Employee Retention Credit, Grazzy Platform Help Reduce Employee Turnover and Improve Financial Wellness
The Employee Retention Credit (ERC) is an integral part of the Coronavirus Aid, Relief, and Economic Security (CARES) Act and is designed to offer relief to employers during the pandemic.[0] The credit, available to employers who experienced a partial or full suspension of operations or a significant decline in gross receipts compared to 2019, allows employers to deduct a percentage of qualified wages paid to employees up to $7,000 per quarter per eligible employee.[1]
Governor Wes Moore unveiled a $63.1 billion fiscal 2024 budget proposal that includes a Rainy Day Fund at the target level of 10 percent of General Fund revenue or $2.5 billion and a higher-than-normal budgeted General Fund balance of $820 million for economic uncertainties. Meanwhile, Nevada Governor Joe Lombardo proposed $2 billion in new funding for K-12 education system in his state of the state address in Carson City Monday, which includes investments in dual-language pilot programs, Teach Nevada Scholarships, expansion of Pre-K programs, deferred maintenance on educational facilities, a $2,116 increase in per-pupil funding and an almost tripling of Nevada Opportunity Scholarships.[2]
Grazzy, a cutting-edge employee payments platform, has just gained $4.25MM in Seed funding from Next Coast Ventures and Tuesday Capital. This funding will enable the platform to rapidly expand and improve its digital tipping, same-day pay, and banking capabilities to provide a more inclusive experience.[3] The platform helps hotels, bars, restaurants, salons and more improve employee retention and recruiting by increasing wages, unlocking instant access to same-day earnings, and offering more inclusive financial wellness for hourly employees.[3] The platform helps hourly employees make more money, access it the same day, and save and spend in better ways.[3]
Grazzy's digital payments platform enables digital tipping, instant tip-outs, and inclusive banking solutions that are built to scale with hospitality and services businesses of any size.[3] The platform also unlocks cash constrained same-day tip-outs and offers staff access to today's earnings automatically in 30 mins or less, reducing the risk for businesses who don't want to keep money in a safe to facilitate same-day tip outs to staff.[3]
Overall, the ERC and Grazzy are helping to reduce employee turnover, improve financial wellness for front line workers, and make it easier to access wages and tips for employees in the hospitality industry.
0. “Employee Retention Credit allows home care employers to claim $21K” www.mcknightshomecare.com, 24 Jan. 2023, https://www.mcknightshomecare.com/employee-retention-credit-allows-home-care-employers-to-claim-21k/
1. “The Complete 2023 To Getting The Employee Tax Retention Credit” www.merchantmaverick.com, 24 Jan. 2023, https://www.merchantmaverick.com/what-is-the-employee-retention-tax-credit/
2. “Lombardo calls for gas tax holiday, raises for state employees, and …” www.kpvi.com, 24 Jan. 2023, https://www.kpvi.com/news/national_news/lombardo-calls-for-gas-tax-holiday-raises-for-state-employees-and-lots-of-saving-for/article_a47d3393-ddea-559c-a80f-65298f09d7cc.html
3. “Grazzy Raises $4.25MM to Power Hospitality's Future of Digital Tips …” seedround.info, 24 Jan. 2023, https://seedround.info/grazzy-raises-4-25mm-to-power-hospitalitys-future-of-digital-tips-same-day-pay-and-financial-wellness-for-hourly-workers/