CMS’s Brian Kelly answers your questions about the Work Opportunity Tax Credit.
Today’s WOTC Wednesday question: Is WOTC Available for Part Time Employees?
CMS Responds: “Question we get is ‘Is WOTC applicable for part-time employees?‘ And the answer is absolutely! It’s all based on the number of hours an employee works. So, as a minimum, the employee works 120 hours, for their fiscal year, that would receive 25% of their gross wages, which if the employee made $1,000, you’d get a partial credit of 25% which would be a $250 tax credit. So it’s all about the hours worked, not necessarily how many per week.”
One thing to be aware of is that it may take a part time employee slightly longer to reach the 120 or 400 hours required in order to use your certification.
| Weekly Hours | Hourly Wage Example | Weekly Wages | Weeks to 120 Hours | Weeks to 400 Hours | Weeks to $6,000 in Wages |
| 10 | $15 | 150 | 12 | 40 | 40 |
| 15 | $15 | 225 | 8 | 26.6 | 26.5 |
| 20 | $15 | 300 | 6 | 20 | 20 |
| 25 | $15 | 375 | 4.8 | 16 | 16 |
| 30 | $15 | 450 | 4 | 13.3 | 13.5 |
| 35 | $15 | 525 | 3.4 | 11.4 | 11.5 |
| 40 | $15 | 600 | 3 | 10 | 10 |
About Our WOTC Screening Services
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