Overview
The Work Opportunity Tax Credit (WOTC) is a federal tax incentive that can help reduce your hiring costs.
If you hire candidates from certain eligible groups, your business may qualify for a tax credit.
💡 Helpful note: WOTC is a federal program that is periodically renewed and subject to eligibility requirements.
What is WOTC?
WOTC is designed to encourage employers to hire individuals who may face barriers to employment.
This includes candidates such as:
individuals who have been unemployed long-term (27+ weeks)
certain veterans
and other eligible groups defined by the program
How much can you save?
Employers can receive a tax credit based on a percentage of a qualified employee’s wages.
💡 The average credit is typically around $2,000 per hire, though amounts can vary based on eligibility.
How the credit works
the credit can be applied to reduce future tax liability
or used toward previous tax filings (depending on eligibility and timing)
Important timing requirements
⚠️ WOTC is time-sensitive
You must apply within a specific window after the employee’s start date in order to qualify.
Wizehire and WOTC
💡 Wizehire offers Free Employment Tax Credit Screening to help identify eligible candidates.
available for U.S. customers only
Learn more
Common Questions
Is WOTC still available?
Yes. It is an active federal program, though it is subject to renewal.
How much is the credit worth?
Typically around $2,000 per qualified hire, but it can vary.
Do all hires qualify?
No. Only candidates from specific eligible groups qualify.
Is there a deadline to apply?
Yes. Applications must be submitted within a set timeframe after the hire date.