BTU #364 - Veteran Tax Credits (Craig Washburn)
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Why Listen
Craig is a serial entrepreneur who’s current company - Veteran Tax Credits - is relevant to all of our listeners. First of all, if you are a Veteran seeking a job, Craig talks about how the government provides tax credits for any employer who hires you. This is a financial benefit to employers that could play a deciding role in your next job offer, so it is worthy of your attention. Second, if you’re an employer, Craig talks about a tax incentive surprisingly few businesses know about. He’ll walk you through what you need to do to take full advantage of this benefit. In addition, we talk about entrepreneurship, partnerships and more. Lastly, one thing I really appreciated in this interview is the sense that when Veterans raise awareness of this sort of tax incentive, not only are they helping themselves, but they’re helping other members of the military community who may benefit from these tax incentives in the future. Many thanks to Craig for the work he is doing to help our military community, and for his sponsorship of this episode to help Beyond the Uniform further our work.
About Craig:
Craig Washburn is the Founder & CEO of VTC Veteran Tax Credits. VTC helps Veterans get pre-certified and find gainful employment through our partnerships. We help companies’ find outstanding Veteran talent and collect valuable tax credits for employing them. Craig started out in the Navy as an Administrative Supervisor, where he served for four years. His civilian career includes work at HealthCare Dimensions, PacifCare Health Systems, as well as Owner of the Pivot Management Group.
Selected Resources:
Transcript & Time Stamps:
2:35
Joining me today from Castle Rock, CO is Craig Washburn. What was your transition out of the Navy like for you?
I came into the Navy right before the start of the Gulf War. I went to college for a semester but I was running out of money. I made the decision at that point to join the military. When I did make that decision, it was a catalyst for me that inspired the way I made decisions for the rest of my life. I went into the Navy and gave it everything I had. I excelled and advanced throughout the Training Squadron that I was in. My XO offered to write a recommendation letter for me to go to college at the Naval Academy. But I made the decision that I was only going to serve four years and then get out and go to college.
After I separated from the Navy, I went back to college for a couple years and was running a health club on the side. I later left that and went into finance a bit before finally finishing my degree. I tell veterans that sometimes getting what you want will take longer than you think it will. And that’s OK - don’t let that frustrate you.
Corporate America is different than what we’re used to in the military. You have to be prepared for that. In one of my first jobs outside the Navy, I had the opportunity to lead a team. A few people on my team went to HR complaining that I was too firm. There was no ill intent on my end but it was just a different culture than what I was used to in the military. Moving up in the corporate world is different too. In the military, it’s laid out for you exactly what you need to do to get to the next rank.
11:55
What led you to starting Pivot Management?
I wanted control over my own destiny without having to go through other people’s decisions. I had gotten to a point in my corporate career where I felt I had gotten as far in that company as I was going to go. I felt that going forward, I would have a greater impact by starting my own company.
Pivot Management helps companies find human resource-related solutions. Companies come to us with different personnel challenges that they’re facing and we help solve those issues for them.
14:40
What gave you the confidence to start your own business?
I had built up a lot of career capital in corporate America. I had been working on creating HR solutions for clients while working for various businesses. I had also built up a network of people that I could go to when I had questions or new ideas.
16:20
What led you to starting Veteran Tax Credits?
I started the company in 2018 but I had been learning about veteran tax credits for many years. I realized that a lot of companies were not taking advantage of the benefit offered to them when hiring veterans. I worked specifically in HR and even in HR there was a complete lack of knowledge about veteran tax credits.
19:25
How much money are companies leaving on the table when they hire veterans?
Around $63B is unclaimed each year. That’s money companies are entitled to but are not claiming when doing their taxes.
21:10
How does the program work?
When a company hires a veterans, the veteran will complete paperwork that gives details of their dates of service. The company also completes paperwork and submits that with the veterans paperwork to the government. The company will then have access to a tax credit.
Veterans can complete the necessary paperwork before even starting the job search process. On the website you can complete and upload all necessary paperwork. If companies know about the program, all they will need to do is complete paperwork on their end in order to take advantage of the tax credit.
Especially in today’s environment, the impacts of COVID-19 have been severe for many companies. To be able to take advantage of a tax credit like this can really make a difference.
28:00
Are there any restrictions with this program?
The program follows veterans for their entire working career. In order to take part in a program, a veteran has to have at least 180 days of service. The only other disqualifier is being dishonorably discharged.
Max level credits are $5600 (no disability rating) or $9600 (10% or more disability rating).
For companies that want to take advantage of this program, I recommend having someone in your organization that it committed to understanding this program. There’s a lot of fine print so you need someone that is very familiar with all aspects of the program.
What my platform and business offers is a centralized location people can go to in order to learn about how they can start taking advantage of this program. There’s also a job posting platform that hiring managers can post jobs and find veterans to fill various positions at their company.
37:45
What organizations do you partner with at Veteran Tax Credits?
I realized early in my career that partnering with other people and organizations can amplify the impact you’re able to make.
I partner with both nonprofit and for-profit organizations to help veterans navigate the job search process and help companies find qualified veterans for jobs at their organization.
40:45
What advice do you have for veterans that want to start their own company?
The best advice I can give is to be prepared mentally and financially. You also need to put your ego aside and be willing to ask for help. When you have an idea of a business you’d like to start, reach out to people that you know that could provide helpful feedback and advice.
Bunker Labs is a great resource for veterans to help you with all aspects of starting your own business.
43:40
What are some success stories that stand out to you during your time with Veteran Tax Credits?
We recently had a veteran that went through our program and had all of his documentation approved before even going through the job search process. Eventually, when he was offered a position, he was able to negotiate a higher salary since his employer was able to take advantage of the tax credit.
A couple years ago, I met a gentleman on the archery range. I found out that he had just sold a business - it was a chain of mechanic shops. Then I told him what I did. He told me that he didn’t realize that companies could get tax credits for hiring veterans. Had he known about the program and taken advantage of the tax credit, he would have saved millions of dollars over the years. That shows you the power of the program if you know about it and take advantage of it.
50:00
Is there anything else you’d like to share?
Whether you’re a veteran or an employer, I encourage you to use this program. It can be extremely advantageous. Why not take advantage of a program like this?