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Attention Premier Payroll User: 2011 FUTA Credit Reduction Reminder

Dear Premier Payroll User,

The standard FUTA credit of 5.4% (.054) will be reduced in some states this year because these states have not yet repaid the loans they received from the federal government to pay unemployment claims.

This change is effective with pay dated on or after January 1, 2011. The additional FUTA liability, if any, will be due with the fourth quarter 2011 Form 940 filed in January 2012.  If you have employees who work in any of the 20 states/territories listed at the link below, it is advised that you accrue any additional funds needed to cover this liability.  Ceridian will be pulling these funds from you payroll funding account starting next week.

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