IA SF607

Reduces the taxable wage base for unemployment insurance contributions from 66⅔% to 33⅓% of the statewide average weekly wage, multiplied by 52 and rounded to the next $100

Lowers the initial contribution rate for new nonconstruction employers from the twelfth benefit ratio rank to the fourth rank (minimum 1%), and for new construction/landscaping employers from the twenty-first to the ninth rank

Changes the calculation of the current reserve fund ratio to use wages from the first four calendar quarters of the year immediately preceding the computation date instead of five quarters

Simplifies the contribution rate table structure from eight tiers to four tiers (A, B, C, D) based on current reserve fund ratios ranging from below 0.50% to above 1.30%

Reduces the number of employer benefit ratio ranks from 21 to 9, with new cumulative taxable payroll percentages and lower contribution rates across all ranks (ranging from 0.00% to 5.40% depending on rank and table)