As the year draws to a close, staffing firms have an opportunity to optimize tax credit strategies and prepare for a financially successful 2025. Strategic year-end planning—focused on maximizing tax credits, organizing essential documentation, and setting clear goals—can significantly impact your bottom line.
MJA & Associates specializes in helping staffing firms navigate these complexities, ensuring that every eligible credit is captured. Here’s a guide to what your firm should focus on as you wrap up 2024.
1. Assess Potential Tax Credit Savings
A great starting point for year-end planning is evaluating available tax credits, such as the Work Opportunity Tax Credit (WOTC) and the Empowerment Zone Employment Credit (EZEC). These programs can provide substantial financial relief, especially for staffing firms with qualifying hires. To get an idea of your potential WOTC savings, use our WOTC Calculator as a quick tool to estimate benefits and see how these credits can align with your 2025 financial goals.
2. Organize Documentation to Streamline Tax Credit Filings
Accurate documentation is crucial to claim eligible credits and remain compliant. As you approach the end of the year, prioritize organizing employee records and ensuring that details such as start dates, hours worked, wages, and eligibility for tax credits are up-to-date.
MJA & Associates assists with records retention and document research for employee qualification, ensuring that your firm’s documentation is comprehensive and ready for filing. With our support, your records stay compliant with federal and state tax guidelines, simplifying the filing process.
3. Plan for Strategic Tax Savings in 2025
Setting tax savings goals as part of your 2025 business strategy can make a significant difference to your bottom line. The tax credits earned can allow you to reinvest in areas like employee development, technology upgrades, or expanded services, fueling growth for your firm.
With MJA & Associates managing the credit process, you can be confident that all eligible credits are captured, supporting your firm’s broader strategic goals and maximizing savings to reinvest in the areas that matter most.
4. Utilize Technology for Efficient Tax Credit Processing in 2025
Leveraging technology can simplify tax credit processing and enhance efficiency. We offer regular monthly tracking reports and weekly activity updates to keep you informed on credit status and eligibility. Additionally, our WOTC Calculator provides an easy way to forecast potential savings, helping you make data-driven decisions.
Integrating these tools into your tax credit strategy ensures that your firm remains organized and optimizes savings without additional administrative burden.
5. Ensure Compliance and Prepare for Audit Readiness
Year-end is the ideal time to ensure that your firm’s tax credit documentation is well-organized and compliant with IRS requirements, especially in case of future audits.
Through state agency follow-ups for employer certifications and legislative updates, as regulations change, MJA & Associates make it easier to manage your records and reduce potential risks. With us, your staffing firm can confidently navigate any compliance checks related to tax credits.
Partner with MJA & Associates for Specialized Tax Credit Management
To make the most of your tax credits in 2025, working with a dedicated tax credit partner who understands the staffing industry is essential. We have over 20 years of experience supporting firms like yours, managing everything from eligibility verification to compliance and reporting. Click here to partner with our team today, or give us a call 951-272-8294.
