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What Are Power of Attorney Forms?

By October 25, 2023February 27th, 2024No Comments

Have you ever wondered why your unemployment claims manager gets your mail? Or how we can communicate with unemployment agencies in every state on your behalf? Let’s dig into these questions!

When your partnership begins with 501 and its unemployment claims partner, one of the first steps we take to ensure a smooth transition is to complete limited Power of Attorney (POA) forms. These documents give us the legal authority to receive and respond to specific unemployment correspondence on your behalf. Power of Attorney forms must be completed in each state for every active state unemployment insurance account (SUI). The good news is that our dedicated team of specialists create and track these POAs for your SUI accounts.

What is the Purpose of a Power of Attorney Authorization?

First, the POA allows your unemployment claims manager to become your address of record (AOR). Essentially, we are requesting the state agencies stop sending unemployment documents to you and your locations and start sending requests and information regarding your unemployment accounts, where applicable, directly to your unemployment claims manager.

Second, they allow us to receive and respond on your behalf to unemployment claims, state calls, decisions, hearing notices, and hearing determinations. Wherever possible, your unemployment claims manager will opt in to correspond electronically with the state through the State Information Data Exchange System (SIDES) portal while continuing to receive any of the paper correspondence that hasn’t yet been converted.

However, it is not just the claims administration process from which POAs allow us to take the administrative burden away. Benefit charge notifications are another important part of the claims management process and having a POA allows us to receive those documents directly and audit them for accuracy in a timely manner. We cross-reference any charges made against your company with unemployment activity in our system. If any errors are uncovered, we will file a protest on your behalf requesting removal of those charges.

Ensuring the accuracy of benefit charges is vital for reimbursing employers, as you pay dollar for dollar for benefits that are charged.

A Continual Process

Another important note is that POA management is not just a step at the beginning of our partnership. This is an ongoing process to monitor the state’s accuracy as well as adjust for any changes your company may experience.

Changes in your organizational structure, such as adding new states or accounts, requires action in order for your unemployment claims manager to receive relevant unemployment documents. Working closely with your tax team and/or client services representative often provides us with the information we need to take those actions to manage your POAs.

While it may not be the first topic that pops into your head when you think of the unemployment partnership we have, it certainly is a critical piece of the puzzle.

If you ever have questions or know of upcoming changes that could impact your unemployment POAs, please reach out to your unemployment claims manager and we will be there to enable your success!

Receive a Claim Directly

From time to time, you may receive a claim or other unemployment documentation and wonder why it didn’t go directly to your unemployment claims manager.

States do occasionally make errors or have processes in place that may result in them manually sending a document to you or one of your locations. It is best practice to send us any UI document that you receive so that we can review the document and make sure it is handled in a timely manner.

Uploading the form through the SHIELD portal or sending it via email to your unemployment claims manager will ensure that we can take appropriate action. We will not only handle the document but also alert our team of POA experts that an audit of the POA is needed. In most cases, it is a simple error but sometimes our POA may be inadvertently removed and we can work with the state to quickly reinstate the POA.


About 501(c) Services

501(c) Services has more than 40 years of experience helping nonprofits with unemployment outsourcing, reimbursing, and HR services. Two of our most popular programs are the 501(c) Agencies Trust and 501(c) HR Services. We understand the importance of compliance and accuracy, and we are committed to providing our clients with customized plans that fit their needs.

Contact us today to see if your organization could benefit from our services.

Already working with us and need assistance with an HR or unemployment issue? Contact us here.

The information contained in this article is not a substitute for legal advice or counsel and has been pulled from multiple sources. Some information was provided by our friend, Adam Brickler, Director of Client Training, at Thomas & Company.

(Photo credits: Dasit, Freepik)

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