Last week, President Obama signed the Hiring Incentives to Restore Employment (HIRE) Act, a $17.6 billion bill which includes important payroll tax incentives for nonprofits to hire new workers. The tax provision exempts employers from paying a 6.2% share of Social Security payroll tax on each individual hired after February 3, 2010 who was unemployed for at least 60 days and who does not exceed the $106,800 social security wage base. The exemption applies to wages paid after March 18, 2010 and before January 1, 2011. Employers can save up to $6,622 per qualifying worker.
Further details are available from the IRS here.
Posted March 23, 2010