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UPDATE: On April 26, 2018, the IRS announced a reversal. Refer this blog for the details. Early this March, the IRS announced a reduction of the 2018 contribution limit of health savings accounts (HSAs) linked to a family plan to $6,850, down from the $6,900 which was previously announced. This IRS recalculation occurred due to the Tax […]
Although there currently are no federal requirements for employee paid sick leave, 9 states and Washington D.C. currently require paid sick leave. In 2011, the state of Connecticut was the first to require its employees be paid for sick leave if the company met certain requirements. Washington and Maryland are the most recent states who […]
On February 28, the IRS announced the release of a new Form W-4 as well as an updated Withholding Calculator as part of the Tax Cuts and Jobs Act passed in December, 2017. Although the IRS released the new tax tables mid-January in accordance with the recently passed law, the new Form W-4 has been […]
Wage and Tax Statement (Form W-2) Employers must provide employees with a federal Wage and Tax Statement (Form W-2) by January 31, per Section 13050 of the California Unemployment Insurance Code (CUIC). Failure to provide a Form W-2 to each employee, or provide false or fraudulent statements, are subject to a penalty of fifty dollars ($50) for […]
In light of the new tax bill president Trump signed last month, the IRS has released Notice 1036, which officially announces the updates to the income-tax withholding tables for 2018. These updates are the first of a series of steps the IRS will be taking to align with the new tax laws. The notice advises […]
On Friday, December 22, the IRS released an official announcement that it has extended the 2018 deadline for employers to provide employees their 2017 health coverage information. The original January 31, 2018 due date has been extended to March 2, 2018 to provide Forms 1095-B or 1095-C to their employees. This 30-day extension is automatic […]
Although President Trump has signed the new tax bill this morning, there are no immediate changes that need to be made to employee-related payroll taxes. While the tax bill will take effect January 1, 2018, changes on employee withholdings will take some time to understand and implement. At this time, employers and payroll administrators are […]
As the 2017 California legislative session ended for the year, Governor Brown signed into law new legislations that are to affect California employment laws. Because of this, employers in California need to be aware of these new regulations being put in place. The new employment laws cover multiple areas such as salary history, parental leave […]
Last year, the IRS imposed a reduction of the FUTA credit against several states. The credit reduction will be extended into 2017, but only for California and the Virgin Islands. The Federal Unemployment Tax Act (FUTA) tax is a federal tax on employers in the state’s unemployment insurance program. The tax is imposed on employers […]
The majority of the time, HR professionals and managers who oversee employees inevitably struggle to stay on top of new ways to implement processes and policies to find new talent, keep existing employees happy, improve company culture and moral, or at the very least, keep their company compliant just to get by. All of that […]