Liz Krueger's Blog

An Important Note For Small Business Owners

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We encourage all businesses in New York to take advantage of the provisions enacted under the federal HIRE Act, passed in April of this year. Businesses that hire the long-term unemployed (defined as those who have not worked in over 60 days) can suspend payment of the employer's share of Social Security taxes on that worker from March 18-December 31, 2010. The more a business pays a worker (up to the maximum Social Security wage of $106,800), and the longer a business has a worker on its payroll, the greater the tax savings - so there is an incentive to hire people sooner, and pay them more. Finally, to promote long term employment, the Act also includes the following bonus: for any eligible employee kept on payroll for a continuous 52 weeks, the employer receives an additional $1,000 credit on its 2011 tax return. For more information on the HIRE Act and to find out how to apply, go to hireact.org.