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CARES Act Employee Retention Credit

Has your business been impacted by COVID but still supporting your employees? You could be eligible for a refundable retention credit of up to $26,000 per employee.

The CARES Act was signed into law on March 27, 2020, to address the negative economic impact of the COVID-19 pandemic. Within the CARES Act, Congress created the Employee Retention Credit (“ERC”), a fully refundable payroll tax credit, to provide aid to employers impacted by the COVID-19 pandemic.

Time to Act is Now

These incentives will expire!

Receive a complimentary analysis to determine the amount of tax credits your business may be eligible to receive. Simply fill out the form below.

Information entered can be estimated.

    The Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”) was signed into law on March 27, 2020, to address the negative economic impact of the COVID-19 pandemic. Within the CARES Act, Congress created the Employee Retention Credit (“ERC”), a fully refundable payroll tax credit, to provide aid to employers impacted by the COVID-19 pandemic.   

    As originally passed, the ERC was available to eligible employers from March 13, 2020, to December 31, 2020, and was equal to 50% of up to $10,000 in qualified wages paid to an employee during the year—a credit opportunity of up to $5,000 per employee for the 2020 tax year. Subsequent legislation (the Consolidated Appropriations Act, the American Rescue Plan Act, and the Infrastructure Bill) was enacted to address the continued economic impact of the COVID-19 pandemic which included certain enhancements and amendments to the ERC. Among the enhancements were:  

    1. an extension of the ERC through September 30, 2021; and  
    2. an increase of the ERC to 70% of up to $10,000 in qualified wages paid to an employee per quarter—an increase in the credit opportunity to $7,000 per employee per quarter for the 2021 tax year.

    ERC Overview

    Eligibility for the ERC is evaluated on a quarterly basis and is based on each employer’s specific facts and circumstances. An employer is eligible for the ERC if it experienced either:  

    1. a full or partial suspension of business operations due to orders from an appropriate governmental authority limiting commerce, travel, or group meetings (for commercial, social, religious, or other purposes) due to COVID-19; or  
    2. a significant decline in gross receipts (50% decline in gross receipts in 2020 compared to the same quarter in 2019; 20% decline in gross receipts in 2021 compared to the same quarter in 2019).   

    Subject to certain limitations, PPP recipients and certain instrumentalities of the government are generally permitted to claim the ERC if they meet one of the above eligibility tests.  

    Employers who are eligible for the ERC in a given quarter may qualify for 50% of up to $10,000 in qualified wages in 2020 per employee for the year, and 70% of up to $10,000 in qualified wages per employee, per quarter in 2021. The total potential ERC for an employer is $26,000 per employee.  

    The wages that may qualify for the ERC (the “Qualified Wages”) varies depending on an employer’s average full-time headcount in 2019.  A “small” employer’s Qualified Wages during an eligible quarter may include all wages paid and employer paid qualified health plan costs.  Qualified Wages for a “large” employer during an eligible quarter are wages paid not in exchange for a service and an allocable portion of employer paid qualified health plan costs.   

    A “small” employer is defined in 2020 as an average of 100 or less full-time employees in 2019, and an average of 500 or less full-time employees in 2019 for the 2021 credit.  A “large” employer is defined in 2020 as an employer with an average of more than 100 full-time employees during 2019, and an average of more than 500 full-time employees in 2019 for the 2021 credit.   

    Small Employers
    2020 <100
    2021 <500
    Large Employers
    2020 100+
    2021 500+

    The ERC can be monetized by completing an IRS Form 941-X and requesting a refund from the IRS. 

    Synergi is prepared to guide you through this process. Reach out to us now to get started:

    Operational Impact
    Full Or Partially Suspended Operation
    Payroll Tax Credit
    Refundable

    Time to Act is Now

    These incentives will expire!

    Receive a complimentary analysis to determine the amount of tax credits your business may be eligible to receive. Simply fill out the form below.

    Information entered can be estimated.

      Disaster Relief Incentives for

      Higherme

      Did your business lose revenue, products, or experienced inadequate shift coverage because of natural disasters in 2018, 2019, and/or 2020?

      Then you may be eligible to earn up to $2,400 for each employee retained!

      The Disaster ERC was introduced to encourage employers impacted by qualified disasters to retain employees while their businesses returned to normal operations.

      Synergi Partners evaluates tax credit eligibility for organizations conducting business in Federally designated disaster areas. Synergi Partners has developed an “Operational Impact Analysis”.

      USA map with State Disaster Zones

       

      • 2018: American Samoa Tropical Storm Gita (DR-4357)
      • 2018: Indiana Severe Storms and Flooding (DR-4363)
      • 2018: Alabama Severe Storms and Tornadoes (DR-4362)
      • 2018: Hawaii Severe Storms, Flooding, Landslides, and Mudslides (DR-4365)
      • 2018: North Carolina Tornado and Severe Storms (DR-4364)
      • 2018: Hawaii Kilauea Volcanic Eruption and Earthquakes (DR-4366)
      • 2018: Texas Severe Storms and Flooding (DR-4377)
      • 2018: California Wildfires and High Winds (DR-4382)
      • 2018: Wisconsin Severe Storms, Tornadoes, Straight-line Winds, Flooding, and Landslides (DR-4402)
      • 2018: North Carolina Hurricane Florence (DR-4393)
      • 2018: South Carolina Hurricane Florence (DR-4394)
      • 2018: Northern Mariana Islands Typhoon Mangkhut (DR-4396)
      • 2018: Florida Hurricane Michael (DR-4399)
      • 2018: Georgia Hurricane Michael (DR-4400)
      • 2018: Northern Mariana Islands Super Typhoon Yutu (DR-4404)
      • 2018: California Wildfires (DR-4407)
      • 2019: Mississipi Severe Storms, Straight-line Winds, Tornadoes and Flooding (DR-4429)
      • 2019: Alabama Severe Storms, Straight-line Winds, and Tornadoes (DR-4419)
      • 2019: Nebraska Severe Winter Storm, Straight-line Winds, and Flooding (DR-4420)
      • 2019: Iowa Severe Storms and Flooding (DR-4421)
      • 2019: South Dakota Severe Winter Storm, Snowstorm, and Flooding (DR-4440)
      • 2019: Missouri Severe Storms, Tornadoes, And Flooding (DR-4451)
      • 2019: Oklahoma Severe Storms, Straight-line Winds, Tornadoes, And Flooding (DR-4438)
      • 2019: Arkansas Severe Storms And Flooding (DR-4441)
      • 2019: Ohio Severe Storms, Straight-line Winds, Tornadoes, Flooding, Landslides, and Mudslide (DR-4447)
      • 2019: Texas Severe Storms And Flooding (DR-4454)
      • 2019: South Dakota Severe Storms, Tornadoes, And Flooding (DR-4469)
      • 2019: Texas Tropical Storm Imelda (DR-4466)
      • 2020: Puerto Rico Earthquakes (DR-4473-PR)
      • 2020: Oregon Severe Storms, Flooding, Landslides, And Mudslides (DR-4519-OR)
      • 2020: Tennessee Severe Storms, Tornadoes, Straight-line Winds, And Flooding (DR-4476-TN)
      • 2020: Utah Earthquake And Aftershocks (DR-4548-UT)
      • 2020: Mississippi Severe Storms, Tornadoes, Straight-line Winds, And Flooding (DR-4536-MS)
      • 2020: South Carolina Severe Storms, Tornadoes, And Straight-line Winds (DR-4542-SC)
      • 2020: Tennessee Severe Storms, Tornadoes, Straight-line Winds, And Flooding (DR-4541-TN)
      • 2020: Michigan Severe Storms And Flooding (DR-4547-MI)
      • 2020: Puerto Rico Tropical Storm Isaias (DR-4560-PR)
      • 2020: Iowa Severe Storms (DR-4557-IA)
      • 2020: California Wildfires (DR-4558-CA)
      • 2020: Louisiana Hurricane Laura (DR-4559-LA)
      • 2020: California Wildfires (DR-4569-CA)
      • 2020: Oregon Wildfires And Straight-line Winds (DR-4562-OR)
      • 2020: Puerto Rico Severe Storm And Flooding (DR-4571-PR)
      • 2020: Alabama Hurricane Sally (DR-4563-AL)
      • 2020: Florida Hurricane Sally (DR-4564-FL)
      • 2020: Louisiana Hurricane Delta (DR-4570-LA)
      • 2020: Louisiana Hurricane Zeta (DR-4577-LA)
      • 2020: Alabama Hurricane Zeta (DR-4573-AL)
      • 2020: Mississippi Hurricane Zeta (DR-4576-MS)

      How does Synergi determine if my business qualifies for a retention credit? Synergi reviews different areas of the business that affected your operations. These areas include:

      Operational Impact
      Physical Impact
      Productivity Benchmarks
      Financial Impact
      Higherme

      Federal Hiring Incentives

      Work Opportunity Tax Credit (WOTC)

      The Work Opportunity Tax Credit (WOTC) is a federal hiring incentive program that allows your business to receive up to $9,600 in tax credits per each eligible new hire.

      The partnership between HigherMe and Synergi positions you for success, growth and profitability. We recognize your need for great talent and industry leading tax credit consulting and technology. We look forward to having you as part of our family. Please follow the instructions below to get started.

      The Work Opportunity Tax Credit is a federal hiring incentive that provides a tax credit worth up to $9,600 if your company is hiring from any one of the following groups:

      • A member of a family that is a Qualified Food Stamp Recipient
      • A member of a family that is a Qualified Aid to Families with Dependent Children (AFDC) Recipient
      • Qualified Veterans
      • Qualified Ex-Felons, Pardoned, Paroled or Work Release Individuals
      • Vocational Rehabilitation Referrals
      • Qualified Summer Youths
      • Qualified Supplemental Security Income (SSI) Recipients
      • Qualified Individuals living within an Empowerment Zone or Rural Renewal Community
      • Long Term Family Assistance Recipient (TANF) – formerly known as Welfare to Work
      business partners' hands in teamwork gesture

      Tax credits off-set tax liability dollar for dollar. Some companies use credits in their tax planning to off-set quarterly estimated payments. Some companies use credits at the end of their tax year against annual tax liability. In the event of no tax liability, tax credits can be carried forward for up to twenty years. Consult with your tax professional for how to best use these incentives.

      business partners' hands in teamwork gesture

      The life of a tax credit can be a year or more. The process begins with screening your new hires and ends with delivery of a certified and calculated tax credit. We manage this for you.

      Synergi beats the competition when it comes to screening, eligibility, forms compliance, certifications, and reporting

      business partners' hands in teamwork gesture
      graph

      Built right into the platform, we screen eligibility and sign forms as you process hires.

        How To Get Started?

        Register Yourself

        Fill out the form and submit your contact information.

        Contact

        A Synergi Rep will contact you to discuss the next steps.

        Close

        Synergi will notify that you are ready to go. Sit back and start earning credits.

        Why Synergi Partners

        We focus solely on tax credit and disaster relief and capture the maximum credits for our clients.

        Questions? Contact Bryan London (800) 201-4839 or

        Questions?

        Contact Bryan London (800) 201-4839 or

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