Work Opportunity Tax Credit (WOTC)
The Work Opportunity Tax Credit (WOTC) is a federal program designed to encourage businesses to hire individuals who face barriers to employment. This includes veterans, long-term unemployed individuals, people with disabilities, and others who may have difficulty finding work. By hiring from these groups, your business may qualify for a tax credit of up to $2,400 per new hire and in some cases, even more.
How WOTC Works
- Hire an eligible employee from one of the targeted groups.
- Submit IRS Form 8850 to your state workforce agency within 28 days of the new hire’s start date.
- Receive certification and claim the credit on your business taxes.
It’s that simple and it allows you to save money while giving opportunities to people who need them most.
Why It Matters for Small Businesses
- Reduces your overall tax liability
- Expands your talent pool
- Strengthens your company’s role in the community
When used effectively, WOTC is not just a financial incentive, it’s a strategy for growth and impact.
How SecurePayStubs Helps:
While the IRS manages WOTC credits, keeping accurate paystub records is essential for compliance. That’s where SecurePayStubs comes in.
- Generate professional paystubs in minutes
- Keep earnings and deductions clear for each employee
- Organize records for smoother tax filings
- Provide employees with proof of income instantly
With SecurePayStubs, simplify your paystub, stay organized, and complement your WOTC benefits with reliable documentation.