‘Governor Moore & Lombardo Unveil 2021-2024 Budget Proposals; Grazzy Raises $6.8MM in Seed Funding’
Governor Wes Moore recently unveiled a $63.1 billion fiscal 2024 budget proposal that does not include a tax increase, and maintains a Rainy Day Fund at 10 percent of General Fund revenue or $2.5 billion and a General Fund balance of $820 million. Likewise, Nevada Governor Joe Lombardo also announced his preliminary FY 2024 budget plan, which includes record investments in education and transportation, such as $2 billion in new funding for K-12 students — a nearly 22% increase over current funding levels.
To help employers manage the financial stress caused by the pandemic, the Employee Retention Credit (ERTC) was created. The ERTC allows employers to deduct a percentage of qualified wages paid to employees as a tax credit against certain employment taxes. In 2020, employers were eligible to receive a credit of $5,000 per eligible employee. Employers can take advantage of a maximum of $7,000 per quarter for each eligible employee in 2021.
In addition, the Employee Retention Credit (ERC) was enacted as part of the Coronavirus Aid, Relief and Economic Security Act, known as the CARES Act. This tax credit is fully refundable and can reach up to $26,000 per employee. Originally, the ERC was equal to 50% of up to $10,000 in wages paid to each employee before January 1, 2021. Congress has extended and broadened the ERC through later COVID-19 bills. As a result of the new legislation, eligible employers can now claim a refundable tax credit against the employer share of Social Security tax equal to 70% of the qualified wages paid to employees after December 31, 2020, through September 30, 2021. For 2021, the maximum amount of qualified wages per employee per calendar quarter is limited to $10,000 for the initial three quarters. The most an employee can receive in ERC funds this year is $7,000 per quarter, adding up to a total of $21,000 in 2021.
Grazzy, a next-gen employee payments platform, recently announced $4.25MM in Seed funding from Next Coast Ventures and Tuesday Capital to fuel the rapid expansion and growth of its digital tipping, same-day pay, and better, more inclusive banking capabilities. Grazzy has raised a total of $6.8 million in Seed funding following the completion of their Seed round.
0. “Kevin Kinnally, Author at Conduit Street” conduitstreet.mdcounties.org, 25 Jan. 2023, https://conduitstreet.mdcounties.org/author/kcklase/
1. “Lombardo calls for gas tax holiday, raises for state employees, and …” www.kpvi.com, 25 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
2. “The Complete 2023 To Getting The Employee Tax Retention Credit” www.merchantmaverick.com, 25 Jan. 2023, https://www.merchantmaverick.com/what-is-the-employee-retention-tax-credit/
3. “Employee Retention Credit allows home care employers to claim $21K” www.mcknightshomecare.com, 25 Jan. 2023, https://www.mcknightshomecare.com/employee-retention-credit-allows-home-care-employers-to-claim-21k/
4. “Grazzy Raises $4.25MM to Power Hospitality's Future of Digital Tips …” seedround.info, 25 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/