What are employer tax credits?
How do I know if any of my employees qualify?
Why does the government give tax credits for hiring?
What type of tax incentives can Employer Incentives secure for me?
We will help you secure:
1. Tax credits to reduce your tax liability.
2. Wage subsidies to reimburse you for qualified wages.
3. Training grants to help bring your new employees up to speed.
How can I qualify for work tax credits?
How do job tax credits affect my bottom line?
Job tax credits provide you with a reduction in your federal tax liability and a dollar for dollar increase to your bottom line. If you are making a profit and paying federal and/or state income taxes, you can reduce your quarterly tax deposits by the amount of the credit.
As an example, assume that your taxable income is $100,000. With normal tax rates, you would pay $34,000 in taxes and keep $66,000. If you have $18,000 in work tax credits, you reduce the tax liability of your company from $34,000 to $16,000, retaining $84,000. That is an increase in your profits and cash of $18,000! If you are a public company, this goes directly toward your shareholder value, increasing earnings per share and market value. You can keep this money in the company or fund other hiring or training programs to improve productivity.
What amount of workers tax credit am I likely to get?
On average, 10% of your new hires will qualify for a minimum of $1,500 each in workers tax credits If you have 600 employees and your turnover rate is 30% (including replacements and growth positions) then you will have, on average, 180 new hires each year. Of the 180, 10% of them, or 18 employees, will be eligible for workers tax credits. Each eligible employee will average $1,500 in workers tax credits, so your savings for the first year will be $27,000.00. These workers tax credits continue as you continue to hire new people.
I’m an S-Corp (or partnership or LLC or LLP). Can I get tax credits for hiring?
I’m in all 50 states. What can Employer Incentives do for me?
I’m really busy. How will this affect the running of my business?
What do I do when tax time comes around?
How much will it cost me?
What are my obligations and/or commitments to Employer Incentives?
It sounds too good to be true. Is there a catch?
OK, sounds good. How do I get started?
JE FAQ 1.1 - Developed by J-Extension