How can I make sure I maximize my tax credits?

  1. Hire as many tax credit eligible employees as possible- Veterans typically qualify for the most credit amount.

  2. Make sure your qualified employees continue to work for you- For example, in the case of a $9,000 two-year credit, your first year credit is calculated at 25% of total wages worked between 120 and 400 hours. If you decide to terminate your employee at 119 hours, you won’t get a credit!
    For the second year, qualifying individuals that work over 400 hours generate a credit of 40% of their wages. This 40% is applied to all wages from when they first started work. Let’s assume that an employee worked 396 hours, and their first year of employment is almost over. If you can schedule this employee to work another 4 hours before the end of the year, you won’t just get a 40% credit for the hours over the 400 total; the 40% will be calculated all the way back to the beginning, including first year wages. This can mean a difference of hundreds of dollars. You should consider these issues in your hiring, scheduling, and termination.
  3. Follow all website prompts and respond to all of our inquiries regarding employees in a timely manner- We have 28 days from the date of hire to process an employee’s information with the appropriate state agency. If we cannot acquire correct identification, for example, this will delay the process and may make it impossible to attain a certification.