What are voluntary contributions and how can payment of a voluntary contribution reduce my tax rate?
Eligible Massachusetts employers with an experience rated account can choose to pay voluntary UI contributions. This program allows the state’s businesses to manage their unemployment insurance costs by paying additional contributions in order to increase their account reserve percentage and reduce their UI tax rate for the forthcoming calendar year. A voluntary contribution can be enough to reduce your rate to the next lowest rate, the lowest rate on the rate table currently in effect, or any rate in between. Your rate notice includes account specific information indicating the amount of a voluntary contribution you will need to make in order to obtain the next lowest rate on the schedule. Additional information on voluntary contributions is available on this site. Additionally, DUA has developed an online voluntary contributions calculator for employers. The calculator will allow you to select lower rates and will provide you with the amount of the voluntary contribution you will nee
