I recently got a call from a client who was clearly overwhelmed. She had just received a notice about a former employee collecting unemployment and was convinced she was personally responsible for cutting that check. On top of that, she was unsure when payroll tax returns were due and had no idea how to report terminated employees to her state.
She started the call stressed and confused — but she ended it saying she felt like she had just completed a full course in payroll and unemployment!
I took the time to explain that employers don’t directly pay unemployment benefits out-of-pocket. Instead, each employer pays unemployment taxes — which are calculated as a percentage of each employee’s wages, up to a certain wage cap each year. That money is what funds unemployment claims.
We also walked through the timing of payroll tax filings, including how and when to submit returns and make payments. I explained how important it is to report terminated employees promptly and correctly to the appropriate state agency — not just to stay compliant, but to protect the business from unnecessary charges.
By the end of our 30-minute conversation, she said, “Wow… I feel like I just took a whole course. I actually understand this now!”
This is exactly why I do what I do. Helping clients feel confident and in control is what makes my work so rewarding. If payroll or unemployment compliance has you scratching your head, let’s talk — I promise it’s not as scary as it seems with the right support.
