Indiana has reported that as of June 18, 2021, the state will no longer be participating in the additional federal unemployment benefit package of $300 per week. The state is anxious for everyone to return to their usual employment routine. Anyone shopping or dining has seen the “Now Hiring” signs in every establishment.

Employers are also anxious for employees to return as many may be faced with closing the business simply because they cannot get people to work. There are also businesses offering sign on bonuses attempting to find employees. There are always stipulations to those bonuses, such as having to work for three to six months or more to actually receive that bonus. That encourages employees to stay with the employer. Training a person for a new job is very costly to the employer and it is their goal to retain employees.

Many businesses have raised their starting wages attempting to entice experienced workers to join them. FedEx and Amazon as just two of those companies. The US Postal Service has a starting wage for carriers of around $19.00 per hour. All jobs are hard work but then can be very rewarding. At the end of the day, there is no better feeling than having done your job well.

When starting a new job, be aware of the tax ramifications if getting a higher wage than you are accustomed to. I recommend zero withholdings to start on the path that may lead you to receiving a tax refund when filing taxes. There is nothing worse than under-withholding and receiving a tax bill after having gotten a great start with a new job.

As always, I am available to aid in those decisions.

Pederson Accounting Services