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Unemployment tax wages should stop accumulating at $32,000 for the calendar year

Hi All,

New Jersey unemployment wage type /710 & /731 amounts are not calculating correctly for some employees who have transferred from NY to NJ. 

The NJ calculated taxable wages need to take into account the taxable wages earned in NY.

The combined total of taxable wages should stop accumulating at $32,000 for the calendar year.


However, there are employees for whom combined taxable wages exceed this amount.

Wage type /718, /720, /724 & /741 amounts are calculating correctly for NJ employees and wage type /710 & /731 amounts should be the same as those four wage types. 


When an employee changes his or her unemployment state, the employer unemployment taxable wages (/710) from the previous state are correctly taken into consideration when determining the taxable wages for the new state.

Max unemployment taxable  Limit of New jersey is $32000.

Max unemployment taxable  Limit of New York    is $10500.

Here an employee relocates from New york (unemployment taxable limit of $10,500) to New Jersey (unemployment taxable limit of $32,000). If /710 for New york has reached $10,500 prior to the relocation, then /710 for New Jersey will stop at $21,500 (since $10,500 plus $21,500 equals $32,000).


Could you please provide some inputs for the above mentioned issue.


Regards,

Siraj.

Former Member

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