August 20, 2014
On the heels of recent news that most areas of charitable giving are on the rise comes the finding that foundations are providing more grants to nonprofits. According to a study from the Council on Foundations, reported on by The Chronicle of Philanthropy, 56 percent of foundations increased their grant awards to charitable organizations in 2013. This is a significant increase over similar giving in 2012, when 47 percent of foundations had a rise in grants provided.
For any nonprofit group, getting a grant from a foundation is a big deal. Funds provided by a foundation grant usually come in a large block, as opposed to the many smaller donations gathered from individuals and businesses. Making the most out of a received grant means cutting down on unnecessary expenses and appropriately managing risks so that awarded funds can be directly applied to programs and vital operational budget components.
One area in which many nonprofits don't realize they can save money is how they fund their unemployment obligations. Instead of paying into the state unemployment tax (SUTA) fund, charitable groups can, instead, elect to become reimbursing employers. This approach allows for the compensation of jobless claims on a dollar-for-dollar basis, meaning nonprofits won't be liable for payment unless a claim is made – an impossible consequence when paying taxes into a SUTA fund. However, a spike in unemployment can put a serious strain on the reimbursing employer approach as well. First Nonprofit Group offers solutions that provide the best of both worlds, by covering a nonprofit's SUTA obligation with flexibility while increasing cost control by directly reimbursing for claims
For information on how your organization can cost-effectively meet its unemployment insurance needs, contact First Nonprofit Group at FNCUI@firstnonprofit.com or visit www.firstnonprofitgroup.com.
Working with Marshal Whittey at First Nonprofit has been a great experience. He handles our request as a priority and goes above and beyond to resolve any issues we have in a timely manner. Marshall follows through to the end and ensures our needs are met. He has been a great resource for LSC and our “go to” for any tax questions we may have. With LSC transitioning several facilities into one federal tax identification number, First Nonprofit was able to assist and provide guidance with best practices resolving claims to each entity. Additionally First Nonprofit provided knowledge (information materials) and one on one training to HRS group with best practices to handle claims state adjudicated, fraudulent claims, and appeals. And processing information in the First Nonprofit [unemployment claims] system allows for timely information can be collected.
My experience with FNP has been wonderful. Unemployment in general is quite confusing and FNP has simplified the process for us. Everyone we have reached out to or worked with has been very helpful and follows up to be sure we understand the information. I am so happy we made the switch to FNP!
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!
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!
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!
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!
First Nonprofit has been easy to work with and makes the administrative process easier and smoother. We enjoy working with you.
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!