Federal Tax Incentives

Work Opportunity Tax Credit (WOTC)

• Provides an incentive to employers to hire and retain employees based on targeted groups, including social assistance recipients, veterans and qualified youth. 
• Qualifying businesses can receive a tax credit of up to $2,400 per eligible employee during the first year of employment.

Welfare to Work (WtW)

• Provides an incentive to employers to hire and retain employees who have received long-term welfare and family assistance for 18 consecutive months, either through Temporary Assistance to Needy Families (TANF) or Aid to Families with Dependent Children (AFDC).
• Qualifying businesses can receive a tax credit of up to $8,500 per eligible employee during the first two years of employment.

Only TCS Offers Multi-Portal Screening Options

ADP currently offers three screening options to identify WOTC/WtW eligible employees: Web-In, Call-In and Mail-In. Simply select the solution that best suits your company’s needs. All three options utilize a proprietary geographic mapping software program that quickly and efficiently identifies eligible employees.
ADP’s intelligent screening tools automatically track over 1,000 credit types in our database. The Web-In and Call-In/Fax-Out methods even print out the correct, pre-populated forms. All you need to do is have the employee sign the form and drop it in the envelope that we provide!