Quickbooks Online Payroll / Minnesota Unemployment Tax / New Assessment

We prioritize making it easy for you to update your Unemployment Insurance (UI), jeffyurk.

When your SUI rate changes, It's best to update it in your payroll system to keep your tax liability accurate. This is essential for having correct financial records and preventing any penalties. Let me guide you how:

1. Go to the Gear icon/ Settings.
2. Select Payroll settings.
3. Next to the state you want to update, click the Edit icon.
4. In the Unemployment Insurance (UI) section, click Edit.
5. Hit Continue if you see a prompt.
6. Enter the rate and its effective date.
7. If you have a surcharge or assessment tax rate, also put it. Then, enter the rate and its effective date.
8. Hit Save.

States send out updated SUI rate notices typically toward the end of the year, or at the beginning of the new year. Once you have your new SUI rate, here's how you can update it.

1. Navigate to Settings ⚙, then select Payroll settings.
2. Next to the state you want to update, select Edit ✎.
3. In the State Unemployment Insurance (SUI) Setup section, select Change or add new rate.
4. For further details, you can check this article for guidance on how to add or modify your rate: Update your State Unemployment Insurance rate.

Furthermore, I added an article that will assist you in remaining updated on tax forms, withholdings, unemployment, and various agency-related information: Payroll Tax Compliance Links.

If you're looking to elevate your payroll processing, consider diving to Explore QuickBooks Payroll. It has a feature that suits with your needs and has a lot of options that can truly transform your business operations.

Accurate records of (UI) and Rates are crucial for running a smooth business, and I’m here to help you succeed. If you have any questions along the way, please don’t hesitate to reach out in the comments. I’m dedicated in assisting you, wishing you all the best and more power to your business.

Hi, thanks for replying. Unfortunately my problem still exists. There is no field to enter 'Additional Assessment'. Under 'Unemployment Insurance' I have 3 rates; Federal Loan Interest Assessment Rate, the UI rate, and Workforce Development Fee Rate. When I click on Edit next to the UI rate (step 6) all it allows me to do is enter the new rate and date. But in step 7 you say 'If you have a surcharge or assessment tax rate, also put it. Then, enter the rate and its effective date.' but again there is no field to put it. 

Allow me to give additional information regarding the new 5% Minnesota Unemployment Insurance (MN UI) additional assessment in its payroll tax settings, @jeffyurk.

QuickBooks Online Payroll currently does not include the new 5% Minnesota Unemployment Insurance (MN UI) additional assessment. Our payroll team is monitoring updates from the Minnesota Department of Employment and Economic Development (DEED) to implement these changes promptly. However, we do not have a specific date for when the new option will be implemented, but most states' effective date is January 1st, 2025.

In the meantime, if you receive a notice from your state, please consider sending it to us. This will allow us to better assist you in updating your tax rates in QuickBooks Online.

To initiate this process, please write your Federal Employer Identification Number (EIN) by hand on the first page of your tax notice. If you have multiple notices of discrepancy, please send each one separately.

If you are using our payroll services, follow these steps to upload your notice:

1. Go to Taxes and select Payroll Tax.
2. Click on Resources.
3. Hit Tax Notice.
4. Follow the instructions displayed on the screen to submit your notice.

Upon receiving your tax notice, we will send an email confirmation to the Principal Officer and Primary Admin on file, including a case number and additional details.

After our review, a tax specialist will email you with the resolution, actions taken on your behalf, and any necessary next steps. The Tax Notice team will acknowledge receipt via email within 3-5 business days. If the Principal Officer or Primary Admin does not receive this email, please contact us to confirm receipt of your notice.

Additionally, I'm adding this resource to help you how you can wrap up this year’s payroll and prepare for the next with QuickBooks Online Payroll Core, Premium, or Elite: Year-end checklist for QuickBooks Online Payroll.

We're committed to supporting you in any way we can. If you have any further questions about processing paychecks or any other inquiries, please feel free to reach out. Our team is always here to assist you!

Thanks for the reply. It is as I thought. I'd rather discuss this with my accountant and not proceed with your suggestion. The tax is due quarterly so perhaps Intuit will have an update in place before my last payroll in Q1 (mid-March). Thanks. 

Hey, 

I use Quickbooks desktop and am unable to add the new 5% assessment for MN Unemployment.

It is now April, and Quickbooks has YET to have addressed and fix this issue. Our taxes are due regardless. When is Quickbooks going to get this resolved????

I appreciate you emphasizing the QuickBooks version you're using, Jennie. Your concern regarding the new 5% assessment for Minnesota Unemployment is understandable. I know how essential it is for businesses like yours to stay compliant with tax laws and regulations.

We want to reassure you that our development team is actively working to integrate this feature into QuickBooks Desktop. We aim to have a solution ready before the April deadline for the first quarter payment and filing.

Rest assured, you will receive a notification once the update is available. Upon receiving this notice, update your tax table in QuickBooks to have the latest and most accurate rates and calculations.

Moreover, here are some resources you can visit as a guide to managing your employees and payroll for future reference:

• Set up, change, or delete employee-paid payroll deductions
• Customize payroll and employee reports

We appreciate your understanding and patience as we finalize this update. This adjustment will help ensure compliance with state laws, avoid potential issues, and keep your financial planning on track.

:Hello Quickbooks Support. 

Is there an update on the Additional Assessment Tax for Minnesota Unemployment?

Quickbooks Online User

Hello Quickbooks Payroll Support, 

Is there an update on the status of the Additional Assessment tax for Minnesota Unemployment?

Quickbooks Online Payroll User

@jeffyurk  Well, Intuit's support staff claimed yesterday that it has already been rolled out for QBO, per: https://quickbooks.intuit.com/learn-support/en-us/other-questions/re-when-will-quickbooks-have-the-m...

That being said, people are still asking about it, so there's that.

Hi, Jeff. Yes, QuickBooks Online Payroll now supports and calculates the additional assessment tax for Minnesota Unemployment. Let's discuss the update below.

The 5% tax is automatically applied to the total unemployment owed for the quarter and not to individual employee wages when processing paychecks in QuickBooks. Therefore, no further action is required on your part.

For example, Juan made a gross of $1,000 for the pay period. His employer's SUI rate is 1.75%. The MN SUI due is $17.50, and the Special Assessment due is $0.88 ($17.50 x 5%), not $50.00 ($1,000 x 5%). To verify the amount, generate the Payroll Summary by Employee report by following the steps:

1. Go to the Reports menu on the left panel.
2. Enter the report name in the Search bar.
3. Check the amount in the Employer taxes and contributions section. 

Moreover, you can handle underpaid taxes you may owe from the new or additional ones.

Furthermore, customize payroll reports in QuickBooks Online Payroll to monitor business finances.

I appreciate your patience regarding the MN Unemployment Tax Special Assessment. If you need further assistance with this matter, add a comment below. Staying compliant with your state laws while giving you convenience is our priority.

Hi, 

Thanks for the explanation. I see it now. I thought it would be a tax we would have to setup ourselves under 'Payroll Settings' but since it's a set percentage across the board I understand how it's being handled. 

Thank you

Thank you for reaching out and sharing your positive feedback, Jeffyurk. 

I’m glad to hear that JamaicaA’s explanation regarding the Additional Assessment tax for Minnesota Unemployment was helpful and clarified your concerns. It’s always rewarding to know that our efforts have made a difference.

If you have any more questions in the future or if there's anything more we can help you explore, please don’t hesitate to get in touch. We’re here to assist you with any aspect of your payroll needs or any other inquiries you might have. 

Have a great day ahead, and we look forward to serving you again.

What about for QB's desktop users?