New Jersey Administrative Code

(a) No assurance organization shall perform any of the functions authorized under N.J.A.C. 12:16-24.7, unless it has first obtained a certificate of approval issued by the Commissioner or his or her designee under this section. (b) An assurance organization that seeks a certifica…

The Commissioner or his or her designee shall notify the assurance organization in writing of the reason for rejecting an application for certificate of approval, which notice shall advise of the right to request a hearing using the procedures set forth at N.J.A.C. 12:16-22. Note…

(a) An employer may grant power of attorney to another person to represent the employer before the Employment Security Agency in all matters affecting quarterly contribution reports, experience rating, tax liability, and claims for benefits. (b) The power of attorney document mus…

(a) The New Jersey Unemployment Compensation Law, at N.J.S.A. 43:21-19(p), states that "Remuneration" means all compensation for personal services, including commissions and bonuses and the cash value of all compensation in any medium other than cash. (b) The following remunerati…

(a) Payments made to employees under an approved Private Plan shall be considered as taxable remuneration, if payments are for a period of seven or less consecutive days following the date of disability. (b) Payments made for periods after the seventh consecutive day following th…

(a) Family leave insurance benefits payments made to employees under an approved private plan shall be considered taxable remuneration if the payments are for a period of seven or less consecutive days following the first day that the individual establishes a claim. (b) Family le…

(a) The personal use of a company vehicle shall be taxable remuneration. 1. Such personal use shall be valued pursuant to Section 61 of the Internal Revenue Code. (b) If personal use is present (except for de minimis usage such as a lunch stop during company business), and such p…

(a) Employer contributions on behalf of, or reimbursements to, an employee under a Dependent Care Assistance Program (Section 129 of the Internal Revenue Code) shall be taxable remuneration. (b) If a Dependent Care Assistance Program is financed by an employee voluntary salary re…

The amount of remuneration generated by a below-market interest rate loan shall be the same amount as that computed for purposes of F.U.T.A. Notes N.J. Admin. Code § 12:16-4.14 New Rule, R.1990 d.217, effective 4/16/1990. See: 22 N.J.R. 603(b), 22 N.J.R. 1269(a). Recodified from …

Employer contributions to a cafeteria plan arrangement pursuant to Section 125 of the Internal Revenue Code shall be taxable remuneration to the extent that the employee could have elected to receive cash in lieu of the employer's making the contribution. Notes N.J. Admin. Code §…

(a) The value of a stock option is taxable remuneration at the time the option is exercised when the individual exercising the option is a current employee. The value of the stock option is also taxable remuneration when exercised after separation from employment but during the s…

Deferred payment of remuneration for services accrued by an employer that is not included as part of a qualified pension, profit sharing or stock option plans or another pension arrangement where a trust is created is taxable remuneration at the time payment is made. Notes N.J. A…

A client company is the employer responsible for contribution payments when remuneration for services is paid directly by the client company to workers co-employed under an employee leasing agreement. Notes N.J. Admin. Code § 12:16-4.18 New Rule, R.2005 d.108, effective 4/4/2005.…

(a) Sick leave payments (also known as continuation pay) and continuation pay for family leave made by employers to employees for periods of disability or for periods of family leave are wages within the meaning of the Unemployment Compensation and Temporary Disability Benefits l…

(a) Fringe benefit payments which result in a direct benefit to the employee are generally taxable. Fringe benefit payments which take the form of a reimbursement or a health benefit are usually non-taxable. (b) Taxable fringe benefits may include: 1. Vacation pay (both before an…

Effective January 1, 1984, employer contributions to a cash or deferred arrangement under Section 401(k) of the Internal Revenue Code will be taxable to the extent that the employee could have elected to receive cash in lieu of the employer's making the contribution. In addition,…

(a) Push payments are commission or bonus type payments made by a manufacturer to sales persons for "pushing" a certain product or product lines. These may also be referred to as push money, premiums, or incentive payments. Push payments take differing formats and are made in var…

(a) For the purpose of the Unemployment Compensation and Temporary Disability Benefits Laws, each officer of a corporation receiving remuneration for any personal services performed for that corporation shall be considered to be in its employ, and such payments shall be taxable. …

(a) Back pay awards are taxable remuneration where the discharge from employment was held invalid and reinstatement of the job ordered. Back pay is not taxable if considered damages for an illegal act without job reinstatement. (b) Residual payments made to entertainers for reuse…

(a) Payments in kind for personal services such as meals, board, lodging or any other payment in kind received by a worker from an employing unit in addition to or in lieu of (rather than as a deduction from) money wages shall be deemed to be remuneration paid by the employing un…

If a worker receives gratuities and/or tips regularly in the course of employment from other than the employer, the gratuities and/or tips so received, if reported in writing to the employer, shall be considered taxable. The entire amount of charge tips are covered wages and are …

(a) Employer's contributions shall accrue as remuneration is earned by workers in covered employment, but will not become due until payment or payment in kind is actually or constructively made. (b) Payment of employers' contributions shall be made as prescribed within this chapt…

(a) Employer's contributions shall be paid and contribution reports filed on a quarterly basis, for all employers other than domestic employers, as follows: Quarter Ending Due Date March 31 April 30 June 30 July 30 September 30 October 30 December 31 January 30 Effective January …

(a) The payment for each reporting period shall include contributions computed with respect to wages paid for employment in all work periods (weekly, biweekly, semi-monthly, monthly) ended within the reporting period. (b) In computing and paying employer contributions to the Unem…

(a) Except as to liability by election as provided in N.J.A.C. 12:16-14 (Election of Coverage), the first contribution payment of an employer who becomes newly liable in any calendar year shall be payable on or before the due date of the reporting period in which the subject stat…

The Controller or his or her designee may permit the payment of liability in installments, but if any installment is not paid on or before the due date, the total amount of the unpaid liability shall become payable upon notice and demand by the Controller or his or her designee. …

(a) A voluntary payment of an additional contribution must be made within 30 days after the date of mailing of the Form AC-174.1, Notice of Employer Contribution Rate, unless, for good cause, the date of payment has been extended by the Controller or his or her designee for not m…

The Controller or his or her designee may require payment in guaranteed funds of any amount required to be paid under the Unemployment Compensation Law of New Jersey, the Temporary Disability Benefits Law of New Jersey or rules or regulations promulgated thereunder, in any case i…

(a) For the purpose of this section, the term "work period" means the period of a voyage or engagement of the crew of a vessel under "Articles of Agreement" pursuant to Title 46 of the United States Code. (b) Notwithstanding any other provisions of N.J.A.C. 12:16-5.2 (Due Dates) …

(a) Special fringe benefit agents accounts may be approved by the Controller or his or her designee for the purpose of reporting payments such as vacation and holiday payments which have been negotiated in union-management contracts. Approval will only be given when it is shown t…

(a) Any non-profit organization, as described in Section 501(c)(3) of the Internal Revenue Code and which is exempt from income tax under Section 501(a) of the Internal Revenue Code, may elect to reimburse the Unemployment Trust Fund for benefits paid to its former employees by f…

(a) A non-profit organization electing coverage under the reimbursement option may be required to file with the Controller or his or her designee within 30 days after the effective date of its election, a security bond or to deposit with the Controller or his or her designee moni…

(a) If any non-profit employer fails to meet the security requirements as set forth in N.J.A.C. 12:16-6.2(a) the Controller or his or her designee may terminate such organization's election to make payments in lieu of contributions and such termination shall continue for no less …

(a) If a non-profit organization's election to make payments in lieu of contributions is terminated by the Controller or his or her designee, the non-profit organization shall remain liable for payments in lieu of contributions with respect to all benefits paid based on base year…

The purpose of this subchapter is to outline the conditions under which a governmental employer can choose the contributory option and under which a governmental entity or instrumentality using the contributory method of financing unemployment benefits may use the surplus amount …

The following words and terms, when used in this subchapter, shall have the following meanings unless the context clearly indicates otherwise: "Contributory" means the method of payment by which a governmental entity or instrumentality pays unemployment contributions into an unem…

(a) Any governmental entity or instrumentality which is or becomes subject to the Unemployment Compensation Law and wishes to elect to pay contributions rather than to reimburse the Unemployment Trust Fund for benefits paid may do so by filing a written notice of its intention no…

(a) On or before September 1 of each year, the Controller or his or her designee shall review the composite benefit cost experience of all governmental entities and instrumentalities electing to pay contributions and shall recommend a contribution rate for the following calendar …

(a) A governmental entity or instrumentality using the contributory method may use the surplus in its unemployment trust fund pursuant to the following conditions: 1. The governmental entity or instrumentality must request, in writing, permission to use a portion of the surplus f…

(a) Any governmental entity or instrumentality which has been paying contributions for a minimum of two calendar years and wishes to change to making payments in lieu of contributions may do so by filing a written notice of its intention no later than February 1 of the calendar y…

(a) The change of financing options shall have no effect upon the liability incurred under the prior financing option. (b) If the governmental entity or instrumentality election to pay contributions is terminated, the governmental entity or instrumentality shall remain liable for…

(a) A governmental entity or instrumentality which diverts funds in violation of the provisions of this subchapter shall be required to immediately restore the amount diverted to the fund. (b) A governmental entity or instrumentality which fails to comply with the provisions of t…

(a) Two or more employers liable for payments in lieu of contributions may apply for the establishment of a group account for the purpose of sharing the risk of unemployment benefit costs. (b) The group account will be established as of the first day of any calendar quarter and w…

(a) New members may be added to an established group at the request of the group. The request for the addition of a new member will require the filing of a consent document executed by the new applicant for membership authorizing the group agent to act in its behalf for the group…

(a) Group membership will be terminated for any employer upon the cancellation of its reimbursement payment option as of the effective date of the cancellation. (b) With the approval of the Controller or his or her designee, membership in the group will be terminated for any memb…

(a) The group account will provide risk sharing for its members only with respect to unemployment benefits liability and interest attributable thereto. (b) Membership in the group will not relieve any member of any liability charged to its account. (c) The group will be liable fo…

(a) Request for dissolution of a group account will require the consent of two-thirds of its active members. The effective date of dissolution will be determined by the Controller or his or her designee. (b) The group agent must advise the Controller or his or her designee of the…