Vision Payroll

According to the US Department of Labor, in the week ending September 27, the advance figure for seasonally adjusted initial claims was 497,000, an increase of 1,000 from the previous week’s revised figure of 496,000. It is estimated that the effects of Hurricane Gustav in Louisiana and the effects of Hurricane Ike in Texas added approximately 45,000 claims to the total. The 4-week moving average was 474,000, an increase of 11,500 from the previous week’s unrevised average of 462,500.

The Commonwealth of Massachusetts recently promulgated a new regulation, 201 CMR 17.00, titled Standards for The Protection of Personal Information of Residents of the Commonwealth.  The purpose of the regulation is to implement “the provisions of M.G.L. c. 93H relative to the standards to be met by persons who own, license, store or maintain personal information about a resident of the Commonwealth of Massachusetts.” Personal information is defined as:

[A] Massachusetts resident’s first name and last name or first initial and last name in combination with any one or more of the following data elements that relate to such resident: (a) Social Security number; (b) driver’s license number or state-issued identification card number; or (c) financial account number, or credit or debit card number, with or without any required security code, access code, personal identification number or password, that would permit access to a resident’s financial account; provided, however, that “Personal information” shall not include information that is lawfully obtained from publicly available information, or from federal, state or local government records lawfully made available to the general public.

Since all employers should normally store “personal information” about each employee, apparently all employers who employ a resident of the Commonwealth of Massachusetts will be required to comply with the regulations. Governor Deval Patrick has also issued a related Executive Order 504 requiring certification of compliance with the order by all state contractors. There are significant procedures that must be implemented and substantial fines for non-compliance. Vision Payroll will be communicating its compliance with the new regulations to all affected clients before 2009. We strongly suggest that you contact your attorney as soon as possible to discuss implementation of the new provisions.

Monday, October 13, 2008 will be Columbus Day, a federal holiday. Although the offices of Vision Payroll will be open and payrolls will be processed, most banks will be closed in observance of the holiday. Payrolls dated October 13 will be paid October 10 unless a previous change in schedule has been submitted. Payroll changes and hours must be submitted before the processing deadline on October 8. For payrolls dated October 14, payroll changes and hours must be submitted before the processing deadline on October 9. For payrolls dated October 15, payroll changes and hours must be submitted before the processing deadline on October 10. Payrolls submitted after these processing deadlines will be pushed back until the next available processing day. No changes are required for payrolls dated October 16 or October 17. Contact Vision Payroll as soon as possible to make changes to or for questions on your processing schedule.

A North Dartmouth, Massachusetts woman was sentenced to 6½ years in federal prison for paying her employees under the table, thereby avoiding approximately $10 million in tax payments and $7 million in workers compensation insurance premiums. Aimee J. King McElroy also received three years probation and was ordered to pay more than $9 million in restitution. McElroy and her husband, Daniel W. McElroy, had been convicted of operating temporary employment agencies that paid their employees in cash in violation of a previous court order. Furthermore, they filed false tax returns and provided false payroll records to the insurances companies to conceal the cash payments.

Five basic points to consider if contemplating a layoff:

1. Federal WARN Act
2. Business Reasons
3. Voluntary Offers
4. Involuntary Layoffs
5. Selection Process

To learn more, sign into MyHRSupportCenter and read this month’s featured article. If you’re not yet signed up or would like a free trial of MyHRSupportCenter, contact Vision Payroll today.

On or before June 30 of each year the Commissioner of the Minnesota Department of Employment and Economic Development must calculate an amount equal to sixty percent of Minnesota’s average annual wage, rounded to the nearest $1,000. This amount is the taxable wage base for the next taxable year. For 2009, the taxable wage base will increase from $25,000 to $26,000. Contact Vision Payroll if you have questions on the Minnesota Taxable Wage Base.

This week’s question comes from Denise, a sole proprietor. I just hired my husband to work for me in my business. I’m a sole proprietor. Can I pay my husband through payroll? Answer: If your husband (or wife) is a bona fide employee of you in your trade or business, you can pay him though payroll. He would be subject to all regular taxes except federal unemployment and, in most cases, state unemployment. He should also be eligible for most benefits that any other employee would receive, including health insurance, if he works enough hours. Spouses employed in non trade or business situations, e.g., domestic care of a child, follow different rules for taxation. Contact Vision Payroll for your state’s rules or further information on employing your spouse.

According to the US Department of Labor, in the week ending September 20, the advance figure for seasonally adjusted initial claims was 493,000, an increase of 32,000 from the previous week’s revised figure of 461,000. It is estimated that the effects of Hurricane Gustav in Louisiana and the effects of Hurricane Ike in Texas added approximately 50,000 claims to the total. The 4-week moving average was 462,500, an increase of 16,000 from the previous week’s revised average of 446,500.

Do you spend too much time gathering and calculating employees’ hours? Are you looking to reduce excess overtime? Do you need a reliable way to assess your labor costs? Vision Payroll offers a complete line of electronic time and attendance solutions for your business. Our products were developed using Microsoft .NET web architecture, ensuring scalability, rapid deployment, and a low total cost of ownership. With a real time interface to our Online Employer you can reduce administrative tasks. For example, employees set up in Online Employer are automatically added to the time clock software. And since the software also automates complex rate calculations, you can reduce the risk of a wage miscalculation. You’ll save money by not overpaying and help protect your company from costly wage and hour suits by underpaid employees. We have solutions to reduce or eliminate buddy punching, from special badges to biometrics. Supervisors and administrators will save time spent on payroll as well, allowing them to focus on more productive tasks. The cost savings should far exceed the minimal investment you’ll need to get started. With physical time clock solutions and web-based offerings too, Vision Payroll has the answers for all companies, large and small.

Brad Avakian, Commissioner of the Oregon Bureau of Labor and Industries announced recently that, effective January 1, 2009, the minimum wage for the state of Oregon will increase to $8.40 per hour. As a result of Measure 25, which passed in 2002, an adjustment to the minimum wage must be calculated no later than September 30 of each year. The adjustment is based on any increase in the US City Average Consumer Price Index for All Urban Consumers for All Items (CPI). The 5.37% increase in the CPI will result in an increase of $0.45 for 2009. Contact Vision Payroll if you have any questions on the Oregon minimum wage increase or visit our Minimum Wage Chart.