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  • When is the W-4 deadline for exemptions?

    Form W-4 Deadline for Exemptions Can Affect Your Payroll

    posted by Mike Kappel
    Newest Article
  • Exempt employees are exempt from overtime and minimum wage laws.

    Exempt Employees Must Meet Specific Qualifications

    posted by Michele Bossart
    Recent Article
  • Form W-4 Deadline for Exemptions Can Affect Your Payroll

    Attention small business owners: The W-4 deadline is approaching. If any of your employees claimed an exemption from federal withholding last year, they’ll need to fill out a new Form W-4 by February 16, 2016, to continue the exemption.

    Exempt Employees Must Meet Specific Qualifications

    Some employees are exempt from overtime pay and minimum wage laws. But, how do you know who is exempt?

    The Fair Labor Standards Act (FLSA) sets the rules for which employees are exempt from overtime wages and minimum wage. You should use the FLSA to determine if you have exempt employees.

    Qualifications for exempt employees

    Before you can consider employees as exempt, they must meet qualifications in two categories: salary and job duties. Employees must meet both qualifications to be exempt from overtime pay and minimum wage laws. The below sections explain the two qualifications.

    Avoid These Common Errors on the W-2 Form – Like A Handwritten W-2

    Mistakes on Form W-2 can result in a no-match letter from the Social Security Administration (SSA), other notifications, and fines. Carefully review each Form W-2  before you present the form to your employee and file a W-2 form online. Look out for these common errors.

    Will Impending Overtime Laws Raise Your Payroll Costs?

    Overtime laws might change soon.

    What does this mean for small business owners? In short, your salaried workers who are exempt from overtime pay now might soon become eligible for overtime.

    What Is Local Income Tax?

    Cities, counties, local governments, and school districts in 12 U.S. states impose a local income tax. This is in addition to state tax. You are required to withhold local income tax from employee wages as part of your tax withholding obligations. While most states impose a local income tax as a tax on wages, some levy it as a percentage of the state income tax.

    The 12 states that charge local income tax are:

    How Much Does an Employee Cost? Find Out on This Infographic.

    The greatest expense for small business owners is often payroll. Did you know that when you hire employees, you have to pay more than just their wages?

    Before you add to your staff, it is important for you to understand the true cost of hiring a new employee. An employee costs more than their salary or hourly wage. You also have to pay employer payroll taxes. You might have to pay portions of fringe benefits. And you might provide small extras for your employees, such as free coffee or snacks.

    So, can you accurately answer the question, “How much does an employee cost?”

    What does this infographic include?

    What to Do If an Employee’s Form W-2 Comes Back “Undeliverable”

    You are required to send a W-2 form to employees by January 31 for wages they earned the previous year. But, what happens when you find a W-2 returned undeliverable?

    Below are the steps you can take.

    Simple Guide to Payroll Tax Contribution

    It is already difficult enough to run your payroll program. On top of that, you have to figure out all the payroll tax liabilities.

    At Patriot, we want you to succeed. That’s why we created a free whitepaper that explains payroll taxes.

    What you will find in our free payroll tax whitepaper

    How the New York Women’s Equality Act Affects Your Small Business

    On Jan. 19, 2016, the New York Women’s Equality Act went into effect. The Act, which protects women’s equality, addresses some employment issues. If you are an employer located in New York state, you should examine the law. You might need to revisit your business’s employment policies.

    Below are the parts of the Act that might affect your small business.

    What Is Schedule A (Form 940)?

    States must always have significant funds on hand for the unemployment insurance benefits that they may need to pay out during the course of the year.  If a state does not have the funds, they must take out a loan from the federal government to meet its unemployment obligations.

    If a state has not repaid its loan after two years, then the employers in that state face a higher FUTA (Federal Unemployment Tax Act) rate when they complete Schedule A (Form 940).  The higher FUTA rate is due to the fact that the state is now considered a credit reduction state. The higher rate helps the state reduce its line of credit.

    To calculate your FUTA tax, employers must complete Schedule A (Form 940), Multi-state Employer and Credit Reduction Information, a worksheet listing the applicable tax rates in each state.

    Form W-4 Deadline for Exemptions Can Affect Your Payroll

    Attention small business owners: The W-4 deadline is approaching. If any of your employees claimed an exemption from federal withholding last year, they’ll need to fill out a new Form W-4 by February 16, 2016, to continue the exemption.

    Exempt Employees Must Meet Specific Qualifications

    Some employees are exempt from overtime pay and minimum wage laws. But, how do you know who is exempt?

    The Fair Labor Standards Act (FLSA) sets the rules for which employees are exempt from overtime wages and minimum wage. You should use the FLSA to determine if you have exempt employees.

    Qualifications for exempt employees

    Before you can consider employees as exempt, they must meet qualifications in two categories: salary and job duties. Employees must meet both qualifications to be exempt from overtime pay and minimum wage laws. The below sections explain the two qualifications.

    Avoid These Common Errors on the W-2 Form – Like A Handwritten W-2

    Mistakes on Form W-2 can result in a no-match letter from the Social Security Administration (SSA), other notifications, and fines. Carefully review each Form W-2  before you present the form to your employee and file a W-2 form online. Look out for these common errors.

    Will Impending Overtime Laws Raise Your Payroll Costs?

    Overtime laws might change soon.

    What does this mean for small business owners? In short, your salaried workers who are exempt from overtime pay now might soon become eligible for overtime.

    What Is Local Income Tax?

    Cities, counties, local governments, and school districts in 12 U.S. states impose a local income tax. This is in addition to state tax. You are required to withhold local income tax from employee wages as part of your tax withholding obligations. While most states impose a local income tax as a tax on wages, some levy it as a percentage of the state income tax.

    The 12 states that charge local income tax are:

    How Much Does an Employee Cost? Find Out on This Infographic.

    The greatest expense for small business owners is often payroll. Did you know that when you hire employees, you have to pay more than just their wages?

    Before you add to your staff, it is important for you to understand the true cost of hiring a new employee. An employee costs more than their salary or hourly wage. You also have to pay employer payroll taxes. You might have to pay portions of fringe benefits. And you might provide small extras for your employees, such as free coffee or snacks.

    So, can you accurately answer the question, “How much does an employee cost?”

    What does this infographic include?

    What to Do If an Employee’s Form W-2 Comes Back “Undeliverable”

    You are required to send a W-2 form to employees by January 31 for wages they earned the previous year. But, what happens when you find a W-2 returned undeliverable?

    Below are the steps you can take.

    Simple Guide to Payroll Tax Contribution

    It is already difficult enough to run your payroll program. On top of that, you have to figure out all the payroll tax liabilities.

    At Patriot, we want you to succeed. That’s why we created a free whitepaper that explains payroll taxes.

    What you will find in our free payroll tax whitepaper

    How the New York Women’s Equality Act Affects Your Small Business

    On Jan. 19, 2016, the New York Women’s Equality Act went into effect. The Act, which protects women’s equality, addresses some employment issues. If you are an employer located in New York state, you should examine the law. You might need to revisit your business’s employment policies.

    Below are the parts of the Act that might affect your small business.

    What Is Schedule A (Form 940)?

    States must always have significant funds on hand for the unemployment insurance benefits that they may need to pay out during the course of the year.  If a state does not have the funds, they must take out a loan from the federal government to meet its unemployment obligations.

    If a state has not repaid its loan after two years, then the employers in that state face a higher FUTA (Federal Unemployment Tax Act) rate when they complete Schedule A (Form 940).  The higher FUTA rate is due to the fact that the state is now considered a credit reduction state. The higher rate helps the state reduce its line of credit.

    To calculate your FUTA tax, employers must complete Schedule A (Form 940), Multi-state Employer and Credit Reduction Information, a worksheet listing the applicable tax rates in each state.