Administered by the New York Department of Labor, the New York State Unemployment Insurance Program helps provide temporary and monetary benefits to certain workers that have been laid off through no personal fault. In order to remain compliant with the law, New York State employers should understand the requirements regarding unemployment insurance.
Here is everything employers need to know about unemployment insurance in New York State.
In New York State, unemployment insurance serves as temporary income for eligible unemployed workers due to circumstances beyond his or her control. Within a one-year period, qualifying individuals are eligible to receive a weekly benefit payment for up to 26 weeks.
Important to note is that New York State employers are required to pay unemployment insurance benefits, not the employees. The New York Department of Labor, on the other hand, is responsible for deciding eligibility for unemployment benefits.
There are various requirements that dictate what qualifies an employer to provide unemployment insurance coverage in New York State. These requirements consist of:
There are special considerations for:
In New York, qualified employees can apply for and obtain unemployment benefits under specific circumstances.
Employers in New York State are required to register for withholding and wage reporting for Unemployment Insurance by filling out the NYS 100, New York State Employer Registration for Unemployment Insurance, Withholding, and Wage Reporting form. This can be done online.
Employers in New York are responsible for ensuring that the business meets all of the requirements of the Unemployment Insurance law.
Employers may designate these responsibilities to an agent or other representative by submitting form IA 900, Power of Attorney. These responsibilities may include:
Employers are also responsible for filing and paying the Quarterly Combined Withholding, Wage Reporting, and Unemployment Insurance Return form (NYS-45) on time.
The filing due dates are as follows:
It should be noted that employers must file the NYS 45 return even if no contributions are owed.
Every year, in mid-February, The Department of Labor mails employers UI rate notices. The New York State 2025 Unemployment Insurance (UI) contribution rates are as follows:
| UI Rate * | RSF ** | Total | |
| Lowest rate: | 2.025% | 0.075% | 2.1% |
| New Employer rate: | 4.025% | 0.075% | 4.1% |
| Highest rate: | 9.825% | 0.075% | 9.9% |
New York employers are required to report payroll and pay UI contributions each calendar quarter, using form NYS-45 and form NYS-45-ATT if applicable. As stated previously, reporting forms are to be filed even if the employer had no payroll in the given quarter.
Wages include every form of compensation an employer pays to covered employees, such as:
New York employers are required to maintain payroll records of employees for a minimum of three calendar years.
Records should include:
All records must be available for inspection by the Department of Labor upon request.
In order to qualify for New York Unemployment Insurance Benefits, an individual must have worked and been paid wages in jobs covered by Unemployment Insurance in at least two calendar quarters.
For Unemployment Insurance claims filed in 2025, an individual must have been paid at least $3,400 in one calendar quarter, and the total wages paid to the individual must be at least 1.5 times the amount paid in his or her "high quarter".
An individual's high quarter is the quarter of the base period in which he or she was paid the most money.
An exception to this rule is if the high quarter wages were $11,088 or more, he or she must have been paid at least $5,544 (half of $11,088) total in the other three quarters of the base period.
To further be eligible for Unemployment Benefits, an individual must:
Compliance with New York Unemployment Insurance can be easily managed with the help of a New York payroll service. With the help of a payroll solution, employers can tackle UI reporting, recordkeeping requirements, and employer contribution rates with ease.
For help managing unemployment insurance in New York, contact us today or get started with finding a provider.