The Employee Retention Tax Credit (ERTC/ERC) is still available to employers who are interested in it and eligible to claim the credit, even though the IRS has put in place a temporary moratorium on new claims through the end of the year. However, some business owners who haven’t yet claimed the ERTC may be holding off because they’re not sure what the funds can be used for. 

How to Use the ERTC to Support Employee Mental Health and Well-Being

One area an employer could choose to use any ERTC funds they may claim from the program is in reinvesting it in their employees. Employee Retention Tax Credit money can be used for almost anything, and putting it back into your workforce or the services you offer is a great idea if you’re a business owner determining how best to use the funds. 

For instance, some business owners may choose to use their ERTC refund for things like expanding into new markets or adding new products or services to attract customers. It could be used to research competitor offerings or to offer customer referral program perks. 

One potential area you may want to consider putting ERTC money is in benefits for your employees. Employee Retention Tax Credit money is given to employers who kept their employees on payroll through the height of the COVID-19 pandemic, and a good way to reward those employees for sticking around is to give them something in return.

You could choose to hire new employees or give raises or promotions to current employees with your ERTC funds. Or, you could invest that money into new benefits like mental health and well-being programs. Employers who prioritize the mental health of their staff may end up with happier, healthier employees in the end – not to mention, they ultimately help their workforce feel more fulfilled in their work and more appreciated by their employers. 

Mental wellness initiatives that could be funded with ERTC money include everything from Employee Assistance Programs (EAPs) to counseling services, and even workshops or apps on stress management techniques could be paid for with those funds. These are all examples of how the ERTC could be used to support employee mental health and well-being, and your staff will be better for it in the end. 

How Dayes Law Firm Can Help

If you haven’t yet claimed the Employee Retention Tax Credit for your business, Dayes Law Firm can help you determine whether or not it qualifies and discuss any questions or concerns you may have about the credit. Our experienced tax professionals could even discuss with you exactly what ERTC funds can be used for if you already have some ideas.

Our firm offers a free, no-obligation consultation to discuss the ERTC. A member of our team can walk you through your initial questions and determine the best way to move forward if you’re eligible to claim the ERTC. 

Dayes Law Firm and our partner firms have already helped hundreds of business owners file for the Employee Retention Tax Credit and our clients have already received over $25 million in funds through ERTC refunds. We believe we can prove to you why we’re the right firm to partner with to claim the ERTC for your business, too. 
Please give us a call at (800) 503-2000 to learn more! We look forward to hearing from you and helping you figure out how your business can best utilize ERTC funds. Contact us now to find out more today!