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Rhode Island Unemployment Compensation: What you need to know

Virtually all employers are subject to unemployment insurance taxes under the Rhode Island Employment Security Act (RI Gen. Laws Sec. 28-42-1et seq.). Coverage extends to:
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• Anyone that employs one or more persons for any part of a day within any calendar year
• Any employer subject to the Federal Unemployment Tax Act (FUTA)
• Any employer of a domestic worker that pays $1,000 or more in a calendar quarter
There are a few limited categories of employment for which no tax is imposed and benefits are not available. Included in the exceptions from coverage are services performed by:
• The employer's children under the age of 18, parents, or spouse
• Students working for the school at which they are studying or in a work-study program
• Participants in sheltered workshops and work-relief or work-training programs
• Student nurses and interns
• Real estate and insurance agents (except industrial and debit insurance agents) who work for commissions only
• Ministers and members of religious orders
• Golf caddies unless working solely for a club at the club's expense
• Persons working for a nonprofit organization that are paid less than $50 in a calendar quarter
• Casual laborers not working in the course of the employer's usual business unless working for a corporation
• Individuals working for a church or convention or association of churches
• Patients working for a hospital
• Inmates of a custodial or penal institution
Taxable wage base. The taxable wage base is tied to the average annual wage, and there is a higher taxable wage base for the highest users of unemployment insurance. For approximately three-quarters of Rhode Island employers, the 2013 taxable wage base is $20,200. For ...

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Rhode Island Unemployment Compensation Resources

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