Work Opportunity Tax Credit (WOTC)
Turn your hiring into tax savings. The Work Opportunity Tax Credit rewards employers who hire individuals from target groups facing employment barriers. With credits up to $9,600 per qualified hire, WOTC can significantly reduce your tax liability.
WOTC Target Groups
The WOTC program includes multiple target groups, each with specific qualification criteria and credit amounts. Here are the most common groups that generate credits.
Veterans who have been unemployed for extended periods or have service-connected disabilities.
Individuals who receive food stamps (SNAP benefits) at the time of hire.
Recipients of Temporary Assistance for Needy Families within the past 18 months.
Individuals convicted of a felony and hired within one year of conviction or release.
Individuals receiving Supplemental Security Income for any month in the past 60 days.
Individuals unemployed for 27 consecutive weeks or more and received unemployment benefits.
Individuals aged 18-39 who live in Empowerment Zones or Rural Renewal Counties.
Individuals referred by a state vocational rehabilitation agency or Department of Veterans Affairs.
Industries That Benefit Most
While any employer can benefit from WOTC, certain industries see particularly high qualification rates due to their hiring patterns and workforce demographics.
Restaurants & Food Service
High turnover makes WOTC especially valuable
Retail
Large seasonal hiring creates significant opportunities
Healthcare & Assisted Living
Entry-level positions often qualify
Transportation & Logistics
Drivers and warehouse workers frequently qualify
Manufacturing
Production line workers often meet criteria
Hospitality & Hotels
Front desk, housekeeping, and service roles
How Our WOTC Service Works
We make capturing WOTC credits effortless with our streamlined process and automated screening tools.
Seamless Integration
We integrate our screening process into your existing hiring workflow. New hires complete a brief questionnaire as part of their onboarding.
Automated Screening
Our system automatically identifies employees who may qualify for WOTC based on their responses and flags them for certification.
Timely Filing
We ensure all required forms (IRS Form 8850) are submitted to your State Workforce Agency within the 28-day deadline.
Credit Tracking & Reporting
We track all certifications and provide detailed reports showing your total credits earned and potential tax savings.
Calculate Your Potential Savings
See how much you could save with WOTC based on your hiring volume:
* Based on average credit of $2,400 per qualified hire
Frequently Asked Questions
Get answers to the most common questions about WOTC.
WOTC is a federal tax credit available to employers who hire individuals from certain target groups who face significant barriers to employment. The credit ranges from $2,400 to $9,600 per qualified employee, depending on the target group and hours worked.
Qualification is determined through a screening process that identifies whether the new hire belongs to one of the target groups. This screening must be completed within 28 days of the employee's start date. We provide automated screening tools that make this process seamless.
To claim the WOTC, you must submit IRS Form 8850 to your State Workforce Agency within 28 days of the employee's start date. Missing this deadline means losing the credit for that employee. Our automated system ensures you never miss a deadline.
We offer flexible pricing models including contingency-based fees (a percentage of credits recovered) and flat monthly fees. For most businesses, the ROI is substantial – even one qualified hire can cover the cost of our service for an entire year.
Unfortunately, no. The 28-day filing requirement means you can only claim WOTC for new hires going forward. However, we can help you implement a screening process to capture all future eligible hires.
Start Capturing WOTC Credits Today
Every day you wait is money left on the table. Let us help you implement a WOTC screening process and start turning your hiring into tax savings.