News

“They share any information that’s available concerning our business or things that might affect our business. And I think they also are very effective in helping you understand why you need to look at things differently if you’re not looking at them the right way.
- Tanya Henry, Executive Director, Milwaukee Careers Cooperative”

We are constantly on the alert for all the latest industry news, legislative updates, trends and more that could possibly impact your staffing business. Our president and CEO, Julie Ann Bittner, also shares her insights on the staffing industry in her message (link below). And when we don’t see information about a topic we feel is critical for you to know, we create it ourselves to share in our monthly email.

Press Room

The Truth About Asset Based Lending

For the longest time, there was a stigma attached to asset based lending and those companies that used it. It was for companies with bad credit, strapped for cash, and unable to get funding from traditional sources such as banks.

Not anymore.

More and more staffing companies are using asset based lending not because they have to, but because it offers the flexibility and competitive pricing they’re looking for. Plus, when you pick the right asset based lender, you may also acquire expert industry resources for your business as well.

Flexibility

Flexibility is the biggest difference between asset based lending and traditional bank lines of credit.

Staffing is usually one of the first industries to feel changes in the economy. The staffing industry felt the effects of the recession sooner, but it’s also recovering sooner as well. While banks are still operating under their current tight credit restrictions of the recession, staffing companies are looking to grow. They need financial partners that can support and enable — not inhibit — that growth.

Hire Act to add real dollars to your bottom line

Are You Looking to HIRE?

By Julie Ann Blazei
President/ CEO Tricom Funding

One of the hallmarks of the recession is the number of unemployed workers throughout the U.S. These numbers have reached new highs, the likes of which many of us have not seen in our lifetime.

As an attempt to encourage businesses to put unemployed people back to work, on March 18, 2010, President Obama signed the federal Hiring Incentive to Restore Employment Act (HIRE Act) into law. The HIRE Act adds two new tax benefits for employers as an incentive to employ laidoff workers. All employers, except certain government employers, may be eligible for these tax benefits.

What is the HIRE Act?

The HIRE Act is a special payroll tax exemption that applies to many newly hired workers during 2010. It creates a limited social security tax “holiday” for the employer’s share of social security tax on wages paid to a new hire who was previously unemployed. Also included is a separate business tax credit of up to $1,000 if the employee remains employed for at least 52 weeks.

How does the “Holiday” tax credit work?

Beyond the Numbers, Volume 3, Issue 1

Brace Yourself: SUTA is on the Rise

As unemployment numbers continued to climb throughout the recession, states saw their unemployment trust funds stretched to the limits. Many states (28 in total) have resorted to borrowing from the federal government to pay for the surging number of claims. Not only will this money have to be paid back with interest, the trust funds themselves will need to be replenished.

Not surprisingly, states are reacting by raising State Unemployment Tax Association (SUTA) rates and base wage thresholds, which may double or even triple your current tax burden.

There are two ways that states can raise unemployment taxes. First is by raising the tax percentage rate. For example, the state of New York is looking to raise their average unemployment tax percentage rate from 3.77% in 2009 to 4.40% in 2010.