---
title: New Tax Breaks to Benefit Employers Hiring Unemployed Workers
description: New Tax Breaks to Benefit Employers Hiring Unemployed Workers
---

- [ Helios HR ](https://www.helioshr.com/)
- [ Career Seekers ](https://careers.helioshr.com/)

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**

- Services 
    - [HR Outsourcing](https://www.helioshr.com/hr-outsourcing)
    - [Recruitment Services](https://www.helioshr.com/recruitment-services) 
          - [Recruitment Process Outsourcing](https://www.helioshr.com/recruitment-process-outsourcing-services#rpo)
          - [Direct Hire Retained Search](https://www.helioshr.com/direct-hire)
          - [Talent Acquisition Consulting](https://www.helioshr.com/talent-acquisition-consulting)
    - [HR Consulting](https://www.helioshr.com/hr-consulting) 
          - [Strategic HR](https://www.helioshr.com/strategic-hr)
          - [Diversity, Equity & Inclusion](https://www.helioshr.com/diversity-equity-inclusion-consulting)
          - [Compensation & Total Rewards](https://www.helioshr.com/compensation-consulting)
          - [Compliance & Risk Management](https://www.helioshr.com/compliance-risk-management)
          - [HR Information Systems](https://www.helioshr.com/hris-consulting)
          - [Engagement & Performance](https://www.helioshr.com/engagement-performance)
          - [Training & Development](https://www.helioshr.com/training-and-development-services)
    - [Our Approach](https://www.helioshr.com/hr-consulting-process)
- How We Help 
    - [Attract](https://www.helioshr.com/hr-consulting-services-attract)
    - [Engage](https://www.helioshr.com/hr-consulting-services-engage)
    - [Develop & Retain](https://www.helioshr.com/hr-consulting-services-develop-retain)
    - [Our Approach](https://www.helioshr.com/hr-consulting-process)
    - Who We Help 
          - [Communication and Media](https://www.helioshr.com/who-we-help/communication-and-media)
          - [Construction](https://www.helioshr.com/who-we-help/hr-for-construction)
          - [Financial Institutions](https://www.helioshr.com/who-we-help/hr-for-financial-services)
          - [Education](https://www.helioshr.com/who-we-help/hr-in-education)
          - [Government Contractors](https://www.helioshr.com/who-we-help/govcon-hr)
          - [Healthcare](https://www.helioshr.com/who-we-help/hr-for-healthcare)
          - [Hospitality and Leisure](https://www.helioshr.com/who-we-help/hospitality-and-leisure)
          - [Manufacturing](https://www.helioshr.com/who-we-help/hr-for-manufacturing)
          - [Nonprofits](https://www.helioshr.com/who-we-help/hr-services-for-nonprofits)
          - [Professional Services](https://www.helioshr.com/who-we-help/professional-services)
          - [Real Estate](https://www.helioshr.com/who-we-help/hr-services-for-real-estate)
- [Pricing](https://www.helioshr.com/hr-consulting-cost)
- [Learning Center](https://www.helioshr.com/hr-knowledgebase) 
    - [Blog](https://www.helioshr.com/blog)
    - [HR Knowledge Base](https://www.helioshr.com/hr-knowledgebase) 
          - [Artificial Intelligence](https://www.helioshr.com/artificial-intelligence-in-hr)
          - [Talent Acquisition](https://www.helioshr.com/talent-acquisition)
          - [Compensation & Total Rewards](https://www.helioshr.com/employee-total-rewards)
          - [HR Information Systems](https://www.helioshr.com/hris)
          - [Diversity & Inclusion](https://www.helioshr.com/diversity-equity-inclusion)
          - [Executive Search](https://www.helioshr.com/executive-search-recruiting-the-best)
          - [HR Strategy](https://www.helioshr.com/hr-strategy)
          - [Employee Engagement](https://www.helioshr.com/employee-engagement)
          - [Employee Retention](https://www.helioshr.com/employee-retention)
          - [Training and Development](https://www.helioshr.com/training-and-development)
          - [Performance Management](https://www.helioshr.com/performance-management)
    - [HR Speaking Events](https://www.helioshr.com/hr-training-and-development-events)
- About 
    - [Company](https://www.helioshr.com/about-us)
    - [Our Culture](https://www.helioshr.com/our-culture)
    - [Careers at Helios](https://careers.helioshr.com/open-positions)
    - [Contact Us](https://www.helioshr.com/contact)

[ Let's Talk! ](https://www.helioshr.com/hr-consultation)

[«  View All Posts](https://www.helioshr.com/blog)

![Blog Feature](https://cdn2.hubspot.net/hubfs/298890/blog-files/blog--cards-feature.png)

 By: [Helios](https://www.helioshr.com/blog/author/helios) on April 27th, 2010

** Print/Save as PDF

# New Tax Breaks to Benefit Employers Hiring Unemployed Workers

[Helios HR](https://www.helioshr.com/blog/topic/helios-hr)

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Employers who hire unemployed workers this year (after Feb. 3, 2010 and before Jan. 1, 2011) may qualify for a 6.2-percent payroll tax incentive, in effect exempting them from their share of Social Security taxes on wages paid to these workers after March 18, 2010. This reduced tax withholding will have no effect on the employee’s future Social Security benefits, and employers would still need to withhold the employee’s 6.2-percent share of Social Security taxes, as well as income taxes. The employer and employee’s shares of Medicare taxes would also still apply to these wages.  [Click here](http://www.irs.gov/businesses/small/article/0,,id=220749,00.html) for information regarding "qualified employees".

In addition, for each worker retained for at least a year, businesses may claim an additional general business tax credit, up to $1,000 per worker, when they file their 2011 income tax returns. Note that family members and relatives of the Employer do not qualify. These tax breaks come as a result of the newly enacted **Hiring Incentives to Restore Employment act, or, (HIRE). You can find additional resources realated to the HIRE act by [clicking here.](http://www.irs.gov/businesses/small/article/0,,id=220745,00.html)**

**<http://www.irs.gov/businesses/small/article/0,,id=220745,00.html>You can read more about these new tax benefits for employers [here.](http://www.irs.ustreas.gov/newsroom/article/0,,id=220326,00.html?portlet=7)**

Excerpted from:[ irs.gov](http://www.irs.gov)

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##### Company

6903 Rockledge Drive

Suite 1400

North Bethesda, MD 20817

phone: [703.860.3882](tel:17038603882)

email: [info@helioshr.com](mailto:info@helioshr.com)

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- [Recruiting](https://www.helioshr.com/recruitment-services)
- [Pricing](https://www.helioshr.com/hr-consulting-cost)

##### Careers

- [How it Works](https://careers.helioshr.com/how-it-works)
- [Our Culture](https://www.helioshr.com/our-culture)
- [Open Positions](https://careers.helioshr.com/open-positions)

##### Events

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##### About

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