April 2025 Update

Nebraska – Issued revised 2025 Tax Rate Notices April 1, 2025 due to the passage of Legislative Bill 297.  The minimum (0.00%) and maximum (5.40%) tax rates remain the same; however, all other rates will be reduced between 0.10% to 0.87%, depending on the category assignment in the following rate schedule. 

Category	Original Rate	Revised Rate
1	0.00%	0.00%
2	0.22%	0.12%
3	0.35%	0.19%
4	0.40%	0.21%
5	0.44%	0.24%
6	0.53%	0.28%
7	0.57%	0.31%
8	0.62%	0.33%
9	0.71%	0.38%
10	0.79%	0.43%
11	0.84%	0.45%
12	0.88%	0.48%
13	0.93%	0.50%
14	0.97%	0.52%
15	1.06%	0.57%
16	1.19%	0.64%
17	1.37%	0.74%
18	1.59%	0.86%
19	1.90%	1.03%
20 *	5.40%	5.40%

(*) Subject to increased $24,000 wage base ($9,000 for all other categories).

FUTA UPDATE – 2025*

California and New York currently have outstanding FUTA Title XII Loans for 2025 and should they fail to pay back the loans by November of 2025. Employers will have to pay an additional 1.20% on employees reported in these states retroactively to January 1, 2025.

1.    Employers have until January 31, 2026 to pay the additional 1.20% on employees in these two states. 

2.    The Additional 1.20% results in an estimated increase of $84 per employee for 2025 (1.20% * $7,000 FUTA Wage Base).

Total FUTA Rate will be 1.80% in these states for 2025. Virgin Islands would be 5.10%  

*Connecticut may also be subject to the FUTA increase, however at this time we believe they will repay their loan as they have for the past 2 years.