State owes $1 billion for unemployment benefits - WAOW - Newsline 9, Wausau News, Weather, Sports

State owes $1 billion for unemployment benefits

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MADISON (AP) -

 

The state of Wisconsin owes the federal government more than $1 billion dollars for unemployment benefits.

Wisconsin is not alone in borrowing money to help meet the growing costs of jobless benefits. California owes more than $8 billion. Wisconsin ranks 11th among 27 states that owe the federal government money.

The state is working on repaying the loan by imposing special assessments against businesses to pay the interest the federal government is charging. The state also implemented a one-week waiting period for those seeking unemployment benefits. It also increased the taxable wage base used to calculate what businesses owe.

An employer pays unemployment insurance taxes on each employee's taxable wages.

(Copyright 2011 by The Associated Press.  All Rights Reserved.)

 

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