What do state unemployment taxes (SUTA), state unemployment reserve balances and claim overpayment rates mean to your nonprofit?
These factors could mean less money for your nonprofit organization’s cause.
41% Increased Tax Cost
In order to rebuild New York’s diminishing state unemployment reserve fund, caused by the most recent recession, factors used in calculating employer unemployment rates were increased; therefore increasing the average unemployment tax cost per employee from $318 in 2009 to $447 by 2015.
$178 Million Unemployment Claim Overpayments
The New York April 2014 – March 2015 unemployment claim overpayment rate was 7.086%, equaling over $178 million.
$10,700 New York’s unemployment wage base increased from $8,500 in 2013 to $10,300 in 2014 , and will continue to increase by $200-$300 each year through 2026; therefore increasing the wages on which employers pay SUTA on. Currently, the wage base is $10,700.
There are options to financing your nonprofit organization’s 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!
