OUR STRATEGIC PARTNERS
The Social Security Act is amended. Nonprofits are added to the unemployment tax system. However, specific rules give 501(c)(3)s employers a choice to participate in the state tax system or opt out and reimburse their state for liable claims.
John Huckstadt, a former nonprofit executive director uncovers the savings potential available to nonprofits if they opt out of the state unemployment insurance tax system and conceptualizes a program to take advantage of the savings.
Under Huckstadt’s leadership. 14 Silicon Valley United Ways join the nation’s first grantor trust, the Joint Unemployment Compensation Trust, created to help 501(c)(3)s become reimbursing employers. A management company called 501(c) Services is formed to provide financial, administrative, claims management, membership development, and insurance services for the new trust.
501(c) Services, in consultation with five trustees, established the Washington Unemployment Compensation Trust with 100 nonprofit members in Washington State.
The Washington Unemployment Compensation Trust expands to include Alaska, Oregon, and Idaho. The new expanded trust is renamed the Northwest Unemployment Compensation Trust. The Joint Unemployment Compensation Trust changes its name to Joint Agencies Trust.
A Labor & Industries program is created within the Northwest Unemployment Compensation Trust (It is still available to Washington State nonprofits today). Northwest Unemployment Compensation Trust changes its name to Northwest Agencies Trust.
501(c) Services creates the Boy Scouts of America Unemployment Plan.
The Joint Agencies’ Trust and the Northwest Agencies’ Trust are combined to form 501(c) Agencies Trust after 501(c) Services engages in strategic partnerships with national nonprofit organizations, such as the America’s Second Harvest Food Banks, the YMCA of the USA, the Boys and Girls Club of America, National Human Service Assembly, and the YWCA of the USA. It becomes and remains the oldest grantor trust of its kind.
501(c) Agencies Trust approaches 2000 members and over $80 million in assets – the largest such grantor trust of its kind.
BOARD OF TRUSTEES
501 (c) SERVICES
Helping manage unemployment for nearly 40 years.
In 1982, 501(c) Services, a 100 percent employee-owned company, was created to administer the first trust in the country, to offer a safe way for nonprofits to legally stop paying the state unemployment insurance tax while still covering unemployment charges for former employees.
501(c) Services has 40 years of experience in providing full-service alternatives to state-run unemployment insurance programs, and provides services to over 3,000 nonprofits worldwide. They are the administrator of 501(c) Agencies Trust, 501(c) HR Services, 501(c) Agencies Trust Group Retro Plan for Washington nonprofits, UInsure (the only admitted private unemployment insurance product in the country), Boy Scouts of America Unemployment Plan, and 501(c) Unemployment Assist.
For more information, visit www.501c.com.