News

Tag Archives: TX

Fast Unemployment Cost Facts For Texas

TX fact sheet

What do state unemployment tax (SUTA) costs, claims costs and wage base amounts mean to your organization?

These factors could mean less money for your cause.

First Nonprofit Group provides state compliant, individually insured, cost saving options to satisfy SUTA requirements for nonprofit, governmental and tribal entities. Click here or call (214) 360-2477 to request a free, no-obligation cost savings evaluation. Evaluations include a 2018 rate projection!

 

Unemployment insurance cost facts every Texas nonprofit should know

What do state unemployment taxes (SUTA), state unemployment reserve balances and claims overpayment rates mean to your nonprofit?

These factors could mean less money for your nonprofit organization’s cause.

94% Increased Tax Cost

In order to replenish the fund, factors used in calculating employer unemployment tax rates were increased, therefore increasing the average unemployment tax cost per employee from $115 in 2009 to $223 in 2015.

230 Million Unemployment Claim Overpayments

The Texas April 2014 – March 2015 unemployment  claim overpayment rate was 10.835%, equaling over 230 million in overpayments.

$1.4 Billion Negative State Trust Fund Balance

Texas Workforce Commission owed more than $1.4 billion (Sept. 2010) to the federal government. This loan was used to pay the excess claims the State’s Trust Fund could not cover. The federal loan was paid back by securing a bond in the private market and an obligation assessment rate was added to employers’ 2011-2016 unemployment tax rates to pay the debt service on the bonds.

There are options to financing your nonprofit organizations unemployment costs

First Nonprofit Group provides more than 1,800 nonprofit organizations and governmental entities around the country with unemployment insurance at affordable rates. Click here or call 1-(800) 526-4352 to request a free, no-obligation cost savings evaluation. Evaluations include a 2017 rate projection!

First Nonprofit Group to attend Texas Association of Community Action Agencies’ Annual Conference

First Nonprofit Group’s (FNG) Regional Sales Director, Beth Quynh, is gearing up for another trip to the Texas Association of Community Action Agencies’ (TACAA) annual conference. This year’s event will take place Wednesday, May 6 through Friday, May 8 at the Doubletree Hotel in Austin, Texas. As an exhibitor, Beth is excited to answer any questions that community action agency and nonprofit organization attendees may have about First Nonprofit Group’s state unemployment insurance (SUI) options.

Formed in 1968, TACAA is a nonprofit organization that helps unify Community Action Agencies in the State of Texas to aid success and operations of programs that help Texans below the poverty line. This year’s annual conference, titled “Embracing Change for Higher Standards”, will address an extensive variety of operation matters from direct services to funding to board leadership. For a full agenda of scheduled events, click here.

The State of Texas’ average unemployment tax cost, per employee, has increased by 134% since 2009! There is no better time than now to learn about potential savings options to finance this cost. The services offered by FNG ensure that organizations have the funds on hand to reimburse unemployment claims, while also freeing up money to be used in other areas of operations. No matter what your agency’s focus at the conference, all 501c3 organizations, including Community Action Agencies, and governmental entities can learn how to significantly save on state unemployment insurance in Texas by stopping by the First Nonprofit Group booth or contacting us directly by phone at (800) 526-4352 or online www.firstnonprofitcompanies.com.

 

Attn. Texas nonprofits: Could your organization use an extra $21,659*?

First Nonprofit’s (FNG) provides 501(c)(3) nonprofit organizations and governmental entities with safe, cost-saving alternatives to the State Unemployment Insurance Tax (SUTA). More than 1,700 nonprofit organizations, representing all sectors of the nonprofit community, rely on us to maintain and manage their unemployment insurance costs.

Nonprofits, on average, pay more in SUTA than what their employees actually collect in unemployment benefits. *New 2015 members saved an average of $21,659 (29%) in FNG’s unemployment programs in their first year alone.

**These are just a few member savings samples. FNG’s programs are available to nonprofits in all 50 states. Contact us for more state-specific information!

For more savings examples, click here.

 

Member Spotlight: Association for the Advancement of Mexican Americans

“Empowering Learners. Inspiring Leaders.”

 

For more than 40 years, the Association for the Advancement of Mexican Americans (AAMA)’s mission has been to inspire and empower at-risk Latinos to pursue their potential and achieve success. Located in Houston, Texas, AMMA’s services include adult education, counseling and prevention services as well as a charter school.

The name of AAMA’s adult literacy program is Adelante, which means “to move forward” in Spanish. The free ESL, GED preparation and computer courses provided by this program helped 1,400 adults move forward in their education in 2013. Pre-kindergarten and childcare options offered by AAMA allow parents to attend these courses too.

AAMA’s Dinosaur Project, better known as DiNo, provides elementary students with tools to avoid drugs, gangs and violence. Their prevention and counseling services also include residential treatment centers, a communicable infection outreach program and pharmacological treatment. Most of these services are based in Houston, however selected services are also available in Laredo and San Antonio.

The Sanchez Charter School serves pre-kindergarten and sixth through 12th grade students. Through AAMA’s partnership with the Houston Community College, older students can complete dual-credit college as well as workforce readiness courses. In 2013, AAMA earned its National Association for the Education of Young Children (NAEYC) certification for their Early Childhood Center.

Success with First Nonprofit Group

Since 2005, AAMA has saved more than $500,000 by opting out of paying State Unemployment Taxes (SUTA) and enrolling with First Nonprofit. AAMA has been a member of both of our unemployment programs and is currently a member of our Unemployment Savings Program. “We’ve valued the flexibility of two options to further enhance cost savings,” says Lisa Schott, AAMA’s Human Resources Director.

“We highly recommend considering moving to one of FNG’s programs to lower costs, completely eliminate SUTA and have more evenness in budget,” Schott says. Under the SUTA method, employers often submit their largest tax payments during the first half of the calendar year. Budget certainty is a benefit provided by both of our programs. “Knowing what our quarterly costs will be, has given us budget certainty to allow for better cash flow and expense accrual. This has been enormously helpful during several times we’ve had to lay off staff,” Schott continues.

Like all members of our programs, AAMA is partnered with one of our unemployment claims administration partners. Schott works with her claims team on a regular basis. “Having a dedicated claims team to respond to and monitor claims is a huge plus, as we don’t have the resources to devote to this.”

We look forward to many more years of success with AAMA! For more information about their services, please visit their website, www.aama.org.

 

Unemployment Insurance for Nonprofits in Texas: There is a safe, cost-effective alternative out there

What do high unemployment rates, increased taxes and negative State Trust Fund Balances mean to your nonprofit? All these statistics mean less money for your cause.

 

NEGATIVE STATE TRUST FUND BALANCE OF $1.4 BILLION

The Texas Workforce Commission owed more than $1.4 billion (through Sept. 2010) to the federal government. This loan was used to pay the excess claims the State Trust Fund could not cover. The state paid back the federal loan by securing a bond in the private market and an obligation assessment rate was added to employers’ 2011-2015 unemployment tax rates to pay the debt service on the bonds.

 

INCREASED TAX COST: 134%

In order to replenish the trust fund, factors used in calculating unemployment rates were increased, therefore increasing the average unemployment tax cost per employee by 134% (from 2009 to 2014).

 

First Nonprofit Group provides more than 1,700 nonprofits around the country with unemployment insurance at affordable rates. Below is a sample savings analysis of one Texas member since 2005.
To find out how much money your organization can save, contact us for an unemployment cost savings evaluation. Evaluations are free, there is no obligation to join, and an estimate of your 2016 unemployment rate is included!
For a PDF version of this fact sheet, please click here.

 

 

 

Learn more about how this Texas nonprofit saved half a million dollars on unemployment insurance

What do high unemployment rates, increased taxes and negative State Trust Fund Balances mean to your nonprofit? Click here for a copy of our Texas Fact Sheet for Nonprofits and learn more about:

  • The recent increases in cost of unemployment insurance taxes in Texas
  • Possible upcoming cost increases
  • What program members have saved by enrolling in one of First Nonprofit Group’s unemployment programs
  •  

    Attn. Texas Nonprofits – Could you use an extra $41,473 in 2014?

    Could your nonprofit use an extra $41,473?

    Nonprofits, on average, pay more in state unemployment taxes than what their employees collect in unemployment benefits.  First Nonprofit Group (FNG) provides safe alternatives to the unemployment tax system to more than 1,600 organizations in more than 40 states.  New 2014 members, alone, saved an average of $41,473 (37%) in FNG’s unemployment programs.  Click here to see what other Texas nonprofits have saved.

     

    Page 1 of 2 1 2
    Copyright © 2012 First Nonprofit Insurance Company | Design & Development by NAMIC Web Services