Imagine this scenario: You're a hardworking business owner, dedicated to keeping your company afloat during these challenging times. You've heard whispers about the Employee Retention Tax Credit (ERTC), but it all seems too complicated, too distant, and maybe even too good to be true. You might be thinking, "That's for big corporations, not my small business." Well, hold on a moment! In this article, we're going to break down the ERTC in plain and simple terms, so you not only understand it but realize that you can claim it too. It's like finding a hidden treasure chest of cash for your business.

What is the ERTC, Anyway?

Let's start with the basics. The Employee Retention Tax Credit (ERTC) is like a financial lifeline for your business during tough times, especially in the shadow of the COVID-19 pandemic. It's a tax credit designed by the government to help businesses just like yours keep employees on payroll. In essence, it's the government's way of saying, "Hey, we've got your back!"

But I'm Just a Small Business Owner…

You might think, "I'm just a local business owner with a handful of employees. This isn't for me." Well, think again! The ERTC isn't for big corporations. It's for businesses of small to medium sizes, including yours.

Here's How It Works

Imagine you own a cozy neighborhood cafe. You've had to reduce hours or even close temporarily due to government mandate or a drop in customers. That's where the ERTC comes in.

Government Mandate: If your business faced restrictions due to government orders (think stay-at-home mandates or capacity limits), you qualify. Don't think you need to be a multinational corporation (they aren't included in this relief) but your local cafe counts too.

Decline in Sales: Even if you weren't directly ordered to close, if your sales dropped substantially in 2020 or 2021 (or both) compared to the same time 2019, you're eligible. So, whether you're running a tiny bookstore or a local pet grooming service, this could apply to you.

Let's Put It in Numbers

Imagine your cafe's sales dropped substantially in 2020 or 2021 compared to 2019. You kept paying your staff because you're committed to your employees and your community. Now, with the ERTC, you can claim a tax credit to offset the wages you paid those employees during that tough period.

The Bottom Line

Here's the kicker: The ERTC is real money in your pocket. It's not a loan you have to pay back. It's not a grant with strings attached. It's a tax credit. So, if you owed $100,000 in payroll taxes but qualify for a $150,000 ERTC, you'll get a $50,000 refund check from the IRS. If you have already paid your payroll taxes then the full $150,000 is paid back to you via a nice treasury check from the government.

Note: The average tax credit is $145,000, but many businesses are able to recover more than this depending upon how many employees they retained in 2020 & 2021 (Some rebates have been in the Multiple Millions!)

How to Get Started

Now that you know the ERTC isn't really for big businesses and can be a lifeline for your small venture, it's time to take action. Reach out to a tax professional or use one of the many online tools available to help you claim what's rightfully yours.

Don't leave this hidden cash on the table. Your small business deserves every opportunity to thrive, and the Employee Retention Tax Credit is one of those opportunities. So, whether you run a bakery, a hair salon, or a corner store, start exploring how the ERTC can benefit you. It's your money, waiting to be claimed.

Now, let's get started by exploring The Basics Of The ERTC 

      Ready for ERTC Savings? Discover Your Business's Potential Here! 👈