Payroll

ACA play-or-pay regs dole out breaks to all employers

04/07/2014

Under final Affordable Care Act regulations issued in February, for the 2015 plan year only, large employers with at least 100 employees during 2014 must either offer 70% of full-time employees and their nonspouse dependents affordable health insurance that provides minimum value or pay a free-rider penalty. Beginning with the 2016 plan year, offers of coverage must be made to 95% of full-time employees and their nonspouse dependents.

Fast track settlement opens to small employers

04/04/2014

Fast track settlement, which up until now has been available only to businesses with more than $10 million in assets, has made its way down the line to businesses in the IRS’ Small Business/Self-Employed division. That’s good news, considering penalties and interest continue to mount while your case remains open.

Ambiguities cut against employers in vacation pay cases

04/03/2014

Most states allow employers to determine whether they will pay terminating employees for their accrued, unused vacation time. But be warned: Any ambiguity in your company’s vacation pay policy or how that policy is executed will most likely be resolved in employees’ favor.

Supreme Court: Severance is FICA-taxable

04/01/2014

The U.S. Supreme Court on March 25 unanimously ruled that severance pay is subject to withholding of FICA taxes, which employers and employees pay to fund Social Security and Medicare.

Final business: 5 steps to take when an employee dies

04/01/2014

Beyond its obvious emotional impact, an employee’s death almost always leaves unfinished business for HR and payroll. Follow these steps to help smooth the process when you’re notified of an employee’s death …

OCSE sets parameters for standard Income Withholding Orders

03/31/2014

Just how standard must a standard child support Income Withholding Order be? Very standard, according to the Office of Child Support Enforcement, which created it and mandates its use.

April 2014: Employer’s business tax calendar

03/28/2014

NOTE: Saturdays, Sundays and legal holidays as observed in the District of Columbia are taken into account to determine due dates. Under the federal deposit rules, you’re allowed a deposit shortfall of the greater of $100 or 2% of your tax liability.

How do we pay an employee who does ‘extra’ work?

03/27/2014

Q: An exempt employee will be paid to photograph the company’s annual charitable 10K run. HR would like Accounts Payable to handle it through a separate check, so no taxes would come out of the payment. This doesn’t sound right to Payroll. Who’s right?

Can we make partial-day deductions from a PTO bank?

03/21/2014

Q: If an exempt employee works for two hours one day, must we pay her for a full day, or can we require her to use her paid time off? What if she doesn’t come in at all for a day—must she still receive her full salary, or can we dock her pay for the day? We don’t allow employees to borrow PTO from the next year’s allotment.

Payroll NRP audits almost done; analysis to follow

03/20/2014

More than 75% of the intensive line-by-line payroll returns audited under the IRS’ National Research Program have been completed, according to IRS spokesperson Paul Carlino. Interim findings reveal issues with executive compensation and Form 1099-MISC.