WOTC Screening Services

Did you know that the WOTC is a use-it or lose-it credit? Around 10% of all employees hired could be eligible for a federal or state tax credit to the employer. FMS’ Tax Screening services make sure you are getting all of the tax credits currently available. Some customers can see up to $18,000 in tax credits for every 100 people hired.

Frequently Asked Questions

There are various on-going Federal and State employment-based Federal and State tax credits and incentives to businesses that hire employees in certain economic classes or areas.

FMS has partnered with HR Screening Services, Inc. to offer a custom program for retailers to secure these credit monies.

The Work Opportunity Tax Credit (WOTC) program offers employers a credit against their tax liability for hiring individuals from ten targeted groups including recipients of Temporary Assistance for Needy Families (TANF), veterans, ex-felons, the long-term unemployed, and others.

FMS provides all the forms and instructions to implement the program. It is very simple for the retailer. As part of your hiring practice, you have the new hire fill out 2 government forms (a total of 3 pages take 2 minutes) and send them in. FMS does the rest.

FMS charges 25% of the tax credit amount secured. During the first year, this fee is not payable until the end of the year when you file your taxes and take the credit. Every year thereafter it is payable bi-annually. There is no cost to signing up. FMS supplies the initial forms and instructions.

Based on past experiences with companies from many different industries, FMS suggests the following formulas when calculating yearly tax credit income:

1) Formula One for industries like retail, restaurants, temporary staffing services, or manufacturing: 10% of all applicants are certified with an average credit of $1800 per applicant. $18,000 in tax credits for every 100 people hired.

2) Formula Two for industries like banking and low turnover industries:

  • 5% of all applicants are certified with an average credit of $1800 per applicant
  • $9,000 in tax credits for every 100 people hired.

Credits per program