Login

I am a long-time and satisfied client of Parms + Company. When I first met John Parms and Ted Johnson, they were obviously very bright, aggressive and engaging. I knew then they would be a perfect fit for my accounting needs. Parms + Company have been an integral part of the growth and development of my law practice. They and their staff are always available to respond to their client’s needs. Not only do I utilize their services for my personal and business matters, I call upon them frequently to serve as an expert witness in forensic accounting. Their skill, reputation, and professionalism are assets in which I trust and rely. I highly recommend Parms + Company to anyone in need of skilled accounting services at an affordable price.

- Frederick D. Benton, Jr., Esquire

Home > Resources + Tools > Blog > Workers’ Comp Update for Nonprofits

Workers’ Comp Update for Nonprofits

October 15, 2015

BWC ends mandatory coverage for Volunteer Officers of Nonprofits.

New legislation recently went into effect that will have a positive on Ohio’s nonprofit organizations.

Effective September 29, 2015, the Ohio Bureau of Workers’ Compensation no longer requires nonprofits to have workers’ compensation coverage for their volunteer corporate officers. This means nonprofits will no longer need to pay premiums for these individuals.

Historically, under Ohio law, corporate officers – whether paid or unpaid – had been characterized as employees for workers’ compensation purposes and considered employees. Therefore, nonprofits were required to report minimum payroll to BWC and pay premium payments to cover their volunteer corporate officers.

Under the new legislation, true volunteer officers of nonprofit corporations are no longer treated as employees an no longer subject to mandatory workers’ compensation coverage.

This much-needed law change removes an unnecessary financial burden on Ohio’s nonprofits. This change frees up more money for nonprofit organizations to provide services that help local communities throughout Ohio.

On the other hand, if a nonprofit wants coverage for its volunteer officer, it need only report some amount of pay to the officer; however, this individual will no longer be considered a volunteer. This employee is then subject to minimum and maximum reporting requirements.





Source:
Ohio BWC ENews
Ohio Revised Code Sec. 4123.01(A)(2)(d)

I just want to say that this firm provides an invaluable service to my two business and personally as well. They’re very thorough and detailed about their work…..they go the extra mile for their customers. I know that personally this firm recovered thousands of dollars on my tax returns that my previous CPA firm overlooked to write off as expenses. This put me in a financial bind for my business and my self personally. Parms got me out of all my problems. So for that I give it five stars!!!!!!! - George S. Owner Easy Street Cafe