By Blake Jackson
The New York State Department of Agriculture and Markets has announced that the Farm Employer Overtime Credit advance portal is now open, allowing farmers to register and begin preparing required documentation for reimbursement.
Later in 2026, eligible farm employers may apply for a certificate of advance payment covering overtime wages paid to employees between January 1 and July 31, 2026. This initiative aligns with Governor Kathy Hochul’s ongoing efforts to support New York farmers through enhanced tax credits and related programs as tax season begins.
“Farm labor is one of the most critical issues for agriculture and we are working hard to ensure that farmers have the resources they need to support their workforce while meeting their food production goals," State Agriculture Commissioner Richard A. Ball said.
"This program, coupled with the State’s refundable tax credits, are providing real relief to the industry by offsetting increased labor costs and additional pressures stemming from supply chain disruptions, ongoing tariff changes, and cuts to important programs. I encourage our farmers to consider the overtime credit and its potential impact on their operations.”
The Farm Employer Overtime Credit is a refundable tax credit available to eligible farm employers who pay overtime wages after January 1, 2026, as part of the state’s phased reduction of the overtime threshold.
In 2026, the threshold will be 52 hours, decreasing by four hours every two years until it reaches 40 hours in 2032. Employers may qualify if they directly or indirectly, including through a Professional Employer Organization (PEO), paid eligible overtime to qualifying farm employees.
New this year is a one-time “catch up” credit for farms that used a PEO for payroll services and paid eligible overtime between January 1, 2024, and December 31, 2025. Applications for this credit are open through February 1, 2026.
Farm employers are encouraged to prepare by registering for a NY.gov ID, completing the eligibility assessment, consulting tax advisors, and registering through the online portal.
Applications for advance payments will be accepted from August 1 through September 30, 2026, with additional year-end certificate requirements applying for the 2026 tax year.
For more information, visit https://agriculture.ny.gov/farming/farm-employer-overtime-credit-advance
Photo Credit: gettyimages-fertnig
Categories: New York, Government & Policy