The Department of Labor (DOL) has recently released a statement adopting a “primary beneficiary” test to be used when determining whether an intern for a for-profit employer should be classified as an employee under the federal Fair Labor Standards Act (FLSA). Continue reading
The Federal Fair Labor Standards Act (FLSA) requires that employers pay all non-exempt employees at a rate of at least one and one half times their regular rate of pay for each hour worked over 40 hours in a workweek. While this may seem straight forward, there are many misconceptions regarding when overtime is to be paid and to which employees. Below is a list of five of the top myths associated with overtime pay. Continue reading
All employers are required to verify employment eligibility of their new employees by completing Form I-9. Section 2 of the form is to be completed by a representative of the company within three business days of the employee’s first day of work. To complete Section 2, the employer’s representative must physically review original documents which verify employment eligibility (acceptable documents include a passport, permanent resident card, driver’s license, birth certificate and many others as indicated on the instructions of Form I-9). These documents must be originals and cannot be copies, scanned versions, faxes and also cannot be viewed over a video call such as Skype. This creates a potential issue for companies with a remote workforce where employees do not all live and work in the same area. Continue reading
Beginning on January 1, 2018 there are a number of new employment laws going into effect in California that employers should be aware of. Read below for details regarding five of these new laws. Continue reading
By the end of 2017 the IRS plans to send notification to applicable large employers (ALE) of potential liability for failure to comply with the “pay or play” mandate of the Affordable Care Act (ACA). These notifications (Letter 226J) will be sent to ALE employers that the IRS determines had one or more employee, in at least one month in 2015, that received a subsidy toward health care premiums purchased through the marketplace because the employer failed to provide health coverage that is compliant with the ACA requirements (affordable and providing minimum essential coverage). The IRS will make this determination based on information provided by employers on Forms 1094-C and 1095-C (required ACA reporting forms) as well as information provided to the IRS on individuals’ tax returns. Continue reading
Each year there are a number of payroll limits that may change. In preparation for 2018, below is a list of changes that will take effect beginning January 1, 2018 (unless otherwise noted).
- Tax bracket changes (federal) issued by the IRS on October 19, 2017 in Revenue Procedure 2017-58 – click here for more information.
- Social Security limit will increase from $127,200 to $128,400 (NOTE: The Social Security Administration had previously announced a limit of $128,700 but that has been revised to $128,400).
Now that flu season is upon us many employers question whether they can require their employees to have a flu shot. As a simple answer, yes, generally employers can require their employees to have a flu shot unless the employee has a religious objection or cannot receive the vaccine due to a disability. There are a number of factors an employer may want to take into consideration before requiring the flu shot for all employees. Continue reading