Vision Payroll

According to the US Department of Labor, in the week ending February 20, the advance figure for seasonally adjusted initial claims was 496,000, an increase of 22,000 from the previous week’s revised figure of 474,000. The 4-week moving average was 473,750, an increase of 6,000 from the previous week’s revised average of 467,750.

The advance seasonally adjusted insured unemployment rate was 3.5% for the week ending February 13, unchanged from the prior week’s unrevised rate of 3.5%.

The advance number for seasonally adjusted insured unemployment during the week ending February 13 was 4,617,000, an increase of 6,000 from the preceding week’s revised level of 4,611,000. The 4-week moving average was 4,600,750, an increase of 4,250 from the preceding week’s revised average of 4,596,500.

The fiscal year-to-date average for seasonally adjusted insured unemployment for all programs is 5.209 million.

The filing deadline for 2009 Form 1096 is March 1, 2010 for most returns. The returns due on that day include Forms 1099, Form 1098, Form 3921, Form 3922, and Form W-2G. The deadline for filing Form 5498, Form 5498-ESA, and Form 5498-SA is June 1, 2010. Filers transmitting more than 250 of any type information return must file electronically. Not filing electronically when required and without a waiver could subject the filer to a penalty. Additionally, filers who submit returns that are unable to be scanned may be subject to a penalty of $50 per return. Contact Vision Payroll if you have any questions on the Form 1096 filing deadlines.

The US Department of Labor (DOL) has announced that it has cited Robert Ferrari, Inc. for “child labor and minimum wage violations of the Fair Labor Standards Act (FLSA).”

According to the DOL, the investigation revealed both employment of individuals under the age of twelve and federal minimum wage violations. As a result, Ferrari was penalized $2,282 and $4,888, respectively. Additionally, a $700 penalty was assessed “for transportation and recordkeeping violations of the Migrant and Seasonal Agricultural Protection Act (MSPA).”

Due to the complexity of the laws involved and the penalties that may be assessed for violations thereof, Vision Payroll strongly recommends employers consult with competent labor law attorneys to ensure compliance.

The US Department of Labor (DOL) recently issued Administrator signed Opinion Letter FLSA2009-22. Although Opinion Letters only apply to the exact set of facts and circumstances presented in each case, they are a valuable aid in understanding current interpretations of the Fair Labor Standards Act (FLSA). Because the letter was apparently never mailed after it was signed, the DOL under new Secretary Hilda L. Solis has decided to withdraw the letter for further consideration. Therefore, this letter may not be relied upon as a statement of agency policy. It is possible that a different conclusion may be reached when the Opinion Letter is reissued.

In this Opinion Letter, the DOL confirmed its previously stated position “that where a state law requires a minimum wage less than the federal minimum wage and forbids a tip credit, the employer may nevertheless take a tip credit in the amount of the difference between state and federal law.” The Opinion Letter was specifically concerned with a Minnesota law that “purports to prohibit taking a credit for gratuities ‘towards the payment of the minimum wage set…by federal law.’”

State laws may provide rules that are more beneficial to the employee and must be followed. The DOL may come to a different conclusion when it reissues the Opinion Letter after further consideration. Contact Vision Payroll if you have questions about this Opinion Letter.

The Internal Revenue Service (IRS) has issued a statement stating that tax return processing and issuance of refunds will not be affected by the recent tragedy in Austin, Texas. According to the statement, “the IRS does not process tax returns or issue refunds at the Echelon 1 Building at 9430 Research Blvd. in Austin, Texas.” IRS Commsioner Doug Shulman has also issued a statement concerning the tragedy.

The US Department of Labor (DOL) recently issued Administrator signed Opinion Letter FLSA2009-21. Although Opinion Letters only apply to the exact set of facts and circumstances presented in each case, they are a valuable aid in understanding current interpretations of the Fair Labor Standards Act (FLSA).

In this Opinion Letter, the DOL stated that a company’s nondiscretionary safety bonus complies with the overtime requirements of the FLSA. Employees who meet certain requirements during a specified period receive a set amount for each regular hour worked. Employees who worked overtime during that period will receive one and one-half times the set amount for each overtime hour worked. “The bonus is applied uniformly across all hours worked, and an additional one-half times the bonus rate is paid for all overtime hours” so the plan complies with the FLSA.

State laws may provide rules that are more beneficial to the employee and must be followed. Contact Vision Payroll if you have questions about this Opinion Letter.

This week’s question comes from Joe, a restaurant owner. We have many employees whose native language is Spanish. They are better able to understand forms in Spanish than they are in English. The regular 2010 Form W-4 is available in English, but we can’t find the Spanish version. When will Form W-4 in Spanish be available for 2010? Answer: The 2010 Form W-4, Employee’s Withholding Allowance Certificate was released last December. The Spanish equivalent, Formulario W-4(SP), Certificado de Exención de la Retención del Empleado, is generally not available until March or April. Therefore, expect the 2010 Formulario W-4(SP) to be available sometime in the next two months. Contact Vision Payroll if you have any further questions on Formulario W-4(SP).

According to the US Department of Labor, in the week ending February 13, the advance figure for seasonally adjusted initial claims was 473,000, an increase of 31,000 from the previous week’s revised figure of 442,000. The 4-week moving average was 467,500, a decrease of 1,500 from the previous week’s revised average of 469,000.

The advance seasonally adjusted insured unemployment rate was 3.5% for the week ending February 6, unchanged from the prior week’s unrevised rate of 3.5%.

The advance number for seasonally adjusted insured unemployment during the week ending February 6 was 4,563,000, unchanged from the preceding week’s revised level of 4,563,000. The 4-week moving average was 4,585,750, a decrease of 24,000 from the preceding week’s revised average of 4,609,750.

The fiscal year-to-date average for seasonally adjusted insured unemployment for all programs is 5.240 million.

Business owners should be proactive in confirming work eligibility before hiring a new employee. Compared to dealing with Immigration and Customs Enforcement, internally addressing issues right up front is a lot easier. The Form I-9 is the form used to verify that an employee is eligible to work in the United States. Many employers have questions about the Form I-9. Is it better to prepare the Form I-9 before an employee starts work or after? Which sections should be completed and by whom? Can you request too much documentation? Should the completed I-9 Forms be kept in the personnel files?

You’ll learn the answers to these questions and much more from the Top Ten I-9 Tips in this month’s HRCast, a recording provided by our team of HR Pros and available exclusively on MyHRSupportCenter. These tips include information on preparing, reviewing, and storing I-9 Forms as well as additional valuable information.

Visit MyHRSupportCenter regularly not only for our HRCasts, but also to get late-breaking compliance alerts, best practices to implement, and HR tools to use every day. If you’re not yet signed up or would like a free trial of MyHRSupportCenter, contact Vision Payroll today.

The Massachusetts Division of Unemployment Assistance (DUA) previously extended the due date for quarterly filings using the new QUEST (Quality Unemployment System Transformation) program two weeks. Since February 15, 2010 was Washington’s Birthday, a federal and state holiday, the deadline was further extended until today, February 16, 2010. Employers who file and pay by today’s extended due date will not be assessed interest or penalties. Filings and payments after today’s extended due date will result in interest and penalties assessed starting on the original due date of February 1, 2010, not the extended due date. Contact Vision Payroll if you have any questions on complying with the DUA’s QUEST program.