August 4, 2015
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.
The North Carolina Division of Employment Security owes more than $154 Million to the federal government (more than $2.7 billion was owed in 2011). This loan is used to pay the excess unemployment claims the State Trust Fund cannot cover.
In order to replenish the North Carolina State Trust Fund, factors used in calculating employer unemployment tax rates were increased, therefore increasing the average unemployment tax cost per employee by 43% from 2009 to 2014.
In 2014, North Carolina’s minimum and maximum employer unemployment tax rates increased. These increases included a 20% surcharge on all unemployment tax rates. The surcharge will continue to be added to all unemployment tax rates until the State Trust Fund reaches $1 Billion.
The unemployment wage base also increased by $300 per employee in 2015.
NYCON members who use First Nonprofit’s programs enjoy enduring savings and improved efficiency. Our association knows that success, because from the beginning, we achieved the same great benefits. Great savings, seamless technology, and responsive service. NYCON highly recommends First Nonprofit’s remarkable unemployment solutions.
We were introduced to First Nonprofit through another housing authority. In our analysis and comparison to what we were paying the State, our first year savings was $5,800 plus. We have been with them since the end of 2008 and I am glad we have been. I consider them an arm of our HR department.
Because INCS advocates for the operating conditions that allow charter public schools to provide high quality public education, partnering with First Nonprofit was an easy decision. First Nonprofit’s unemployment programs provide our member schools two operating elements crucial to their ability to provide high quality public education: savings and budget certainty. Capable, committed teachers are the key to student success. By participating in the unemployment insurance savings plan, charter public schools gain peace of mind and are able to invest more money in their teachers.
Throughout our membership in the Unemployment Savings Program, First Nonprofit understood our demands, community dynamics, and the importance of seamless services; that allowed us to serve our constituents better.