Turn Your HR Into a Profit Center

WORK OPPORTUNITY TAX CREDIT

WOTC can be worth up to $9,600 per eligible new hire

Receive Free WOTC
Eligibility Assessment

ERC ASSESSMENT

The Work Opportunity Tax Credit (WOTC) is a federal incentive program that encourages employers to hire individuals from targeted groups who historically faced employment barriers, worth up to $9,600 per eligible new hire.

$9,600

maximum credit amount

20%

average % of  WOTC eligible new hires

WOTC represents a permanent reduction in income tax, directly reducing a business’s effective tax liability. In order to capture these credits, a business needs to apply within the first 28 days of a new employee’s start date, which makes WOTC credits often a function of a company’s HR department, rather than an accounting department.

Use Against Income Tax

You can match the credit against your income tax liability dollar for dollar.

Growth Through Incentives

Help your business grow as there is no cap on the number of eligible individuals you hire.

Carries Forward for Future Growth

The tax credit carries forward for 20 years and you receive incentives every year you hire eligible individuals.

TARGET GROUPS:

WORK OPPORTUNITY TAX CREDIT

  • Unemployed & disabled veterans
  • TANF (Temporary Assistance for Needy Families)
  • SNAP (Food Stamp) recipients
  • Vocational rehabilitation referral
  • Long-term unemployed
  • Ex-felons
  • Summer youth employee
  • Supplemental security income recipients
  • Designated community residents (living in Empowerment Zones or Rural Renewal Counties)

$1,200

average WOTC credit amount

28 DAYS

to capture & certify WOTC credit

Hire Heroes USA is a nonprofit that provides free career services to service members, veterans and military spouses who are seeking jobs in the civilian workforce.

OnCentive donates 1% of annual profits generated from

clients claiming the Work Opportunity Tax Credit to Hire Heroes USA.

Learn More About Our Partnership

Meet Our Tax Credit & Financial Experts

Shannon Scott

CEO & Cofounder

Chris Smith, CPA

President

Frank Brown, J.D., LL.M.

Chief Incentive Officer & Cofounder

Garrett Gregory, Esq., LL.M.

Special Counsel for Tax Compliance

Joshua Hole, CPA, MT

President of Special Incentives

Roger Boatner, CPA

Partner

Profitability Platform: Advanced Tax Credit Technology

OnCentive team makes capturing these WOTC credits simple and convenient.
We verify every new hire for eligibility. Our team manages collecting the proper documentation and follow up information from your employees.


OnCentive tailors our process to integrate with your current hiring processes and systems.
‍HR departments love OnCentive because of our customized approach to WOTC integration. Our WOTC experts work with your internal team to fit within your current processes.


OnCentive helps you receive the maximum credit available by increasing compliance.
‍OnCentive’s technology integrates directly within the states' WOTC departments. This ensures a higher compliance and faster turnaround time for your credits getting certified.


WOTC Case Studies

Industries Best Aligned For WOTC


If your business regularly hires hourly W-2 employees, OnCentive can help you take advantage of the Work Opportunity Tax Credit. Blue collar industries or industries with high turnover often see the largest benefit:

  • Construction
  • Food Service
  • Manufacturing
  • Trucking
  • Call Center
  • Staffing
  • Hospitality
  • Assisted Living
  • Retail
  • Healthcare

WOTC CASE STUDY:

Staffing Firm

Staffing firm has 1,000 new hires, and 25% of the new hires qualify. With the average credit per eligible new hire of $2,400, WOTC could result in a $600,000 credit to the staffing firm.


$600,000

in WOTC credits

150+

years of experience

$3 Billion

in tax credit claims for clients

100%

success-based fees

WOTC FAQs

  • How do I claim my WOTC credit?

    An eligible employer must file Form 8850, Pre-Screening Notice and Certification Request for the Work Opportunity Tax Credit, with their respective state workforce agency within 28 days after the eligible new hire begins work.

  • For which tax years can the credit be applied?

    Employers may claim the Work Opportunity Tax Credit for a total of two years. Employers who do not take the full credit amount because of the tax liability limitation may carry back one year or forward 20 years.

  • When should the WOTC form be completed?

    By law, this form must be completed “on or before the day” you offer them a job. Many companies conduct this screening on the same day employees fill out their other new-hire paperwork. It cannot be completed later.

  • What is the minimum length of employment to claim credits?

    The WOTC amount an employer claims depends on the number of hours the employee works. All new employees must work a minimum of 120 or 400 hours. The credit is 25% of qualified first-year wages (up to $6,000) for those employed at least 120 hours but fewer than 400 hours, and 40% for those employed 400 hours or more.

  • Can I carry forward tax credits not used?

    Yes, WOTC tax credits rules are the same as general business credits. You can carry forward unused tax credits for up to twenty (20) years & back one (1) year.

  • Is WOTC a permanent tax credit?

    As of now, the Work Opportunity Tax Credit program is in effect till December 31st, 2025.



Talk to a WOTC Expert

If your business regularly hires hourly W-2 employees, OnCentive can help you capture the Work Opportunity Tax Credit.


A 15-minute call can increase your company’s profitability.


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