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New York Farms Begin To Apply For Latest Overtime Tax Credit New York Farms Begin To Apply For Latest Overtime Tax Credit

By Katie Fongvongsa

Reporter, Katie Fongvongsa: Farm employers across New York State may benefit from the newest overtime tax credit. Those who are eligible include farmers and those who paid their employees eligible overtime between 56 to 60 hours. New York Farm Bureau Director of Communications, Steve Ammerman, says why any new initiative can help the farming community.
Steve Ammerman: Anytime we can remove barriers and promote growth and provide greater opportunities of market access for our farmers, that’s going to help us all in the end.
Fongvongsa: However Ammerman said some farmers are either limiting their hours or keeping their structure the same. As labor costs are a constant battle, dairy farms like EZ Acres are taking advantage of the overtime tax credit. EZ Acres is applying for the rebate so it can continue working with its 14 full-time employees. Owner Joel Riehlmann says why it’s important to get this credit back for his business.
Joel Riehlmann: In dairy farming, we are price takers. We cannot control the price of milk, only thing we can control are our expenses.
Riehlmann said his employees have enjoyed the overtime and he has not had to reduce any hours. Without the rebate, he says this would alter dairy production in the future.
Joel Riehlmann: We’re a really tight-knit unit right now. It would definitely change our business to basically, if we had to double our employees.
Fongvongsa: Most farmers hope their competition with each other holds up as Governor Hochul rolls out her projected boost for the dairy and agriculture industry. Katie Fongvongsa, NCC News.

HOMER, N.Y. (NCC News) – Governor Kathy Hochul launched her first initiative on improving the dairy and agriculture industry for this year.

The newest overtime tax credit is eligible for farmers and farmers that have given their employees overtime from between January to July 2024. The threshold for that overtime slot is 56-60 hours, and farm employers are able to get that back through a rebate.

“Anytime we can remove barriers and promote growth and provide greater opportunities of market access for our farmers, that’s going to help us all in the end,” said Steve Ammerman, director of communications at the New York Farm Bureau, about why it’s important for the state to continue budgeting well for farmers.

Whether or not farmers are either eligible or choosing to apply is up to them. Many small, family-owned farms around the central New York area are not able to apply as they do not have employees that meet the criteria. Ammerman said he’s seen some farms are even shifting to limiting their work hours now.

New York State was top three in the nation for dairy production, but other states are now stepping in to take the lead. Especially in 2017 milk and other dairy products were the top producing items.

However, some farms are trying to keep their structure the same. EZ Acres, a dairy farm, has consistently had 14 full-time employees. Joel Riehlmann, the owner, intends to apply for the overtime tax credit as his employees have hit that overtime. Riehlmann said it’s important to utilize the reimbursement for his business.

“In dairy farming, we are price takers,” Riehlmann said. “We cannot control the price of milk, only thing we can control are our expenses.”

Riehlmann’s operation have not varied extensively, he has kept the same full-time employees with some supplemental part-time employees. The owner is not looking to reduce hours anytime soon. However, when overtime is reduced to 40 hours, Riehlmann said he might have to make some changes to stay on top of production.

“We’re a really tight-knit unit right now. It would definitely change our business to basically, if we had to double our employees,” Riehlmann said.

Both Ammerman and Riehlmann cited that with Governor Hochul’s new plans, they hope farmers are still able to compete day-to-day.

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