Blog

8 10, 2021

Update on COVID tax credits

October 8th, 2021|2021 Tax Changes, Covid-19|

Federal Tax Credits for COVID Have Ended The Federal program that enabled employers to take a tax credit for paying employees who were absent for COVID-related reasons ended on September 30. There is no more so-called "COVID pay" as we have processed for many of our clients for the last year and a half.  COVID [...]

1 10, 2021

Juneteenth: how newest federal holiday affects you

October 1st, 2021|Uncategorized|

Your company may or may not have celebrated Juneteenth this year, but now that it's a federal holiday, it'll likely impact your payroll process going forward. President Biden signed legislation on June 17, 2021, making Juneteenth (June 19) a legal public holiday to commemorate the end of slavery in the U.S. Here's what that means [...]

24 09, 2021

Misclassifying workers cost employer $358K

September 24th, 2021|compensation, Department of Labor, labor regulations, Fair Labor Standards Act (FLSA)|

Servant's Quest in Oliver Springs TN, a home health care business, paid $358,675 in back wages to 50 workers. They were found in violation of the overtime provisions of the Fair Labor Standards Act (FLSA). Servant's Quest misclassified caregivers as independent contractors and paid them straight-time rates for hours worked over 40 in a workweek.

17 09, 2021

Employee’s case on charitable pay deductions fails: why employer won

September 17th, 2021|deductions, Fair Labor Standards Act (FLSA)|

Lawsuit claimed worker was "pressured" to make donations Charitable deductions straight from paychecks can be a great way for employees to easily donate to valuable causes. But just as with other wage deductions, the rules must be followed when Payroll sets them up. One employer did everything right with its voluntary payroll deductions for an [...]

10 09, 2021

New job responsibilities? Court case is reminder to reassess exempt status

September 10th, 2021|Fair Labor Standards Act (FLSA), Overtime|

Worker claimed employer's violations were "willful" When an employee's job responsibilities shift, perhaps as part of a company reorganization, it's important to ask: Does that person's exemt or nonexempt status in the payroll system need to change? One New York company had to defend itself in a Fair Labor Standards Act (FLSA) lawsuit because a [...]

3 09, 2021

Employer relied on opinion letter and lost big in court: avoid its mistake

September 3rd, 2021|Department of Labor, labor regulations|

Actual language in law matters more than its interpretation Opinion letters from agencies like the Dept. of Labor provide employers with helpful guidance. But beware, they aren't the be-all and end-all for wage and hour law. Relying too heavily on opinion letters can be a big mistake, as one employer learned after a recent lawsuit [...]

28 08, 2021

IRS changes affecting year-end planning

August 28th, 2021|2021 Tax Changes, Covid-19|

Contributions limits, taxable income & more The IRS has recently released some important updates you'll need to know for the fourth quarter of this year. Contribution limits for health savings accounts (HSAs) The IRS has released the maximum contribution limit for HSAs when employees are participating in a high-deductible health plan (HDHP). For employees with [...]

21 08, 2021

Switching payroll cycles? Here’s how to make sure you’re in compliance

August 21st, 2021|compensation, Fair Labor Standards Act (FLSA)|

Recent lawsuit shows employers right way to make the change It's sometimes necessary to change your pay cycle. In this situation, it's key to proceed with caution. Along with any compliance and legal issues that may arise due to state prompt-payment laws, you'll have to address workers' concerns about their checks. One company's pay change [...]

10 08, 2021

How should we proceed when texting employees?

August 10th, 2021|Remote work|

Q: With so much of our workforce being remote due to COVID, we're thinking of switching to text messaging to remind people about Payroll deadlines and let them know about other important info and changes. What considerations should we keep in mind when texting employees for work purposes? A: Text messaging can be a great [...]

22 07, 2021

“Wait staff” redefined for restaurants in Massachusetts

July 22nd, 2021|Uncategorized|

In Massachusetts, there's now a new definition of what's considered a "wait staff employee" in the restaurant industry, thanks to HB 5250. A wait staff employee is a waiter/waitress, bus person or someone working in a quick-service restaurant who prepares or serves food or beverages as part of a team of counter staff. The definition [...]