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341.270 Determination of employer's contribution rate.
(1)
(2)
(3)
(4)
Except as otherwise provided in this section, each employer's contribution rate shall
be three percent (3%). Effective for employers who become subject to this chapter
on or after January 1, 1999, except as otherwise provided in this section, each
employer's contribution rate shall be two and seven-tenths percent (2.7%).
Except as otherwise provided in this section, no subject employer's contribution rate
shall be less than two and seven-tenths percent (2.7%), unless he has been an
employer subject to the provisions of this chapter for twelve (12) consecutive
calendar quarters ended as of the computation date. In any calendar year in which
the rate schedule prescribed in paragraph (3)(a) of this section is in effect, no
subject employer who was assigned an entry rate of three percent (3.0%) under the
provisions of subsection (1) of this section prior to January 1, 1999, shall have a
contribution rate less than two and eight hundred fifty-seven thousandths percent
(2.857%), unless subject to this chapter for the minimum time period specified
above.
For the calendar year 2001 and each calendar year thereafter, employer contribution
rates shall be determined in accordance with "Table A" set out in subsection (4) of
this section. For each calendar year, the secretary shall determine the rate schedule
to be in effect based upon the "trust fund balance" as of September 30 of the
preceding year. If the "trust fund balance":
(a) Equals or exceeds one and eighteen hundredths percent (1.18%) of the total
wages paid in covered employment in the state during the state fiscal year
ended as of June 30 of that year, the rates listed in the "Trust Fund Adequacy
Rates" schedule of "Table A" shall be in effect;
(b) Equals or exceeds five hundred million dollars ($500,000,000) but is less than
the amount required to effectuate the "Trust Fund Adequacy Rates" schedule
as provided in paragraph (a) of this subsection, the rates listed in "Schedule
A" of "Table A" shall be in effect;
(c) Equals or exceeds three hundred fifty million dollars ($350,000,000) but is
less than five hundred million dollars ($500,000,000), the rates listed in
"Schedule B" of "Table A" shall be in effect;
(d) Equals or exceeds two hundred fifty million dollars ($250,000,000) but is less
than three hundred fifty million dollars ($350,000,000), the rates listed in
"Schedule C" of "Table A" shall be in effect;
(e) Equals or exceeds one hundred fifty million dollars ($150,000,000) but is less
than two hundred fifty million dollars ($250,000,000), the rates listed in
"Schedule D" of "Table A" shall be in effect; and
(f) Is less than one hundred fifty million dollars ($150,000,000), the rates listed in
"Schedule E" of "Table A" shall be in effect.
For the calendar year 1982 and each calendar year thereafter, contribution rates shall
be determined upon the basis of an individual employer's reserve ratio as of the
computation date and the schedule of rates established under subsection (3) of this
section. Except as otherwise provided in this section, the contribution rate for each
subject employer for the calendar year immediately following the computation date
shall be the rate in that "Schedule" of "Table A," as set out below, effective with
respect to the calendar year, which appears on the same line as his reserve ratio as
shown in the "Employer Reserve Ratio" column of the same table.
TABLE A
Rate Schedule
Employer Trust
A
B
C
D
E
Reserve Fund
Ratio
Adequacy
Rates
8.0% and
over
0.000%
0.30%
0.40%
0.50%
0.60%
1.00%
7.0% but
under 8.0% 0.000% 0.40%
0.50%
0.60%
0.80%
1.05%
6.0% but
under 7.0% 0.008% 0.50%
0.60%
0.70%
0.90%
1.10%
5.0% but
under 6.0% 0.208% 0.70%
0.80%
1.00%
1.20%
1.40%
4.6% but
under 5.0% 0.508% 1.00%
1.20%
1.40%
1.60%
1.80%
4.2% but
under 4.6% 0.808% 1.30%
1.50%
1.80%
2.10%
2.30%
3.9% but
under 4.2% 1.008% 1.50%
1.70%
2.20%
2.40%
2.70%
3.6% but
under 3.9% 1.308% 1.80%
1.80%
2.40%
2.60%
3.00%
3.2% but
under 3.6% 1.508% 2.00%
2.10%
2.50%
2.70%
3.10%
2.7% but
under 3.2% 1.608% 2.10%
2.30%
2.60%
2.80%
3.20%
2.0% but
under 2.7% 1.708% 2.20%
2.50%
2.70%
2.90%
3.30%
1.3% but
under 2.0% 1.808% 2.30%
2.60%
2.80%
3.00%
3.40%
0.0% but
under 1.3% 1.908% 2.40%
2.70%
2.90%
3.10%
3.50%
-0.5% but
under -0.0% 6.500% 6.50%
6.75%
7.00%
7.25%
7.50%
-1.0% but
under -0.5% 6.750% 6.75%
7.00%
7.25%
7.50%
7.75%
-1.5% but
under -1.0% 7.000% 7.00%
7.25%
7.50%
7.75%
8.00%
-2.0% but
under -1.5% 7.250% 7.25%
7.50%
7.75%
8.00%
8.25%
-3.0% but
under -2.0% 7.500% 7.50%
7.75%
8.00%
8.25%
8.50%
-4.0% but
under -3.0% 7.750% 7.75%
8.00%
8.25%
8.50%
8.75%
-6.0% but
under -4.0% 8.250% 8.25%
8.50%
8.75%
9.00%
9.25%
-8.0% but
under -6.0% 8.500% 8.50%
8.75%
9.00%
9.25%
9.50%
Less
than -8.0%. 9.000% 9.00%
9.25%
9.50%
9.75%
10.00%
(5) As used in this section and elsewhere in this chapter, unless the context clearly
requires otherwise:
(a) "Trust fund balance" means the amount of money in the unemployment
insurance fund, less any unpaid advances made to the state under Section 1201
of the Social Security Act. In determining the amount in the fund as of a given
date all money received by the Office of Employment and Training,
Department of Workforce Investment, on that date shall be considered as
being in the fund on that date;
(b) "Total wages" means all remuneration for services, as defined in KRS
341.030(1) to (7), paid by subject employers;
(c) An employer's "reserve ratio" means the percentage ratio of his reserve
account balance as of the computation date to his taxable payrolls for the
twelve (12) consecutive calendar quarters ended as of June 30 immediately
preceding the computation date;
(d) For the purposes of this section, an employer's "reserve account balance"
means the amount of contributions credited to his reserve account as of the
computation date, less the benefit charges through June 30 immediately
preceding the computation date. If benefits charged to an account exceed
contributions credited to the account, the account shall be considered as
having a debit balance and a reserve ratio of "less than zero"; and
(e) "Computation date" is July 31 of each calendar year prior to the effective date
of new rates of contributions.
Effective: August 28, 2010
History: Amended 2010 (1st Extra. Sess.) Ky. Acts ch. 5, sec. 4, effective August 28,
2010. -- Amended 2006 Ky. Acts ch. 211, sec. 144, effective July 12, 2006. -Amended 2000 Ky. Acts ch. 547, sec. 10, effective July 14, 2000. -- Amended 1998
Ky. Acts ch. 167, sec. 1, effective July 15, 1998. -- Amended 1996 Ky. Acts ch. 266,
sec. 7, effective July 15, 1996. -- Amended 1984 Ky. Acts ch. 1, sec. 2, effective July
13, 1984. -- Amended 1982 Ky. Acts ch. 261, sec. 2, effective January 1, 1982. -Amended 1980 Ky. Acts ch. 67, sec. 1, effective January 1, 1980; ch. 188, sec. 270,
effective July 15, 1980; and ch. 385, sec. 4, effective July 15, 1980. -- Amended
1978 Ky. Acts ch. 389, sec. 15, effective July 1, 1978. -- Amended 1974 Ky. Acts ch.
74, Art. VI, sec. 107(23), (31). -- Amended 1972 Ky. Acts ch. 21, sec. 18. -Amended 1962 Ky. Acts ch. 223, sec. 1. -- Amended 1958 Ky. Acts ch. 4, sec. 6. -Amended 1952 Ky. Acts ch. 154, sec. 9, effective January 1, 1953. -- Amended 1950
Ky. Acts ch. 206, sec. 1. -- Amended 1948 Ky. Acts ch. 216, sec. 6. -- Amended
1942 Ky. Acts ch. 19, secs. 5 and 14; and ch. 20, secs. 2 and 8. -- Recodified 1942
Ky. Acts ch. 208, sec. 1, effective October 1, 1942, from Ky. Stat. sec. 4748g-7.
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