Unemployment Insurance Tax

Every business in Arkansas pays an unemployment insurance tax. A business with no previous employment record in Arkansas is taxed at 3.6% on the first $9,000 of each employee's earnings until an employment record is established, usually within three to five years. The rate generally decreases to an average of 2.0% after an employment history is established.

New Employers


Employers new to Arkansas can request a more favorable rate than the 3.6% by supplying the Arkansas Employment Security Division (ESD) with the company's quarterly unemployment insurance rate statements for the previous full three calendar years.