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Indiana State Training Grants for Employers

Indiana has two state-funded training grants for employers. The Employer Training Grant (DWD, through local WorkOne areas) reimburses up to $5,000 per trained employee and up to $50,000 per employer. The Skills Enhancement Fund (IEDC) reimburses typically 50% of training costs tied to new capital investment. Both pay the employer after you spend, and both need approval before training starts.

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HOW IT WORKS

Four steps, in this order.

  1. 1

    Pick the fit: ETG for in-demand job skills, SEF for training tied to a capital project

  2. 2

    Apply and get your training plan approved before training starts

  3. 3

    Train, pay the cost, and track hours, wages and retention

  4. 4

    Invoice, then receive reimbursement

2 VERIFIED PROGRAMS

Where the Indiana money comes from.

Run by Indiana Department of Workforce Development (DWD), with your regional WorkOne local workforce area. Every figure is from an official page, linked on each card.

Employer Training Grant (ETG), Next Level Jobs

Up to $5,000 per employee, $50,000 per employer
OPEN, THROUGH LOCAL AREAS
WHAT YOU GET

Reimbursement of training costs for employees you train, hire and keep for six months: up to $5,000 per employee for credential training, up to $50,000 per employer.

HOW MUCH

Up to $5,000 per employee for training that ends in a post-secondary or nationally recognized industry credential; up to $1,000 per employee for specialty company training; up to $50,000 per employer. The amount is based on actual training cost.

WHO RECEIVES THE MONEY

The employer, by electronic payment from the local workforce area after DWD approves the invoice.

WHO QUALIFIES
  • Indiana employer with an Indiana SUTA account, Secretary of State registration and a physical Indiana location
  • Training in one of six sectors: advanced manufacturing, agriculture, building and construction, health and life sciences, IT and business services, transportation and logistics
  • Occupational skills training of at least 40 hours that ties to an in-demand occupation; onboarding and informal job shadowing do not count
  • Trainees kept six months from the start of training; new hires paid a minimum wage and current employees given a raise (see FAQ for conflicting figures)
Before you start: Yes. DWD or the local area must approve your training plan and you must sign a grant agreement before training starts.
HOW TO APPLY
  1. 1Submit the online interest form on the DWD website
  2. 2Send the job description with salary range and your training plan to the local area
  3. 3Sign the training agreement, train, then submit the invoice after the six-month retention date

Deadlines and windows: Agreements run 9 months and training must begin within 3 months of the agreement start. Invoices are due within 14 days of the agreement end date. Funding is not guaranteed (manual covers the 2025 grant cycle; confirm current funding with your region).

SOURCE: IN.GOV

Skills Enhancement Fund (SEF), Workforce Training Grant

Typically 50% of training costs
OPEN, BY CONTRACT WITH IEDC
WHAT YOU GET

A reimbursement of a portion of eligible training costs, typically 50%, over two full calendar years from project start.

HOW MUCH

Typically 50% of eligible training costs. No dollar cap is published on the IEDC pages. At most 50% of the award can go to trainee wages and 30% to travel.

WHO RECEIVES THE MONEY

The employer, as reimbursement of eligible training costs under a grant contract with the Indiana Economic Development Corporation (IEDC).

WHO QUALIFIES
  • Training supports new capital investment in Indiana
  • Training leads to a post-secondary or nationally recognized industry credential, or is specialized company training
  • Existing employees who are trained must also get a wage increase
  • Creates or keeps full-time permanent jobs for Indiana residents at the project location
Before you start: Yes. Only costs between the commencement and expiration dates in the grant agreement count.
HOW TO APPLY
  1. 1Contact IEDC through the Contact Us link on the SEF page
  2. 2Agree a training plan and grant contract before you spend
  3. 3Report each calendar year and submit training expense data with each payment request

Deadlines and windows: Costs count over two full calendar years from the commencement of the project. Annual reporting runs for about seven years. No application deadline is published.

SOURCE: IEDC.IN.GOV
LOCAL BOARDS

Same program, different rules by board.

Your regional WorkOne local area

Local areas review interest forms, approve training plans and pay the employer. Funding is not an entitlement.

SOURCE: IN.GOV
AVOID THESE

What gets Indiana State Grant claims denied.

  • Training that is not occupational skills training of 40 hours or more, such as onboarding or informal job shadowing.
    SOURCE: IN.GOV
  • Starting training before the training plan is approved and the agreement signed, or starting more than 3 months after the agreement start.
    SOURCE: IN.GOV
  • Trainees who leave or do not finish. Invoices may only include trainees who completed training and were kept six months.
    SOURCE: IN.GOV
  • Training costs from before the grant start date or after the end date.
    SOURCE: IEDC.IN.GOV
  • OSHA or other federally mandated training, and new-hire orientation.
    SOURCE: IEDC.IN.GOV
STRAIGHT ANSWERS

Indiana State Grant questions.

Who pays out the ETG money?

DWD sends funds to local workforce boards. Your local area reviews your plan and pays you by electronic transfer after DWD approves the invoice.

SOURCE: IN.GOV
What wage rules apply to ETG trainees?

Two DWD documents dated for the current grant cycle, the 2025 compliance manual and the FY26 fact sheet, say new hires must start at $19 an hour and current employees must get a 5% raise. An older DWD FAQ page still shows $17 and 3%, and the how-it-works page lists no figure for new hires. Plan on $19 and 5%, and confirm with your regional contact before you sign.

SOURCE: IN.GOV
Can I use ETG and WorkOne OJT for the same employee?

No. DWD says you can use both programs in your company, but the ETG reimbursement may not be used for the same employee as OJT or the Skills Enhancement Fund.

SOURCE: IN.GOV
Is the Workforce Ready Grant an employer program?

No. It pays tuition for eligible Hoosiers who enroll with approved providers. It does not pay employers.

SOURCE: IN.GOV

How we checked. Every fact on this page comes from a state agency, a local workforce board or federal regulation, read on . Where a board publishes nothing, we say so instead of guessing. Programs and funding change often; confirm with the program before you commit. Written by Jason Meehl, founder of Reimbursa. Found an error? Email hello@reimbursa.com.

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