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Office of Unemployment Insurance

Excess Wages

Determine the taxable wage amount by calendar year using the chart on the right. The amount over this taxable wage limit is called EXCESS WAGES. You must report each worker’s entire gross wage each quarter. However, your tax is computed only on the taxable wage amount.

The following example illustrates how excess wages are calculated and reported using $8,000 as the taxable wage amount.

Taxable Wage Base
all years prior to 2011 are $8,000
Year	Amount
2011	$8,000
2012	$9,000
2013	$9,300
2014	$9,600
2015	$9,900
2016	$10,200
2017	$10,200
2018	$10,200
2019	$10,500
2020	$10,800

Assume these wages are paid:

(Click "Back to Wage" to return to the report entry screen.)

	1st Quarter	2nd Quarter	3rd Quarter	4th Quarter
Employee A	$10,400	$10,400	$11,500	$12,000
Employee B	$6,000	$6,000	$6,000	$6,000
Employee C	_________	$3,000	$6,000	$3,000
	$16,400	$19,400	$23,500	$21,000

The 1st quarter report would be as follows:

Employee	Gross Wages	Excess Wages
Employee A	$10,400	$2,400 ($10,400-$8,000)
Employee B	$6,000	$0

The 2nd quarter report would be as follows:

Employee	Gross Wages	Excess Wages
Employee A	$10,400	$10,400
Employee B	$6,000	$4,000($12,000-$8,000)
Employee C	$3,000	$0

The 3rd quarter report would be as follows:

Employee	Gross Wages	Excess Wages
Employee A	$11,500	$11,500
Employee B	$6,000	$6000
Employee C	$6000	$1,000 ($9,000-$8,000)

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