Shopping For Small Business Insurance
When it comes to finding the right insurance for your small business, the Insurance Information Institute lists these recommendations:3
- Assess your risk, including all business property, inventory and equipment.
- Talk to an insurance professional who knows your industry.
- Compare rates, using comparable coverages, exclusions, limits and deductibles.
- Evaluate insurers, making sure they are reputable, licensed and in good enough financial condition to pay claims.
- Keep rates low by implementing a risk management program that minimizes losses from fires, theft and injuries.
- Review your risks and insurance needs at least annually.
To find out how much business insurance will cost you, get a customized small business quote from Nationwide. Along with the right price, Nationwide has strong financial rankings, superior claims services, personal customer service and flexible payment options. To get started, visit the small business insurance section of nationwide.com and enter your zip code.
1https://www.nytimes.com/ref/open/finance/OPEN-INSURANCE-FAQ.html
Employees Paid Through A Professional Employer Organization
Each Professional Employer Organization which co-employs one or more individuals with a client in Tennessee must complete and file the Report to Determine Status, Application for Employer Number . The PEO will then be assigned an Aggregate State Number. In addition, the PEO must file an Application for Client Number for each Tennessee client and must notify the Department of Labor and Workforce Development in writing of any client additions or deletions during the quarter in which the change occurs.
The PEO must keep separate records and must file separate quarterly Premium and Wage Reports for each client under their Client Number. The clients premium rate each quarter will be the premium rate for the PEOs Aggregate State Number. Detailed information on how the premium rate for the Aggregate State Number is calculated is provided in the Handbook for Employers.
New employer premium rates apply to PEOs that do not qualify for rates based on their own experience. The new employer premium rate will be assigned based on the reserve ratio of the PEOs 2-digit NAICS classification.
A client is jointly and severally liable with the PEO for premiums on all applicable employee wages covered under the professional employer agreement unless the PEO has posted a $100,000 corporate surety bond with the Administrator of the Division of Employment Security.
Other Options For Struggling Business Owners
If you didn’t hire yourself as an employee in your own business, there are some other ways to get financial assistance at this time:
- FEMA disaster relief
- Borrowing against your retirement accounts
Roberts suggests you think proactively now. “If you aren’t out of business, but see your business struggling, consider applying for a type of federal or state business loan now. The process is long, and the forms can be confusing. It’s better to have your application in than wait until you are completely out of business to apply. Remember, the programs are designed for businesses that have been economically impacted by COVID-19, not only for those that have been put out of business.”
About the Author
Brette Sember, J.D.
Brette Sember, J.D., practiced law in New York, including divorce, mediation, family law, adoption, probate and estates,â¦Read more
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Can Business Owners Collect Unemployment
Typically, two facts make you eligible to collect unemployment benefits as a business owner:
- You are paid a regular salary through your business via payroll
- Your employer paid unemployment taxes on that salary
If thats the case, you probably do qualify for unemployment under traditional laws. This is because your company is paying unemployment taxes on your behalf.
Keep in mind too that state unemployment laws differ from federal unemployment insurance laws. For example, in some states percentage of ownership may also be a factor that affects your ability to qualify for unemployment as a business owner.
Check with your states Department of Labor or a local employment law attorney to find specific information.
Unemployment Benefits Under The Cares Act
The federal government has expanded unemployment benefits under the Coronavirus Aid, Relief, and Economic Security Act .
Self-employed workers who are usually ineligible for unemployment benefits including independent contractors, sole proprietors and gig workers may now be eligible. They may also qualify for additional money: the new law provides an extra $600 a week in unemployment compensation and extends benefits for 13 weeks .
Eligibility and guidelines vary by state, and you may be eligible if you are self-employed and have lost income due to coronavirus measures, or youre unable or unavailable to work for reasons related to COVID-19, such as being quarantined or caring for a sick family member.
Under normal circumstances, states require you to seek work each week that you file a claim, but the CARES Act provides flexibility if you are unable to because of COVID-19.
Due to the launch of new unemployment application systems and a surge in the number of people claiming unemployment benefits in recent weeks, some states arent yet able to process new claims and payments may be delayed. But there are signs that early roadblocks to filing for benefits are beginning to lift.
Contact your states unemployment insurance office to learn about who can collect benefits, how to file a claim and if any delays are expected.
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Federal Income Taxes & Your Unemployment Benefits Twc
Posted: Each January, we mail an IRS Form 1099-G to individuals we paid unemployment benefits during the prior calendar year. The 1099-G form provides information you need to report your benefits. Use the information from the form, but do not attach a copy of the 1099-G to your federal income tax return because TWC has already reported the 1099-G information to the IRS.
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Ready To Take The Next Step
As you navigate the new workplace models, dont forget that help is just a click away. Paycor has helped more than 40,000 companies just like yours navigate their HR needs including the management and distribution of unemployment insurance benefits. Paycors HR and benefits management software can help you maintain compliance related to the unemployment benefits of your team. Tour our product suite today and see for yourself.
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Liability Conditions By Business Type
General Business
General business employers are liable on:
- The first day of the calendar quarter you pay remuneration of $300 or more, – or –
- The day you obtain any or all of the business of a liable employer
Non-Profit Employers
Non-profit employers are liable:
- On the first day of the calendar quarter you pay remuneration of $1,000 or more, – or –
- As of the first day of the calendar year you employ four or more workers on at least one day in each of 20 different weeks during that year or the prior calendar year
Household Employers
Employers of household help are liable the first day of any calendar quarter you pay remuneration of $500 or more.
Agricultural Employers
Effective January 1, 2020, employers of agricultural labor are liable as of:
- The first day of any calendar quarter after January 1, 2020 in which you pay remuneration of $300 or more, – or –
- The day you obtain any or all of the business of a liable employer
Note: If you have questions about liability prior to January 1, 2020, call the Employer Hotline at 888-899-8810.
Government Employers
Government employers are liable the first day of the calendar quarter you pay remuneration to employees in covered employment. It does not matter how much remuneration you pay or the number of employees.
Indian Tribes
How Does A Former Employee File For Unemployment
To apply for unemployment benefits, a former employee must file a claim with the unemployment insurance program in their state as soon as they become unemployed. They will need to provide some information, including their former employer, how long they worked there and the business address. Once they submit that information, it generally takes two to three weeks to receive their first benefit check.
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Someone Filed For Unemployment Now What
When an ex-employee files an unemployment claim with the state, they are automatically assigned a case worker who will reach out to your company by mail to verify that all of the information the employee gave the state in their unemployment claim is true.
You should expect to answer how long the employee was with you, how much money they made, and if they were fired for cause, lost their job in a layoff, or if they just quit. You can contest the unemployment claim by providing information if you fired the employee for cause, if the employee quit on their own accord, or if the employee was actually a contractor.
Temporary Shutdowns: Sharedwork Standby And Partial Employment
If I need to temporarily shut down my business due to a possible COVID-19 contamination or quarantine at the worksite, can I receive a relief of benefit charges?
Taxable employers may qualify
Check the job search requirements page for more information.
Can business owners get unemployment benefits?
If you previously elected to be covered for unemployment and paid unemployment taxes, you may be eligible for unemployment benefits. Under the corporate officer rules, LLC members/managers are not covered. The best way to find out is to apply.
Can employees of non-profits get unemployment benefits?
Most non-profit employees are eligible for unemployment benefits, but some are exempt and can learn if they are by applying for benefits.
Non-Profit employers with unemployment questions can contact our Accounts Management Center via email or phone 855-829-9243.
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Business Insurance Agency In California
PJO Insurance Brokerage has maintained its integrity by delivering the best California business insurance solutions to their clients. We have professionals in each field that can answer your questions about the differences in the types of business insurance. We care about protecting the businesses in California with excellent coverage while delivering competitive rates for savings.The business insurance that a bakery business needs may include commercial general liability with products insurance and commercial umbrella insurance as well as property insurance to cover their equipment. A roofing company may need general liability and inland marine insurance to cover their equipment at the job site. A nursing home may need California insurance, liability insurance, professional liability, and property insurance amongst other types of available coverages.
Who Is Eligible For Unemployment Insurance
Claimants are eligible if they are able and available for work, the reason for separation from employment is not attributed to the individuals own fault, and the individual has sufficient work history. Sufficient work history is calculated by looking at an individuals base period. The base period is the first four of the five most recently completed calendar quarters, excluding the quarter in which the claim was filed. In certain limited situations, alternate base periods may be used. This chart is used by UI to determine a claimants base period:
For a thorough explanation as to how to calculate UI benefits, check out KEWs article, How do probationary periods affect unemployment insurance?
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The Ins And Outs Of Filing Taxes For Your Small Business
Filing taxes as a small business owner can be daunting. Not only do you have to file individual and corporate taxes, but you also might have to file payroll, unemployment, excise taxes and more.
Its not easy to make sense of which forms you have to file and which taxes you need to pay. To help you with this, heres an overview of the taxes small business owners need to know about and how they report them.
Business Owners Can Help Or Hinder Ex
As a best practice, you should not interact with any of your ex-employees until they sign a separation agreement. Once a separation agreement is signed, you can help them find new jobs and can even give them recommendations for new roles.
Keep in mind, if youre trying to help employees out by giving them some hours, you may not really be helping them. Because of strict rules surrounding claiming unemployment benefits, those ex-employees must accept any jobs or hours offered to them and then claim those hours. So picking up a few hours might make them ineligible for unemployment benefits. Be realistic about what you can offer and weigh whether its more valuable than full unemployment benefits. If not, dont offer.
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How Do Small Business Owners Pay For Unemployment Insurance
Small business owners pay unemployment taxes that contribute to general unemployment insurance reserve funds. While youre technically not paying the workers whove successfully filed for unemployment against your business directly, the number of previous employees who have successfully filed for it can affect your unemployment tax rate.
The percentage of unemployment insurance that you pay for state compliance is a combination of several factors, like your states specific unemployment tax rate, your businesss unemployment claim rate and other data. In just a handful of states, employees contribute their own unemployment taxes to the state fund. Generally, your state unemployment report and taxes are due on a quarterly basis, but you should double-check specific state requirements to ensure full compliance. On a federal level, most small businesses should comply with the Federal Unemployment Tax Act and filing regulations.
What Happens If I Lie Or Dont Respect The Rules
You can receive a warning or a penalty or lose your right to benefits for a period of time if you knowingly lie or dont fulfill your obligations .
If you dont follow the rules, the rules might be stricter the next time you apply for employment insurance benefits. For example, you might have to work more hours in your qualifying period if you lied while trying to collect employment insurance in the past.
You might have to pay back any employment insurance benefits that Employment and Social Development Canada decides you were not entitled to.
You can also be charged with a crime if you dont respect your obligations or you lie. If you are found guilty, you can be fined or imprisoned for up to six months.
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Small Business Funding Available
For small business owners, the federal loan programs announced as part of the CARES Act primarily focus on keeping Americans employed. For that reason, the Economic Injury Disaster Loan offers an advance of $1,000 per employee, up to $10,000.
The Payroll Protection Plan is the most popular option for small businesses because its the only one to offer loan forgiveness. However, the only way to be eligible for loan forgiveness is to spend the funds primarily on payroll expenses.
This means that if you receive the funds, youll need to prove your efforts to keep employees on the payroll. Already laid off some of your team? Dont worry. As long as you can bring your headcount and payroll expenses back up to previous levels by June 30, 2020, youll still be eligible for forgiveness.
What New Business Owners And Entrepreneurs Need To Know About Unemployment Insurance
Unemployment insurance is often one of the most confusing and potentially difficult issues for a new business owner or emerging entrepreneur to navigate.
This is because unemployment insurance speaks not only to how attractive a companys compensation package will be to new employees, but it also ensures that your company is adhering with stringent state and federal laws.
No matter what state you operate in, you will almost certainly be required to pay unemployment insurance for at least some of your employees. Not all workers, however, will qualify for unemployment insurance, so you will not be obligated under state or federal law to pay unemployment insurance for particular workers. The conditions that make certain employees ineligible for unemployment insurance vary from state to state, however, you will need to consult with a good attorney or review state unemployment laws to ensure your company is in compliance with the law.
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Can A Small Business Owner File For Unemployment
We hear all the time about unemployment benefits for laid-off workers. But what about unemployment benefits for business owners? If you owned an unlucky small business , are you out of luck when it comes to unemployment?
In normal times, you would only be eligible for unemployment benefits if your small business 1) paid you a regular salary, and 2) paid unemployment taxes on your salary. However, the coronavirus outbreak has us living in a time that is anything but normal, and new policies have been created to provide more self-employed individuals with unemployment compensation.
What If I Disagree With A Determination That A Previous Employee Should Receive Ui Benefits
Determinations that an employee is eligible for UI benefits can be challenged by an employer. There are a variety of reasons for such a challenge, but common reasons for challenge include that the employee was terminated for substantial fault or that the employee quit. Whenever a former employee files a UI claim, the employer will receive a Separation Notice from the DWD, which can be used to dispute the reason for the termination.
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How To Get Cobra
Group health plans must give covered employees and their families a notice explaining their COBRA rights. Plans must have rules for how COBRA coverage is offered, how beneficiaries may choose to get it and when they can stop coverage. For more COBRA information, see COBRA Premium Subsidy. The page links to information about COBRA including:
