Washington’s average annual wage grew by 5,5 percent in 2018 to $65,300.
According to the state Employment Security Department, the jump represents the largest percentage increase year over year since 2006. The average weekly wage rose from $1,190 in 2017 to $1,255 in 2018. Much of the increase was driven by an 8 percent bump in total earnings, which grew by nearly $15.8 billion in 2018.
Industries with the largest average wage growth were retail trade; information; and professional, scientific, and technical services. The average annual wage is used to calculate unemployment benefits for jobless workers. The minimum weekly unemployment benefit, calculated at 15 percent of the average weekly wage, will increase by $10 to $188, for new claims opened on or after July 1st. At the same time, the maximum weekly benefit, which is the greater of $496 or 63 percent of the average weekly wage, will increase by $41 to $790.
Currently, about 20 percent of unemployment insurance claims are paid the maximum benefit amount, and 10 percent receive the minimum.
In addition to unemployment benefits, the average annual wage is used in computing employers’ unemployment taxes. Beginning in 2020, employers will pay unemployment taxes on the first $52,700 paid to each employee – up from $49,800 in 2019. (WA Employment Security Department)
