State Unemployment Insurance: How can your organization avoid the high cost of State Unemployment Insurance (SUI) taxes?

August 31, 2020

State Unemployment Insurance: How can your organization avoid the high cost of State Unemployment Insurance (SUI) taxes?


Consider altering the method by which you fulfill that unemployment responsibility to one that also allows greater financial control.


Eligible Organizations

Over 2,100 nonprofit, tribal and governmental entities currently participate in our successful unemployment risk management programs that save money (as much as 40%), are fully or partially insured, and provide greater control over that


They include:

  • Social service organizations
  • Charter and private schools; colleges and universities
  • Healthcare and hospitals
  • Mental health/rehabilitation
  • Native American/Alaska Native tribes and enterprises
  • Local, county and state government entities
  • Religious charities/service
  • Charitable foundations


Underwriting Eligibility Guidelines


  • Available in all 50 states
  • IRS qualified 501c3 organizations
  • NA/AI tribes and their enterprises
  • Local, county and state
    government entities
  • Minimum 10 employees in most




  • Bonded Service Program: Risk Free
    first and last dollar coverage
  • Unemployment Savings Program:
    Proprietary interest-bearing reserve
    account, plus stop-loss
  • NUF Program: Claims
    administration, finance
    management and HR support
  • Excess Loss Program: “Working
    Excess Coverage” fits the level that
    works best for the organization’s risk
  • Surety Bonds: Required in many states
    for “reimbursing” employers
  • Group Program Management:
    Individually tailored programs for public
    and nonprofit member organizations
    includes underwriting, billing, and
    management of reserves


Program Benefits


  • Fixed annual cost
  • Budgetary certainty
  • Insurance protection
  • Improved cash flow through equal quarterly payments
  • Professional claims management and cost audits
  • Reimbursement payments to state agencies for individual claims
  • Posting of collateral (surety bonds) with state unemployment agencies
  • FNPACCESS: Live HR advice, group purchasing and discounted background services


Easy Application Process


  • Contact us
  • Simple, two-page initial application
  • We process all onboarding
    state paperwork

Ready to chat?
Get in touch today to request a no-obligation savings evaluation.


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.

Lutheran Services Carolinas, Salisbury, NC

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!

Stone Valley Community Charter School, Huntingdon, PA

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!

Jewish Silicon Valley, Los Gatos, CA

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!

American Saddlebred Horse & Breeders Association, Inc., Lexington, KY

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!

Beardstown Community Unit School District 15, Beardstown, IL

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!

Innovative Services, Inc., Green Bay, WI

First Nonprofit has been easy to work with and makes the administrative process easier and smoother. We enjoy working with you.

Visually Impaired Preschool Services, Louisville, KY

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!

Neurologic Music Therapy Services of Arizona, Phoenix, AZ