How do payroll rebates work?
A payroll rebate is an earned incentive, paid out yearly after a company achieves pre-determined hiring targets.
The rebate is a return on a company’s eligible gross payroll. It is issued over a set number of years - usually between three and five - and to a set amount. This means that for every dollar a company spends in salaries and benefits, NSBI rebates back a percentage.
The payroll rebate agreement includes performance targets that a company must achieve in order to receive the rebate, including:
- Number of new positions created
- Average annual salary
We prefer this arrangement because no rebate money is paid unless and until a company first meets employment and salary targets. This guarantees that we have a positive return on investment (ROI). In other words, Nova Scotia gets paid first.
Who is eligible for a payroll rebate?
Nova Scotia Business Inc. supports companies in knowledge-based industries that have a high probability of sustainable growth. We focus our efforts in three targeted sectors: financial services and insurance, information technology, and defence, security and aerospace. This helps make sure that Nova Scotians aren’t just getting jobs, they’re getting good jobs.
We invest in companies that are profitable, with a strong management team and a proven track record for success. In most cases, companies must also agree to create at least 20 full-time positions in Nova Scotia.