It's been almost a year since New York state lowered the threshold for when farm workers qualify for overtime pay. While the early deadline to apply for a related tax credit has passed, some farmers have already seen some benefits.

On a farm, the work is nonstop.

“We have about 1,200 cows, and we crop about 2,500 acres,” said Stuart Ziehm of Tiashoke Farm in southern Washington County. “For us, it’s a way of life.”

That can result in hired help racking up quite a few hours a week.

“Our average team member right now is currently clocking around 60 hours a week,” Ziehm said.

So in January, when New York state began reducing the time in which a farm worker becomes eligible for overtime pay from 60 to 56 hours, owners like Ziehm started feeling the pinch.

“We’ve seen an increase in our payroll, just around $1,900 a week,” he said. “That’s about a 9% increase on the year.”

The threshold will ultimately be reduced to 40 hours in 2032, but to help ease the added burden, the state is offering up a $1,200 tax credit per employee to farm owners.

“Providing this tax credit helps us keep our payroll under control,” Ziehm said.

The early deadline for farmers to apply was Sept. 30. As of Sept. 27, the state’s Department of Agriculture and Markets had received 99 applications.

“We wanted to be aggressive and get right after the opportunity,” Ziehm said. “The cost, labor is the number two cost on the farm.”

Ziehm has already received the credit and applied it back into his operation. Farmers have another opportunity to tap into the credit come tax time.

Given the busy fall harvest season, there will likely be many more applicants, as farmers adjust to the new norm.

“Finding that sweet spot and balance,” Ziehm said. “The team members are very important to us, we need team members to keep the farm rolling and need to make sure they’re paid accordingly.”