Several factors determine the actual experience rate. These include:

• the amount of unemployment insurance benefits paid to former employees that is charged to an employer's account;
• the amount of taxes paid;
• the average size of an employer's annual taxable payroll for the three preceding years.

An employer's tax rate is also determined by the status of the Trust Fund. During each calendar year, one of six tax tables is in effect, depending on the balance in the Trust Fund as of September 30th. If the Trust Fund balance is low, one of the tables with higher average tax rates will be in effect. If the Trust Fund balance is higher, one of the tables with lower average tax rates will be in effect.

• Turnover rate: generally reimbursement is more advantageous to employers with stable employment;
• Estimation of cost: tax paying employers have known costs based on their tax rate, payroll and the taxable wage base, while reimbursable employers could have varying costs, depending on the number of former employees receiving benefits.
• Charging of benefits: there are instances where the cost of benefits are not charged to contributory employers, i.e. when benefits are paid subsequent to a claimant's requalifying after being disqualified for voluntarily leaving his/her last employer without good cause connected with the work, or for misconduct in the course of the last work, all base period contributory employers automatically are relieved of charges; non-charging of benefits does not apply to a reimbursable employer; such employers are responsible for all regular unemployment insurance benefits charged to their accounts.
• Extended benefits: during periods of high unemployment when extended benefits are paid, reimbursable employers are responsible for all of the non-federal share of extended benefits charged to their accounts. (Contributory employers are not assessed charges for extended benefits.)
• Overpayments: contributory employers' accounts are credited for the full amount of established benefit overpayments; the accounts of reimbursable employers are credited only to the extent that repayment of the overpayment is made by the claimant.