The research & development and research testing lab classifications in Technology & Life Science utilize payroll as the rating basis. The rating for these classifications follows the Payroll Rating Basis rule, which states that the payroll for each owner, partner, or active executive should be listed as $15,600 for rating purposes, unless a state exception applies.
Unlike contractors however, clerical office payroll should be included in the overall rating base. CT, KS, MS, PA, SD, TN & VT have state exceptions, and the payroll amounts for owners, partners, and active executives vary for each.
- Similar to contractors, the $15,600 rule applies to payroll rated Technology & Life Science classifications.
- All owners, partners and active executives should be rated with $15,600 in payroll unless a state exception applies.
- Unlike contractors, all payroll should be included in the TLSP rating base, including clerical payroll for office employees.
It is important that these companies are rated appropriately to ensure that the correct premium is charged, and to avoid any audit issues that might arise from utilizing an inaccurate payroll base. |
