Typically, states charge 3% to 6% on the first $7,000 to $10,000 of consultant pay for State and Federal Unemployment Insurance; some states charge more and some less.
Practically all other services charge you the same burden rates throughout the entire engagement. Other services keep the burden savings as their additional profit.
RSS’s independent recruiter clients benefit by receiving the savings when the limits are passed.
100% of the savings go to you when State Unemployment, Federal Unemployment and FICA payrolling limits are reached. Save yourself some serious money... keep thousands more $ per consultant, per year.
An example:
A consultant working an entire calendar year earning $60 per hour:
· Federal and State Unemployment Insurance cost savings (cash in your pocket), would approximate $4,000 to $6,000, depending on state.
· Federal OASDI (Social Security) savings would approximate $2,300