Who Else Wants to Help Veterans AND Reduce Taxes?

Businesses need help finding qualified workers. The hiring process is not simple or cheap.

Military Veterans often have a hard time getting hired. I know this from personal experience as a Veteran.

The Work Opportunity Tax Credit (also known as WOTC) can help both parties.

WOTC: What is it?

Over the years, the government has created hiring incentives designed to promote American jobs. Several tax programs were designed specifically to help Veterans. WOTC tax credits represent some of the highest incentives available to employers.

Depending on how long a Veteran is unemployed, their salary and the number of hours worked in the first year, employers can qualify for between $1200 - $9600 per Veteran hired! This is a win-win for both the Veteran and the employer.

Imagine being the hiring manager staring at 20 resumes for one position…

It’s not easy to make a decision based on a resume alone, and do you really have time to interview 20 people? If one of the candidates comes with a $9600 benefit, that candidate suddenly looks worthy of an interview.

What Types of Employees Qualify?

Although many of these programs started out as programs specifically designed for Veterans, they were expanded in the 80's and 90's to include broader groups such as

• ·      TANF Recipients
• ·      Residents living in Empowerment Zones or Rural Renewal Counties
• ·      Employees receiving certain types of vocation training
• ·      Ex-Felons
• ·      Supplemental Security Income Recipients
• ·      Summer Youth Employees
• ·      Seasonal Workers

The Financial Meltdown in the mid 2000's brought about a renewed focus on Job Creation. With this, we saw a massive expansion of Federal Tax Incentives for creating and maintaining jobs. This was done through the Small Business Jobs Act, The American Recovery and Reinvestment Act, Numerous Job Creation and Protection Acts, and most notable the PATH Act signed by President Obama for effective changes in 2016 through 2022.

The pattern in the last decade is that with the passing of each Act, more and more companies are eligible for Employee based Tax Incentives that broaden not only WOTC itself but hundreds of programs that surround it.

What Types of Employers Qualify?

All employers can apply for this credit! There are no limits or restrictions. It is estimated that at least 1 in 4 employees qualify for one of these credits, so you may be missing out on tens or even hundreds of thousands of dollars if you aren’t taking advantage of these tax credits.

How Does an Employer Apply for WOTC credits?

There are 2 ways you can apply.

Option 1 is to follow all the steps required by the IRS making sure you meet the deadlines triggered by the employee’s start date: 

• STEP 1: Complete page 1 of IRS Form 8850 by the day the job offer is made.
• STEP 2: Complete page 2 of IRS Form 8850 after the individual is hired.
• STEP 3: Complete ETA Form 9061 or ETA Form 9062 if the employee has been conditionally certified as belonging to a WOTC target group.
• STEPS 4 & 5: Submit the completed and signed IRS and ETA forms to your state workforce agency within 28 days of the employee’s start date.
• STEP 6: After an employee is deemed WOTC-eligible, the employer claims the tax credit by filing IRS Form 5884 with its annual tax return.

As you can see, there are numerous steps required. Based on my experience, many companies – especially smaller ones – find the process so cumbersome they have decided not to even apply.

But there is a simpler and easier way!

Option 2 is to use our new WOTC Tax Credit Tool, which automates 90% of the process. The tool searches all databases for available tax credits for each hiring candidate and submits the necessary forms automatically to the State Workforce Agency. 

What this means is that companies of all sizes now have the same opportunity as Fortune 500 companies to get the WOTC tax credits they deserve – in the process improving cash flow and reducing the cost of hiring new employees. More importantly, it provides an incentive to hire Veterans and other workers who qualify for the credits. 

CLICK HERE to get the WOTC tool

With Veterans Day just around the corner, and as companies approach the final quarter of the tax year, I want to make sure all companies are aware of this hiring incentive.

How can you help Veterans? Share this link with any business or Veteran you know. It’s a small way of saying “Thanks” to the Veterans!

CLICK HERE to get the WOTC tool

About the Author:

Murray Beaulieu, the founder of Boosted Profits, is a U.S. Army Veteran and cost accountant who spent over 26 years helping Fortune 500 companies find and save millions of dollars. Today he works with CEOs and CFOs of small and medium-sized companies to reduce costs in 10 core areas of business on a pay-for-performance basis. No savings, no charge.

I'd love to share my network with you. Connect with me on LinkedIn: Here

Want to learn more? Want to brainstorm how to help Veterans? Schedule a free no-risk discovery call: https://30MinCall.boostedprofits.com

CLICK HERE to help Veterans and save on taxes.

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