you meet one or more of the conditions, you can anticipate needing a UIAN if you don't have one already:

  • Conditions Exclusive to Qualified Settlement Fund (QSF):

    • Qualified Settlement Funds (QSF) can not be employers. No services are performed by any employees involved in the settlement for the QSF and the settlement fund cannot be considered the employer.
    • Settlement wages must be allocated to and reported by the appropriate employer(s) involved in the settlement.
    • Do not register the QSF as an employer under New Employer Registration.
  • Conditions Exclusive to Commercial Employers (this is the most common reason for my clients):

    • You paid wages of $1,500 or more in a quarter in any calendar year or;
      You employed one or more individuals in employment for some part of a day in 20 or more weeks in any calendar year. The weeks need not be consecutive and part-time employees must be included in the employee count.
  • Conditions Exclusive to Agricultural Employers:

    • You paid cash wages for agricultural labor of $20,000 or more in a quarter in any calendar year or;
    • You employed ten or more individuals in agricultural labor for some part of a day in 20 or more weeks of any calendar year.
  • Conditions Exclusive to Domestic Employers:

    • You paid cash wages of $1,000 or more in a quarter for domestic service in any calendar year.
  • Conditions Exclusive to Nonprofit Employers:

    • You are a nonprofit organization described in Section 501(c)(3) of the Internal Revenue Code and you employed four or more individuals on a day in 20 or more weeks in any calendar year.
    • Other nonprofit organizations (i.e., non 501(c)(3)) fall under the commercial employer's conditions for liability (see Conditions Exclusive to Commercial Employers above).
  • Conditions Exclusive to Government Employers:

     

    • Government employers have mandatory coverage.
  • General Conditions Under Which ANY Employer Will Be Liable for UI Taxes:

     

    • You've paid any wages for Wisconsin employment and you have a liability for that year under the Federal Unemployment Tax Act (FUTA) or;
    • You've taken over part or all of the business of an employer already covered under the law (see Part 6: Business Transfers and Taking over a UI Account) or;
    • You have no liability by law, but you voluntarily elected to become a covered employer (with the Department's approval).

If any of the above apply to you, or if you can reasonably anticipate the above will soon apply to you, there's an online form that you can fill out. By filling out the form, you will be registering as a new employer in Wisconsin.

http://dwd.wisconsin.gov/uitax  Click on "New Employer Registration"

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