MICHIGAN – WEEKLY BENEFIT AMOUNT INCREASES IN 2026
In December 2024, Michigan Governor Gretchen Whitmer signed legislation with sweeping updates to Michigan unemployment law, including changes that will continue to impact Michiganders through 2027. Earlier this year, the law increased the maximum weeks of benefits from 20 to 26 and the maximum weekly benefit amount to $446, with $12.66 per dependent (up to five).
For 2026, the maximum weekly benefit amount will increase again, this time up 19% from the previous year to $530, with $19.33 per dependent (up to five). Increases to both the baseline maximum weekly benefit amount and dependent benefits will continue through 2027 based on this legislation.
WORK OPPORTUNITY TAX CREDIT RENEWAL UPDATE
As Congress has headed into their holiday recess, the Work Opportunity Tax Credit program will officially go into hiatus on January 1, 2026. During hiatus, your WOTC vendor should continue to work with you to screen hired employees and submit documentation to the appropriate state agencies; however, states will hold determinations until the renewal is signed into law. Once the program is reactivated, states will work through the backlog and all eligible credit opportunities will be approved.
If you are a Thomas & Company client, the good news is that during this time, your process won’t change! Thomas & Company will continue screening and working on your behalf behind the scenes, ensuring we are ready to fully realize these important credits as soon as the program becomes active once again.
We are confident that this will be a short pause and the WOTC program will be extended—any even enhanced—with upcoming legislation.
As a reminder, Improve and Enhance the Work Opportunity Tax Credit Act (IEWOTC), which has been introduced in both the House and Senate (HR 6321 and S 3265), would not only extend the program for 5 years but also provide additional enhancements to bring the program into the modern age, including:
- Increasing the current credit percentage from 40% to 50% of qualified wages.
- Expanding the credit for those who work 400 or more hours.
- Eliminating the age cap at which SNAP recipients are eligible for WOTC.
- Expanding eligibility to military spouses.
- Indexing the credit for inflation.
Reach out to Thomas & Company today with questions or if you just want to learn how Thomas & Company can Enable Your Success!
