Partner Spotlight:
RightPath has decades of experience as one of the foremost leaders in providing affordable, useable, and valuable benefits custom-designed for high-turnover, hourly-wage workforces. Over this time, we have developed a powerful ecosystem of partners who specialize in key areas related to your benefits program.
As part of our ongoing effort to inform and educate employers of high-turnover, hourly-wage workers we will be sharing valuable insights from valued, trusted partners like MJA & Associates. The RightPath team has known and worked with MJA President, Marcel Abandonato, for years. We love working with he and his team, consider him a trusted friend, and are excited to introduce you to he and his company.
MJA & Associates has over 20 years of experience helping companies save money by identifying and using valuable tax credits. They manage the process for you from beginning to end to make it easier for clients to claim federal and state tax credits. MJA’s personalized, consultative approach to serving each client provides and immediate return on investment with their contingency-based pricing model.
The Work Opportunity Tax Credit (WOTC) is a federal program providing employers with an additional financial incentive for hiring individuals from specific groups that traditionally face challenges finding employment. While not an employee health benefit, WOTC programs are most effective when they are offered alongside benefits at the time of onboarding.
With tax credit amounts ranging from $2,400 to $9,600 per employee (based on their target group, hours worked, and wages) and no cap on the number of eligible employees an employer can claim the tax credit for, the WOTC can provide a meaningful reduction to your company’s tax burden.
Here are MJA & Associates top five reasons you should take advantage of the WOTC:
1. Tax Savings
The Work Opportunity Tax Credit is up to $9,600 per eligible new hire. This dollar-for-dollar credit reduces the federal income tax owed by the employer.
2. Improved Cash Flow
Maximizing Work Opportunity Tax Credit savings reduces a company’s federal tax liabilities and generates greater net cash flow.
3. Employment Opportunities
Veterans, individuals with disabilities, Supplemental Nutrition Assistance Program (SNAP) recipients, long-term unemployed individuals, and other targeted groups benefit from job opportunities that might not be available without the Work Opportunity Tax Credit program.
4. Social Responsibility
The Work Opportunity Tax Credit program incentivizes companies to hire individuals who face substantial employment barriers. This practice helps these individuals secure employment and promotes workplace diversity.
5. Economic Impact
Encouraging employers to hire individuals who otherwise might remain unemployed stimulates the economy. Hiring from the targeted groups helps fill workforce needs and reach economic goals.
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