With funding cuts impacting nonprofits across the country, we understand that the time is now to save valuable dollars whenever you can. A dedicated and long-time partner, UST Workforce Solutions, is helping our participating members do just that.
All employers, including nonprofits, are required to fund unemployment benefits but did you know that the Federal Unemployment Tax Act (FUTA) allows 501c3 organizations to opt out of paying state unemployment taxes to become “reimbursable employers?” When an organization operates in this way, it reimburses the state dollar-for-dollar for only the unemployment benefits paid out to your former employees as they occur, rather than subsidizing for-profit entities when paying into the state unemployment tax system. This exclusive nonprofit tax alternative can help lower state unemployment costs and save your organization thousands of dollars every year.
Just last year alone, UST helped participating nonprofits save $40, 267,410.77 on their unemployment claims costs… that’s an average savings of over $18,000 per organization. That kind of savings can make all the difference for the communities you serve.
Download UST’s “It’s All About the Numbers Infographic” to uncover the benefits of exercising this exclusive nonprofit tax alternative.
We are proud to partner with UST as they offer specialized cost-saving programs designed to help you build a solid financial foundation. Their comprehensive suite of services includes expert HR tools, claims management services, dedicated hearings representation, streamlined e-filing, and their highly acclaimed outplacement services. UST can guide you through the process of becoming a reimbursing employer and accessing substantial savings—but time is running out to exercise your tax exemption status for 2026.
To find out how much you could save in 2026, submit the no-obligation Unemployment Savings Analysis today and be sure to use Priority Code 2025AP-UI to expedite the process.
