View our full Glossary of accounting & payroll terms Visit full glossary Glossary definition What is unemployment deduction? Unemployment deduction Employers must pay unemployment taxes for their employees based on the US Federal Unemployment Tax Act (FUTA). Search Search for: Learn more about this definition and others Featured reading April 24, 2024 8 min read Canada Budget 2024: A round-up for businesses January 16, 2023 1 min read Free Survival Toolkit for Small Businesses June 14, 2023 19 min read AI in finance: What ChatGPT and generative AI means for CFOs