Frequently Asked Questions on how to get State funding for Employee Training:
How is the State able to give us money? Where is the money coming from?
Funding is provided by State of California’s Employment Training Panel (www.etp.ca.gov). Every year, California employers pay $7.00 as Employment Training Tax for each employee, which results in a $80-$100M state-wide annual training budget. California employers have been paying this tax since 1983, the year ETP was formed. ETP uses this budget to fund training for California employers who need to upgrade their workers’ skills. As you can see, your company already paid for this training by paying the annual Employment Training Tax for each employee. It is your own money coming back to you!
Why is the State of California doing this?
The State wants California companies to grow and be competitive. California does not want to lose jobs and businesses to other states. When employees improve their skills, companies operate more efficiently and their profits increase helping the State’s economy.
How many employees can we train using ETP funds?
Since California employers pay the annual Employment Training Tax (ETT) for each employee, you can train all employees meeting ETP eligibility requirements. There is no limit to the number of employees a company may train.
But isn’t it really difficult to get an ETP contract and do all the paperwork involved?
Yes it is. Over the years, we too have heard words like “onerous”, “exacting” and others used to describe the ETP program. Therefore, let us be your guide as we steer you through the entire process and help you to successfully earn the dollars you keenly need to fund your training.
Yeah, but I am busy now. Can I not look at this later?
Sure you can. But while you delay, every month, ETP is disbursing funds to California companies out of its annual budget. If you choose to postpone getting your own ETP contract, you will:
- – continue paying your Employment Training Taxes
- – pay for your competitors to get training funds and
- – not getting anything in return.
So, the real question you have to ask yourself is whether you want to receive training funding in return for the taxes you pay year after year.
What types of training does ETP pay for?
ETP funding can be used for a variety of training subjects like Computer Skills, Lean Manufacturing, Sales Training, Quality improvement, Customer Service training, etc. You can use internal trainers or choose to use external vendors to deliver the training.
How does Texcellent get paid?
Texcellent prepares the application, obtains the funds, and administers your contract in compliance with State regulations. For these services, Texcellent earns a percentage of the total contract value. Best of all, unlike “Business Consultants” you have come across before, we work on a contingency basis. You pay us only if you win the contract. We believe in win-win relationships!
I am ready to get my own ETP contract. What do I do next?
Fantastic! Give us a call at 949-310-0637 or fill out the form at the top to get started today.