Did I ever tell you the story

 

About trying to renew

 

 

My NJ plumbing license seal

 

 

 

It was old and needed to be

 

 

Replaced.

 

 

 

Do you have about an hour?

 

 

 

It is wayyyy tooooooo long of a story

 

 

 

Without going into details

 

 

Let me just say

 

 

After many phone calls

 

 

 

 

It only took the State a year

 

 

To mail out my new

 

 

Plumbing seal

 

 

 

 

 

 

Now the State is treading on sacred ground

 

 

 

 

Each year in late July or early August

 

The State of New Jersey

 

Mails out the

 

 

 

New Jersey Employer Contribution Reports

 

 

 

To all New Jersey Employers

 

 

 

 

This form shows you how the State

 

 

Calculates your new

 

 

Unemployment Tax rate

 

 

For the next 12 months.

 

 

 

 

You have to stay with me here…..

 

 

 

 

The form shows how much

 

Your Company has paid

 

Into the unemployment fund

 

Since inception

 

 

 

It also shows the total amount of

 

Unemployment claim dollars

 

The Company has paid out

 

Since inception

 

 

 

 

Confused yet?

 

 

 

Keep reading

 

 

 

 

The bottom line

 

Shows your reserve balance

 

 

Or

 

 

How much money is left

 

 

In your account

 

To pay

 

 

Future claims

 

 

 

 

Alright….. take a breath

 

 

 

 

 

To determine your new rate

 

 

 

The State looks at your

 

Reserve balance

 

 

 

 

The State also looks at your

 

 

 

3 year taxable wage base

 

 

And your

 

 

 

5 year taxable wage base

 

 

 

 

 

 

Guess which Taxable Wage Base

 

 

The State picks?

 

 

 

 

 

If you said the higher number…..

 

 

 

 

You would be correct.

 

 

 

 

Well….

 

 

 

Guess what?

 

 

 

 

 

New Jersey will not be mailing out the

 

 

New Jersey Employer Contribution Reports

 

 

 

Any longer

 

 

 

 

You will now have to go online…

 

 

 

 

Set up an account…

 

 

 

And look up the information…..

 

 

 

 

Yourself

 

 

 

 

Did I miss that memo?

 

 

 

 

Did you miss that memo?

 

 

 

 

 

 

I bet you did not know that

 

 

 

 

Unemployment is the 2nd highest

 

 

Employer mandated tax by the government

 

 

 

 

It is the only tax

 

That you are able to manage

 

 

 

 

You do have the ability to manage

 

 

What rate your company is assigned

 

 

 

 

And

 

 

 

What dollar amount will be

 

Paid into the account

 

For the next 12 months

 

 

 

 

 

 

 

Did you know

 

 

That the national average

 

 

For the overpayment of an

 

Unemployment claim is

 

 

 

Over 10%

 

 

 

 

That means the State may be paying

 

The wrong amount for an unemployment claim

 

 

 

And the money is

 

Coming out of your account

 

 

 

How do you even know your

 

Unemployment Rate

 

Is correct?

 

 

 

How do you know if your

 

 

Reserve balance

 

Is correct?

 

 

 

 

This is one of the services

 

HBS provides

 

 

 

 

We serve as a public advocate for

 

Our clients

 

 

 

 

We hold the state responsible

 

 

 

 

We verify the assigned rate

 

Is correct

 

 

 

 

We manage the payment of claims coming

 

Out of your account

 

 

 

 

Auditing each claim payment

 

 

Verifying it is the correct amount

 

 

 

 

For companies with over 100 employees

 

 

The cost savings to

 

 

 

Manage your unemployment account

 

 

Can be seen within the first year

 

 

 

 

With the unemployment fund depleted

 

 

Now more than ever

 

 

Companies should be taking steps to

 

 

Manage their unemployment accounts

 

 

 

 

 

 

To learn more contact george@hbsadvantage.com

 

 

Visit us on the web www.hutchinsonbusinesssolutions.com

U.S. Initial Jobless Claims Rose 22,000 to 378,000  

As reported in Bloomberg .com

March 20 (Bloomberg) — The number of Americans filing first-time claims for unemployment insurance rose last week and the total number on benefit rolls reached the highest since August 2004, signs that firings are increasing.

Initial claims for benefits increased 22,000 to 378,000 in the week ended March 15, more than economists forecast and the highest since the week of Jan. 26, from 356,000 the prior week, the Labor Department said in Washington. The number of people staying on benefits rose to 2.865 million from 2.833 million.

U.S. companies are cutting staff as the biggest housing slump in a quarter century, tighter credit and mounting financial losses push the economy toward a recession. The Federal Reserve, noting labor markets had “softened” as it cut interest rates earlier this week, said it would act “as needed” to promote growth.

“This is pretty much what it looks like heading into recession,” Chris Rupkey, chief financial economist at Bank of Tokyo-Mitsubishi in New York, said in an interview with Bloomberg Television. “It’s a bad number for the Fed. This is something that might keep them cutting rates.”

Treasuries were little changed after the report, with the benchmark 10-year note yielding 3.33 percent.

Weekly claims were forecast to rise to 360,000 from 353,000 initially reported in the prior week, according to the median projection of 39 economists in a Bloomberg News survey. Estimates ranged from 345,000 to 380,000.

From a company’s perspective

Many companies look to firing or laying off employees to address a downfall in the economy. This may address an immediate need but many fail to realize that this decision lives with them for 4 years.

First, if an employee collects, the payments will be paid out of the State mandated company’s account. The state unemployment programs are set up to mirror that each company has their own checking account.

The state assigns a rate that tells you how much will be put into the account and then notifies you how much has been paid out in claims.

The amount paid out directly affects the balance or reserves held in the account and have a direct relationship in determining what your rate will be over the next 4 years. The state makes a calculation based on the dollar amount of claims paid out, the reserves needed to support future claims as they relate to the taxable wage base.

 Confused yet?

That is the way the states want you to view it.

Should you have any questions about the unemployment or claim process, feel free to contact us. We deal with these issues on a daily basis.

george@hbsadvantage.com

We find many clients have been assigned the wrong rate and our overpaying unemployment taxes.

To learn more visit our website.

www.hbsadvantage.com

We look forward to discussing this with you.