Author: South Carolina Department of Employment and Workforce
This article originally appeared in the Fall 2024 issue of the South Carolina CPA Report
Employers and TPAs can now make wage
garnishment payments electronically through the
Employer Self-Service (ESS) portal on the South
Carolina Department of Employment and Workforce
(DEW) website. Wage garnishment is one of the
methods by which DEW can recoup an overpayment
of Unemployment Insurance benefits. This collection
process is important because accuracy of UI benefits
help keep tax rates low and stable.
Before this improvement, employers wrote individual
checks to DEW for each employee. Now they can submit
a single electronic payment for multiple employees,
saving significant time and effort. Payments can also
be made through payroll services or third-party vendors
by following the Guest Payment link if they do not have
access to an employer’s ESS portal.
For details and links to the ESS portal and guest
payment instructions, visit https://dew.sc.gov/
wagegarnishment or call 1 (866) 831-1724 on
weekdays from 8 a.m. to 4 p.m.
Tax Rate Notices Coming Soon!
Employers can expect to receive their 2025 tax rate
notices in mid-November 2024. These notices will show
the tax rates applicable for wages to be paid between
January 1, 2025, and December 31, 2025. Individual
rates are based on an employer’s computed benefit
ratio. The tax class assignment in the notice should be
used for the full calendar year and is applicable to the
first $14,000 each employee earns. Regardless of tax
rates, individual businesses may still move between
classes based on their unemployment claim activity.
Under South Carolina law, tax rate schedules adjust
each year based on a formula that considers the
projected benefit costs for the year (“base rate”) and
any additional amounts that may be needed if the trust
fund does not have an adequate balance, as required by
law (“solvency surcharge”). Tax rates are set each year
to fund these components among others.
Wage Audit Notice and Your Current Information.
Wage Audit Notices will also be coming out soon, as
they do each quarter. Logging in to the ESS portal to
respond to these or to check 2025 tax rates is a great
opportunity for employers or their representatives to
make sure their contact information is up to date. It is
each employer’s responsibility to keep this information
current and is important because correspondence
between the employer and DEW must reach the correct
person in a timely fashion.
Even if a business intends to respond to
correspondence from DEW in a timely fashion, if the
right person doesn’t get the communication, it can end
up costing an employer money. Late submissions incur
penalties and could also cost TPAs clients. Making sure
requests that require a response reach the right person
is a key aspect of DEW’s safeguarding and cost-saving
measures.
For more information about how to keep your contact
information current, visit dew.sc.gov/employers/
suits and select “How do I add or modify contact
information.” To review and update these fields in ESS
go to https://scuihub.dew.sc.gov/ESS
