The V.I. Department of Labor has revealed adjustments to the Unemployment Insurance benefits and employer contributions for the benefit year beginning January 1, 2025. The updated figures include the Maximum Weekly Benefit Amount (MWBA) for unemployment benefits and the Taxable Wage Base (TWB) for employer contributions.
New rates for 2025
- Maximum Weekly Benefit Amount (MWBA): $648.00
- Taxable Wage Base (TWB): $31,100.00
These changes align with the Virgin Islands Unemployment Insurance Act, Title 24 Chapter 12, which prescribes methods for calculating both the MWBA and TWB.
How the adjustments are determined
-
MWBA Calculation (Section 303(c)):
The Maximum Weekly Benefit Amount is determined as 65% of the Average Weekly Wage in insured work, rounded down to the nearest dollar. Based on employment and wage data from the Bureau of Labor Statistics, the 2025 Average Weekly Wage was calculated at $996.60, resulting in an MWBA of $648.00. -
TWB Calculation (Section 308(c)):
The Taxable Wage Base is set at 60% of the Average Annual Wage in insured work, rounded to the nearest hundred dollars. For 2025, the Average Annual Wage was calculated at $51,823.00, resulting in a TWB of $31,100.00.
VIDOL encouraged those seeking more information to reach out directly to Ms. Faye Reed, Chief of Tax, at (340) 776-3700 Ext. 2035 or via email at [email protected]. General inquiries can also be made to VIDOL’s offices in St. Croix at (340) 773-1994 or St. Thomas at (340) 776-3700.
