Small employer premium rate

To calculate whether you had 30 or fewer employees, we review your wage detail reports for the four-quarter period that ended September 30 of the previous year.

• Quarters with more than 30 employees reported: If you reported more than 30 employees during any calendar quarter during the review period, you will not be automatically assigned the small employer premium rate. 
• Missing wage detail reports: If you have an overdue wage detail report, you will not be automatically assigned the small employer premium rate. 
• Employers with multiple accounts under the same FEIN: For employers who have a Joint UI/Paid Leave account as well as a Paid Leave-ONLY account under the same FEIN, we will review your combined employee count. If your combined employee count exceeds 30 employees during any calendar quarter during the review period, you will not be automatically assigned the small employer premium rate.

To calculate whether your average employee wage is less than 150 percent of the statewide average, we review your wage detail reports for the four-quarter period that ended September 30 of the previous year. Then we:

1. Determine the maximum amount of gross wages you reported for any calendar quarter. 
2. Determine the maximum number of employees you reported for any calendar quarter. 
3. Divide your maximum gross wages by your maximum employee count to calculate your average annual wage. 
4. Divide your average annual wage by four to calculate your average quarterly wage.

Then, we calculate whether your average quarterly wage exceeds 150 percent of the statewide average wage. The statewide average wage is recalculated annually based on statewide employment records.

For employers who have a Joint UI/Paid Leave account as well as a Paid Leave-ONLY account under the same FEIN, we will review your average wage across both accounts to determine whether you should be automatically assigned the small employer premium rate.

If we do not automatically assign the small employer premium rate to your account, and you think you qualify based on the requirements above, you can follow the instructions on your determination to file an appeal. More information on how to appeal can be found on the Paid Leave website: https://pl.mn.gov/contact/appeals

If you believe your premium rate is incorrect or have questions about your premium rate, contact Paid Leave for assistance. To reach the Paid Leave Contact Center by phone, call 651-556-7777 or 844-556-0444 (toll-free). To reach the Paid Leave Contact Center by email, contact them at paidleave@state.mn.us.