California Payroll Report articles from June 2006

California Payroll Report archives from June 2006

Compensation comes under scrutiny in 2006.(Internal Revenue Service, employment tax regulation)
June 21, 2006... New compliance initiatives could trigger changes in your payroll procedures or payouts. With an estimated $66 billion in uncollected employment taxes, the IRS is taking a closer look at compensation payments and reporting. Here's the...

Rehiring retirees: a win-win situation.
June 21, 2006... In recent issues, we've discussed the wage-hour implications of having young people on your payroll. But workers at the other end of the age spectrum can prove a valuable resource for your employer. Retirees can be the perfect solution to...

Are electronic communication devices taxable fringe benefits?(payroll taxes)
June 21, 2006... As more companies are providing their employees--particularly executives--with cell phones, pagers, personal digital assistants (PDAs) and other electronic communication devices, the IRS is taking greater notice. Concerned that corporations...

New restrictions on retention perks may accelerate attrition.
June 21, 2006... File this under "Information I hope I never need." No one wants to think about it, but the reality of the business world is that sometimes companies fail. And when an employer is closing up shop, or making a last ditch effort to stay in...

Maryland filers.(withholding tax regulation)(Brief article)
June 21, 2006... Effective July 1, 2006, employers or payers of amounts subject to Maryland personal income tax withholding that will be submitting at least 150 withholding statements must submit them on magnetic media or in another electronic or...

Alabama EFTs.(Payroll News and Views)
June 21, 2006... The threshold for making payments of Alabama taxes by electronic funds transfer (EFT) is about to drop sharply. Effective for payments made after October 1, 2006, the EFT requirement will be triggered at $750. (Currently, payments of $25,000...

Simplification suggested.(Taxpayer Advocate Nina Olson suggests new tax legislation)(Brief article)
June 21, 2006... The National Taxpayer Advocate (currently, Nina Olson) is required by law to identify the most serious problems encountered by taxpayers. Topping the latest list is the trend of expanding enforcement at the expense of taxpayer service....

"Basic" requirement.(Department of Homeland Security regulation over public employers)(Brief article)
June 21, 2006... A new law will require Georgia public employers (and their contractors or subcontractors) to register in the federal Basic Pilot work eligibility verification program. (Under this controversial program--see your April 21, 2006,...

Domestic partner benefits.(Payroll News and Views)
June 21, 2006... The governor of Illinois has extended health benefits to same-sex domestic partners of all state employees serving in agencies under the governor's jurisdiction. Effective July 1, 2006, Governor Rod Blagojevich's Administrative Order provides...

Volunteers wanted.(Payroll News and Views)
June 21, 2006... The IRS has announced that there are six vacancies on the Information Reporting Program Advisory Committee (IRPAC) for a three-year term beginning next January. IRPAC works with the IRS to provide recommendations on a wide range of...

Employees have certain USERRA responsibilities.
June 21, 2006... In previous discussions on the Uniformed Services Employment and Reemployment Rights Act (USERRA), we've focused on the employer's responsibilities. But employees also have certain responsibilities before and after their military leave to...

Employee awards--taxable income or generous rewards?
June 21, 2006... Prizes and awards given by an employer to an employee are generally included in wages and subject to federal income tax withholding, FICA and FUTA. This rule applies to awards made in connection with, and as a result of, an employment...

DOL relaxes restrictions on young lifeguards.(Department of Labor, age restrictions)(Brief article)
June 21, 2006... In a recently released Opinion Letter from its Office of Enforcement Policy [YR2006-1NA], the Department of Labor (DOL) has clarified its enforcement position on the employment of 15-year-olds as lifeguards at swimming pools and water...

Partial-day absences: will required make-up time put exempt status at risk?
June 21, 2006... Well aware that the Fair Labor Standards Act (FLSA) prohibits docking exempt employees' pay for partial-day absences, an employer tried to find a viable way to discourage unnecessary absences and better ensure smoother workflow and...

DOL releases semiannual regulatory agenda.(Public notice)
June 7, 2006... The Department of Labor (DOL) has released its semiannual agenda of regulations selected for review or development during the coming year (April 2006 to April 2007). Like the IRS's Priority Guidance Plan (see your April 7, 2006 issue), this...

$70 billion in tax cuts--and no news for payroll?
June 7, 2006... After many months of partisan arguments and bipartisan compromises, both houses of Congress finally fashioned a compromise (and occasionally controversial) version of the long-promised tax reconciliation bill. On May 17, President Bush signed...

Avoid the five top mistakes payroll managers make.
June 7, 2006... For obvious reasons, perfection is the goal of every payroll manager. You strive for compliance and accuracy with every payroll run, deposit, and filing deadline. But with so much attention paid to the results of Payroll's efforts, it's easy...

Transportation fringes cut the cost of commuting.
June 7, 2006... In your May 21st issue, we discussed options for dealing with rising gas prices for business travelers. But that relief is only available to a portion of your workforce. What about all those employees that don't travel on business, but do...

Can FMLA leave affect future benefits?
June 7, 2006... The Family and Medical Leave Act (FMLA) entitles eligible employees of covered employers to take up to 12 weeks of unpaid, job-protected leave each year for specified family and medical reasons (e.g., birth of new child, employee's serious...

Are you ready for vacation?(employee vacations)
June 7, 2006... Stop daydreaming about sunny days at the shore or theme park thrill rides or exciting trips to exotic locations. We're not talking about your vacation. This is a review to be sure you're ready to deal with vacation pay issues. Let's start...

DC priorities.(Payroll News and Views)(District of Columbia )(wage garnishment laws)(Brief article)
June 7, 2006... The District of Columbia has amended its wage garnishment laws. The new provisions make it clear that garnishment orders for child support have priority over other earning attachment or withholding orders. In addition, child support orders...

Commissions count.(Payroll News and Views)
June 7, 2006... Fidelity National Financial (headquartered in Jacksonville, Fla.) had to pay $778,392 in back wages to employees after the Department of Labor's Wage and Hour Division found the company in violation of the Fair Labor Standards Act (FLSA). The...

Virginia child support.(Payroll News and Views)(Brief article)
June 7, 2006... Virginia has amended the prioritization provisions of its laws regarding child support garnishment/withholding orders to bring them in line with federal guidelines. While child support orders will still take priority over other garnishment...

FMLA state update.(Payroll News and Views)(Family and Medical Leave Act)(Brief article)
June 7, 2006... Washington state has amended its family and medical leave laws, bringing them into alignment with the federal Family and Medical Leave Act (FMLA). Effective June 7, 2006, private employers with 50 or more employees and state and local...

SUTA dumping.(Payroll News and Views)
June 7, 2006... Wisconsin and Nevada have amended their state unemployment compensation laws to include anti-SUTA dumping provisions. The new rules are part of a nationwide initiative to prevent disreputable employers from setting up false business transfers...

Online pay info.(Payroll News and Views)(Brief article)
June 7, 2006... The opportunities to manage one's personal finances online may be growing, but it seems that few companies are offering employees online access to their total compensation information. According to a survey by the financial management...

Double trouble.(Payroll News and Views)
June 7, 2006... Family Dollar Stores, Inc. (based in Charlotte, N.C.) has joined the "multimillion-dollar club" whose members include Microsoft, Coca-Cola, Wal-Mart, and Time-Warner. A federal jury recently found the discount store chain guilty of...

FLSA may not protect externs, et al.(Fair Labor Standards Act)
June 7, 2006... In your last issue, we discussed the pay/no pay conditions for student interns trader the Fair Labor Standards Act (FLSA). Feedback on that article highlighted interest in related situations... in particular, those involving "externs," a...

Attention multistate employers: are you properly registered?
June 7, 2006... In an effort to improve the quality of multistate employers' new hire data provided to state child support enforcement agencies, the Federal Office of Child Support Enforcement (OCSE) has been sending letters to employers that may have...