Wages Subject to Unemployment Insurance Tax

Payments by the day, by the hour, by piece rate or any other measurement are wages for purposes of unemployment insurance even if the employee is called a casual worker, day laborer, contract laborer or other term, or works on a part-time or temporary basis. Wages that you pay to workers are taxable.

“Wages” include all compensation that you pay to an employee for services performed in covered employment, including:

• Salary.
• Commissions.