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.
54% Increased Tax Cost
From 2009-2013, the Florida Department of Revenue borrowed money from the Federal Unemployment Account in order to pay the excess unemployment claims its trust fund could not cover. 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 54% (from 2009 to 2015)
$37.00 of every $100 paid
For every $100 of SUTA contributions paid to the Department of Revenue in 2014 (latest data), $37 were going into the unemployment trust fund, while $63 were going to pay unemployment benefits. The difference in contributions and benefits is not returned to employers.
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!
