Archive for the ‘Small Business Tips & Tricks’ Category
New W-2 Reporting Requirement for Health Coverage Cost
Confused about reporting the cost of health insurance coverage for employees? Starting in tax year 2011, the Affordable Care Act requires employers to report the cost of coverage under an employer-sponsored group health plan. Fortunately for many small businesses, employers filing fewer than 250 Forms W-2 are exempt from this requirement.
Form 1099-Misc or 1099K?
Be sure to review payments subject to be reported on Form 1099-Misc. Beginning with the 2011 tax year, the IRS requires you to exclude from Form 1099-MISC any payments you made by credit card, debit card, gift card, or third-party payment network such as PayPal. (These payments are being reported by the card issuers and third-party payment networks on Form 1099-K.)
Employee Rights Notice Posting Required from NLRB
The National Labor Relations Board (NLRB) has issued a final rule requiring nearly all U.S. businesses to post a notice telling employees their union rights. This is a new federal requirement.
Receive an IRS Wage Levy for an Employee?
It is important not to disregard a wage levy from the IRS or you may find your company liable for the employee’s delinquent taxes. Recently, a corporation that failed to obey an IRS wage levy on one of its employees was liable for the employee’s delinquent taxes and for a penalty under Code Sec. 6332(c)(2).
How To Figure Overtime Pay When a Worker Has Two Rates of Pay
Generally, for nonexempt employees, the Fair Labor Standards Act (FLSA) requires overtime pay at a rate of not less than one and one-half times an employee’s regular rate of pay after 40 hours of work in a workweek. This is pretty easy to calculate when a worker receives the same rate of pay for all work, but what do you do when a worker has two rates of pay? Or is paid a portion of pay is hourly per hours worked and a portion of pay is piece work?
