June 28, 2023
In Alabama, nonprofit employees may be eligible for unemployment benefits if they meet certain criteria. To be eligible for unemployment benefits in Alabama, an individual must have worked for a certain amount of time and earned a minimum amount of wages during a “base period” that is determined by the Alabama Department of Labor.
Nonprofit organizations are generally subject to the same rules as other employers in Alabama when it comes to paying unemployment taxes and providing unemployment benefits. However, 501(c)(3) nonprofit organizations have a unique savings option to paying state unemployment taxes. First Nonprofit (FNP) helps nonprofit employers utilize this option with the Alabama Department of Labor, which can save organizations as much as 50% annually! FNP programs also include the monitoring of unemployment claim filings to assure accuracy and avoid overpayment, duplication, and/or fraud.
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Related Article: Frequently Asked Questions About FUTA and SUTA for Nonprofit, Native American Tribes, and Government Entities – First Nonprofit Companies
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First Nonprofit has been a great partner. They have helped us saved hundreds of thousands of dollars! They have awesome resources for our nonprofit organization. Thanks for the partnership.
First Nonprofit has saved us so much money over the state’s program. We had one little glitch with the state recently and we contacted FNP immediately. FNP staff called us back immediately and moved to remedy the problem.
Luckily for us, our interactions regarding any issues with staffing has been very minimal! I can say that all other interactions with regards to billing, 941 reporting, etc. have been extremely pleasant, accommodating and easy to work with. Kim Ghanayem is always prompt, professional and friendly. Thank you so much!
First Nonprofit has been easy to work with and makes the administrative process easier and smoother. We enjoy working with you.
I have worked with the First Non-Profit Team for many years, and I appreciate the quick response and care that Cecilia and the team provides anytime I have questions. While there are other providers that may provide like services, First Nonprofit will always be my first choice! I appreciate you!
I would like to comment on my experience with FNP….to date our District has saved $1,000’s of dollars by being enrolled in the First Nonprofit program. My only regret is that we did not know about this method of paying unemployment tax years ago….as I had figured about five years
ago, had we enrolled 15-20 years ago, we could have saved our small school district upwards of $500,000 in payments to IDES. Also we would have had a pretty hefty sum of money in our Reserve Account. Thankfully I attended a workshop hosted by First Nonprofit back in 2015 which got the ball rolling!
My experience with the FNP has been fantastic. The idea of setting funds aside for the unemployment tax liability is a bedrock for nonprofit organizations like mine, namely ASHBA; what is even more advantageous is having the FNP as a custodian of those funds. 100% recommended!
First Nonprofit smoothed the unemployment perils for our organization during Covid. Without the ability to cap our UI exposure, we would not have been able to weather the storm. The program worked perfectly and we have come out of the pandemic ready to forge on. Thanks FNP!