If you’re working with a fee-based vendor for unemployment, you are likely being slammed with processing costs. Many vendors have inflexible overage fees, which can be $25-$30 per additional claim. In some cases, this cost is 10 times higher than what was budgeted.
While this is an excessive expense, a much higher cost lurks around the corner. If you are not at your lowest unemployment tax rate, you can expect to pay significantly more. This is the time to evaluate how your current rate compares to the best in your industry, by state. You may find the processing fees pale in comparison to your tax rate. For example, a company with 10,000 employees and a rate that is .5% higher than the industry’s best, could pay an additional $600,000 per year.
UC Alternative provides a free analysis of your tax rate. We compare your rate to your industry and break it down by state. Having this information will minimize costs for next year.
Please contact Raj Gill at 301-355-6427, or by email at: email@example.com for a free tax assessment.