An unemployment insurance program that includes an insured risk management solution and claims administration is essential to keeping 501(c)(3) nonprofit organizations safe from needless unemployment costs. While opting out of paying state unemployment insurance (SUI) taxes is a relatively easy process, the decision to change unemployment financing should be accompanied by a well-thought-out strategic plan on how to pay for future unemployment claims and limit claim liability.
501(c)(3) nonprofits that elect to opt out of SUI taxes are solely responsible for future, unfunded unemployment benefit charges payable (at the state’s discretion) to former employees. Moreover, making that reimbursing election involves a larger fiduciary responsibility for protecting against future unexpected losses.
First Nonprofit partners with third-party claims administrators and provides state-compliant, individually insured, cost-saving options to satisfy SUI requirements for nonprofit entities. Nationally, more than 2,000 organizations with over half a million employees rely on First Nonprofit to reduce, manage, and safeguard their organization from unanticipated unemployment insurance expenses.
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.