Vision Payroll

According to the US Department of Labor, in the week ending August 27, the advance figure for seasonally adjusted initial claims was 409,000, a decrease of 12,000 from the previous week’s revised figure of 421,000. The 4-week moving average was 410,250, an increase of 1,750 from the previous week’s revised average of 408,500.

Advance Seasonally Adjusted Insured Unemployment Rate Remains Unchanged

The advance seasonally adjusted insured unemployment rate was 3.0% for the week ending August 20, unchanged from the prior week’s revised rate of 3.0%.

Advance Seasonally Adjusted Insured Unemployment Decreases

The advance number for seasonally adjusted insured unemployment during the week ending August 20 was 3,735,000, a decrease of 18,000 from the preceding week’s revised level of 3,753,000. The 4-week moving average was 3,726,000, a decrease of 3,250 from the preceding week’s revised average of 3,729,250.

According to the US Department of Labor, some individuals will still be eligible to receive the COBRA premium reduction (subsidy) beyond August 31, 2011. It had been reported that the subsidy ended today.

ARRA Provided a COBRA Premium Reduction

The American Recovery and Reinvestment Act (ARRA) provided a COBRA premium reduction for eligible individuals who were involuntarily terminated from employment through the end of May 2010. Due to the statutory sunset, the COBRA premium reduction under ARRA is not available for individuals who experience involuntary terminations after May 31, 2010. Since August 31, 2011 is fifteen months after May 31, 2010, it had been incorrectly reported that the subsidy was ending

Severance Agreement Among Reasons for Extended Subsidy

However, individuals who qualified on or before May 31, 2010 may continue to pay reduced premiums for up to 15 months, as long as they are not eligible for another group health plan or Medicare even if their COBRA coverage did not start until a later date due to the terms of a severance arrangement, or the use of banked hours or other similar provision that delayed the start of their COBRA coverage. For example if an individual was involuntarily terminated on May 31, 2010 and due to the terms of a severance agreement their COBRA coverage did not start until December 1, 2010, they would still be eligible for the full 15 months of subsidy through February 29, 2012 as long as they are not eligible for another group health plan or Medicare.

Contact Vision Payroll Today

Contact Vision Payroll if you have further questions on the COBRA subsidy.

The New England unemployment rate was essentially unchanged at 7.9% in July, the US Bureau of Labor Statistics reported today. Regional Commissioner Denis M. McSweeney noted that the over-the-year change in New England’s unemployment rate was not statistically significant. The national jobless rate was little changed at 9.1%, but was 0.4 percentage point lower than a year earlier.

Pacific Division Reported Highest Rate

New England is one of nine geographic divisions nationwide. Among the nine divisions, the Pacific continued to report the highest unemployment rate, 11.2% in July. The West North Central again registered the lowest rate, 6.8%. Over the month, two divisions experienced statistically significant unemployment rate changes: the East North Central (+0.3 percentage point) and Pacific (+0.2 point). Over the year, the East North Central recorded the only significant rate change among divisions (-1.0 percentage point).

Five New England States Have Significantly Lower Rates than Rest of Nation

In July, five of the six New England states posted jobless rates that were significantly different from that of the United States. New Hampshire (5.2%), Vermont (5.7%), Massachusetts (7.6%), and Maine (7.7%) recorded lower-than-average unemployment rates and were among 25 states in the country to do so. In fact, New Hampshire reported the fourth-lowest jobless rate nationwide. In contrast, Rhode Island (10.8%) had the highest jobless rate among the New England states and the fifth-highest jobless rate in the nation. Rhode Island was among eight states and the District of Columbia that had unemployment rates significantly higher than the national average. Connecticut was among the 17 remaining states in recording unemployment rates not appreciably different from that for the nation.

New Hampshire Has Significant Rate Increase in July

In July, New Hampshire was the only New England state and one of 10 states nationwide to report a statistically significant unemployment rate change from June (+0.3 percentage point). The District of Columbia also experienced a significant over-the-month rate increase (+0.4 percentage point). The remaining five New England states were among the 40 states that registered jobless rates that were not measurably different from those of a month earlier, though some had changes that were at least as large numerically as the significant changes.

Most States Have Minimal Change over the Last Year

Over the year, 11 states recorded statistically significant unemployment rate changes, all decreases. The six New England states were among the 39 states and the District of Columbia that registered jobless rates not appreciably different from those of a year earlier.

With continuing power outages and extended recovery efforts likely to take longer than originally anticipated, Connecticut Department of Revenue Services (DRS) Commissioner Kevin Sullivan announced that taxpayers now have until September 13, 2011 to file and pay taxes due following Tropical Storm Irene.

Mailing Deadline Extended To September 13, 2011

State tax filing and payment due from August 31, 2011 through September 13, 2011 must now be mailed and postmarked by midnight on September 13, 2011. Payments by electronic funds transfer must be initiated no later than 4:30 p.m. on September 12 to be considered timely.

Many Tax Types Are Affected

Affected taxes include:

• Sales and use tax,
• Business use tax,
• Room occupancy tax,
• Admission and dues tax,
• Alcoholic beverage tax,
• Tourism surcharge,
• Weekly income tax withholding,
• Corporation business tax, and
• Gift and estate

Contact Taxpayer Services if a Notice Is Received

If taxpayers impacted by Irene receive a late filing notice from DRS for an August 31 through September 13 filing deadline, they should call the department’s Taxpayer Services line at (860) 297-5962 to explain the situation.

Contact Vision Payroll for Assistance

Connecticut clients should contact Vision Payroll for further information on the extension.

According to statistics released by the US Bureau of Labor Statistics (BLS), in July 2011, the percentage of people with disabilities in the labor force was 21.2, down from 21.3 in June. By comparison, the percentage of persons with no disability in the labor force was 70.2, unchanged from June.

Unemployment Rate at 16.8%

The unemployment rate for those with disabilities was 16.8%, compared with 9.0% for persons with no disability, not seasonally adjusted. These rates are down slightly from the June rates of 16.9% and 9.0%, respectively.

Table A-6 Provides Further Details on Employment Levels by Disability Status

Table A-6 shows further details on employment status of the civilian population by sex, age, and disability status, not seasonally adjusted.

Definition of a Person with a Disability

In compiling the data, the BLS defines a person with a disability as a person having at least one of the following conditions: is deaf or has serious difficulty hearing; is blind or has serious difficulty seeing even when wearing glasses; has serious difficulty concentrating, remembering, or making decisions because of a physical, mental, or emotional condition; has serious difficulty walking or climbing stairs; has difficulty dressing or bathing; or has difficulty doing errands alone such as visiting a doctor’s office or shopping because of a physical, mental, or emotional condition.

Visit VisionPayroll.com Monthly for Updated Disability Employment Statistics

Each month, Vision Payroll will provide updates disability employment statistics as they become available.

Due to the damage caused by flooding in South Dakota beginning on March 11, 2011, President Barack Obama declared the following counties a federal disaster area: Charles Mix, Hughes, Stanley and Union. Individuals who reside or have a business in these counties may qualify for tax relief.

Declaration Leads to Extension of Payroll Tax and Other Deadlines

Therefore, the Internal Revenue Service (IRS) announced recently that it will waive failure to deposit penalties for employment and excise taxes due after March 10, 2011 and before March 29, 2011 as long as the deposits were made by March 28, 2011. In addition, affected taxpayers had until June 30, 2011 to file most tax returns.

Vision Payroll is Here to Help Affected Taxpayers with Payroll Tax Issues

Contact Vision Payroll if you were affected by the flooding and need further information on the relief provided by the IRS.

This week’s question comes from Beth, a company owner. I read about HR On-Demand previously and would like more information. Can you tell me more about HR-On Demand? Answer: HR On-Demand is one of three great HR solutions that Vision Payroll offers its customers. The other two are MyHRSupportCenter and HR Compliance Services.

Get Unlimited Consultations with HR Professionals

With HR On-Demand, you get unlimited consultations with HR Professionals over the phone or internet or by e-mail. You get answers to your employment law compliance and employee relationship questions, customization of employee handbooks, job descriptions, forms, letters, and more!

With HR On-Demand, Get Help When You Need It

With the HR On-Demand Program, you reach out for help any time your company needs it. Our experienced HR professionals then work with you to address your business specific questions and needs, including:

• Ask the Pro: Address your situational questions about workplace compliance and employee issues, and receive a response within one business day.
• Document Customization: Our HR Pros will create and/or customize your HR documents, and review for potential compliance concerns.
• Employee Handbook Development: Schedule a consultation with an HR Pro to develop a custom Employee Handbook and a plan for implementation.

Get Started with HR On-Demand Today

If you would like to upgrade to or get started on HR On-Demand, contact Vision Payroll today.

According to the US Department of Labor, in the week ending August 20, the advance figure for seasonally adjusted initial claims was 417,000, an increase of 5,000 from the previous week’s revised figure of 412,000. The 4-week moving average was 407,500, an increase of 4,000 from the previous week’s revised average of 403,500.

Advance Seasonally Adjusted Insured Unemployment Rate Decreases

The advance seasonally adjusted insured unemployment rate was 2.9% for the week ending August 13, a 0.1 percentage point decrease from the prior week’s revised rate of 3.0%.

Advance Seasonally Adjusted Insured Unemployment Decreases

The advance number for seasonally adjusted insured unemployment during the week ending August 13 was 3,641,000, a decrease of 80,000 from the preceding week’s revised level of 3,721,250. The 4-week moving average was 3,701,000, a decrease of 19,500 from the preceding week’s revised average of 3,720,750.

In IR-2011-085, the Internal Revenue Service (IRS) announced that interest rates for the fourth quarter of 2011 would decrease from the third quarter. The rates are as follows:

Three (3) percent for overpayments [two (2) percent in the case of a corporation];

Three (3) percent for underpayments;

Five (5) percent for large corporate underpayments; and

One-half (0.5) percent for the portion of a corporate overpayment exceeding $10,000.

Revenue Ruling 2011-18 Contains Official Rate Announcement

The IRS will publish the rates in Revenue Ruling 2011-18. Contact Vision Payroll if you have any questions on the fourth quarter rates.

The US Department of Labor (DOL) recently announced a $1,825,595 National Emergency Grant to provide re-employment services to about 250 workers laid off by XL Four Star Beef Inc., following the June closure of the company’s beef processing and packing plant in Nampa, Idaho.

DOL Secretary Solis Comments on Grant

“I know that it is difficult to find a job in an area experiencing high unemployment. That’s why this federal grant which will support the retraining of Canyon County residents is so important,” said Secretary of Labor Hilda L. Solis. “The Obama administration is committed to assisting both these workers, and at the same time Idaho’s businesses, by making sure the local labor force is ready and able to help support the state’s growing industries.”

Funds Are Awarded to the Idaho Department of Labor

The grant is being awarded to the Idaho Department of Labor, which will use skill assessment tools and career counseling to identify education and retraining opportunities, including English for speakers of other languages instruction. Of the total funding amount, $928,386 will be released initially. Additional funding up to the amount approved will be made available as the state demonstrates a continued need for assistance.

National Emergency Grants Are Part of Discretionary Fund

National Emergency Grants are part of the secretary of labor’s discretionary fund and are awarded based on a state’s ability to meet specific guidelines.