Recently, New York State has raised the maximum weekly unemployment insurance benefit from $504 per week to $869 per week.  The increased benefit rate will be reflected in payments starting the week of October 13, 2025.

The maximum benefit rate is the highest benefit amount available to unemployed New Yorkers. The amount an individual receives on a weekly basis is based on their previous income.  According to the New York Department of Labor (NY DOL), 27% percent of benefit recipients will receive the new maximum, while another 28% of current recipients will see their weekly benefits increase.

The increase is due to the State paying off its unemployment trust fund debt. State Department of Labor Commissioner Roberta Reardon reported that the pandemic and the mass of unemployment claims it created led to issues with the trust fund’s solvency.  Employers will no longer receive annual Interest Assessment Surcharge (IAS) bills and are projected to save an average of $100 per employee in 2026 and $250 in 2027.  The taxable wage base will also increase in 2026.  The State has provided this tool to estimate a weekly Unemployment Insurance benefit amount.  https://ux.labor.ny.gov/benefit-rate-calculator/

Employers should ensure their payroll processes reflect the increase in the taxable wage base for 2026.  Should you have any questions, please contact Ali Law Group.

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