How Long Is ERC Refund Processing Time: What to Expect

Jennifer Hudson
June 6, 2023

How Long Is ERC Refund Processing Time: What to Expect

The Employee Retention Credit (ERC) has emerged as a significant relief for businesses grappling with the financial impact of the pandemic. As companies undertake the process to claim this credit, a frequent inquiry pertains to the ERC refund processing time. This article explores the various facets affecting the processing time and what businesses can anticipate.

Key Takeaway Table



Average Processing Time

9-12 months (based on general trends)

Factors Affecting Processing Time

Submission timeline, IRS backlog, Filing method

Quick Refund Option

Mention of a "Rapid Rebate" service for faster refunds

A Deep Dive into ERC Refund Processing Time

The timeline for processing ERC refunds exhibits a wide range, making it a concern for businesses awaiting this financial relief. Average processing times have been reported between 9-12 months, shedding light on a lengthy waiting period for many companies. Yet, some outliers suggest a shorter time frame, with refunds being processed in as little as 6-8 weeks to 6 months, particularly in 2023 due to IRS backlogs. Further, once the amended 941X forms are submitted, the IRS provides a window of 18-24 weeks for processing.

Various factors contribute to this variability in processing time. The timing of submission, the method of filing, and the current backlog at the IRS are significant determinants. A notable development in 2023 is the IRS's announcement of a moratorium on new ERC claim processing until at least December 31, 2023, adding to the delays.

By understanding these factors and the prevailing trends, businesses can better manage their expectations and plan accordingly. Additionally, exploring the experiences of companies like New York Savings, which has structured its ERC claiming process, can provide practical insights into navigating this timeline efficiently.

In the next segment, we will dive into the case study of New York Savings to provide a practical perspective on the ERC refund processing, followed by offering some actionable tips to expedite the refund process.

Understanding the Process: A Case Study of New York Savings

Gaining practical insights into the ERC refund process can be invaluable for businesses. New York Savings, a financial service provider, offers a structured approach to obtaining the ERC refund. Their function is delineated into three distinct steps: an Eligibility Call, Document Submission, and finally, Receiving Your Refund. This organized approach not only demystifies the process for applicants but could contribute to a more predictable refund processing time.

Practical Tips for Expedited Refunds

Even with a structured process, the waiting period for ERC refunds can be a point of anxiety for businesses. Here are some practical steps that could help expedite the refund process:

  1. Professional Assistance: Engaging professional assistance to ensure accurate and complete filing can significantly reduce the chances of delays due to errors.
  2. Utilize Available Resources: Resources like the document submission portal offered by New York Savings can streamline the submission process, making it easier and quicker.
  3. Stay Informed on IRS Announcements: Keeping abreast of any IRS announcements regarding ERC claim processing, especially in light of the recent moratorium on new claims, can provide crucial insights into the expected processing time.

Implementing these steps can help navigate the refund process more efficiently and reduce the waiting period for the refund receipt.

This article segment delves into a real-world example of how a structured approach to ERC refund processing can lead to a more predictable processing time. It also provides practical tips to expedite the refund process, aiding businesses in their planning and execution of ERC claims.

In the concluding part of the article, we will summarize the key points discussed, present a final key takeaway table, and provide additional resources for readers to explore further. The aim is to offer a comprehensive understanding of the ERC refund processing time and practical steps to navigate this process efficiently.


The ERC refund processing time is critical for businesses anticipating this financial reprieve. While the processing time can exhibit substantial variability, understanding the influencing factors and employing a structured approach, as seen with New York Savings, can offer clarity and expedite the process.



Receiving Refund

Refunds are issued as cash checks by the IRS, possibly over several quarters based on eligibility

Professional Assistance

Seeking expert advice and utilizing structured processes can potentially expedite refund receipt

Staying Informed

Monitoring IRS announcements and ensuring accurate document submissions to avoid unnecessary delays

Additional Resources

In the evolving landscape of tax credits and refunds, staying informed and seeking professional guidance can significantly impact how swiftly businesses can receive ERC refunds. This article aims to provide a comprehensive understanding of the ERC refund processing time alongside practical tips and resources to navigate this process efficiently. With the right approach and resources, businesses can better manage the ERC refund process, optimizing their financial planning during these challenging times.

The conclusion wraps up the discussion by reiterating the significance of understanding the ERC refund processing time and the benefits of a structured approach toward claiming the ERC refund. It offers a final key takeaway table summarizing the critical aspects discussed in the article. Additional resources are provided for readers seeking further guidance on the ERC process, directing them to helpful information on the New York Savings website.

This article aims to equip readers with a well-rounded understanding of the ERC refund processing time, the factors affecting it, and practical steps to navigate this process efficiently. Through a blend of real-world examples, helpful tips, and relevant resources, businesses are better positioned to navigate the ERC refund process and optimize their financial planning amidst the ongoing economic challenges.