The recent economic turmoil brought a wide array of major challenges to American businesses. During the height of the “Great Recession,” massive layoffs and cutbacks nearly devastated America’s workforce.
Today, as the American economy continues its slow recovery, many businesses are finding that the costs of unemployment also carried a huge and disproportionate impact on their bottom lines.
The underlying reason is largely a function of the relative efficiency of state government(s).
During the recent downturn, unemployment claims reached almost record numbers.
But across the country, the methods and models that states use to calculate annual state unemployment insurance (SUI) tax rates vary dramatically – incorporating many different complex factors and variables. Because of this, many businesses may have been taxed at a higher rate than was appropriate.
Identifying the specific areas of inaccurate information and enacting an effective strategy to rectify them can be a rigorous but rewarding challenge.
We can help
A thorough review of your SUI charges could pave the way to a large recovery of taxes paid by your company or organization.
Working with data already prepared by your in-house accounting department, we will review three years of SUI taxes paid. Our review is a deep-dive, vertical analysis that traditional unemployment consulting firms typically do not undertake.
We will look at several key areas, including, but not limited to:
· State tax rate calculation models and application
· Contributions paid-in to date
· Reserve balances and benefit ratios
· FEIN tax structures
· Impact of significant business transactions (M&A, downsizings, restructurings, employee transfers, etc.)
Important: Please note that we DO NOT require access to detailed or sensitive payroll information. We also DO NOT require any employee time to help you recover SUI funds .
Furthermore, we’ll provide you with both a retroactive review of the past three years to identify and secure refund or credit opportunities from prior overpayments, as well a forward-looking assessment to help you develop a strategy to minimize tax implications from upcoming business transactions, evaluate the impact of our retroactive review on future tax rates, and analyze opportunities for voluntary contributions for the coming tax year.
Typically, the complete process will last from 45 days to six months, depending on specific client needs.
Our SUI recovery program has been successful at companies such as Tiffany & Co., Viacom, CBS, KeyBank, Cardinal Health and CDW Corporation.