Vision Payroll

In Notice 2010-69, the Internal Revenue Service (IRS) announced that the reporting of the cost of coverage under an employer-sponsored group health plan on Form W-2, Wage and Tax Statement, would not be mandatory for 2011 Forms W-2.

Additional Time Is Needed to Make Changes to Payroll Systems

According to Notice 2010-69, “[t]he Treasury Department and the IRS have determined that this relief is appropriate to provide employers with additional time to make any necessary changes to their payroll systems or procedures in preparation for compliance with the reporting requirement.”

Aggregate Cost Determined Using COBRA Rules

When reporting begins, “the aggregate cost is to be determined under rules similar to the rules of §4980B(f)(4), referring to the definition of the “applicable premium” under the rules providing for COBRA continuation coverage.”

Vision Payroll Will Assist Employers in Transition to New Rules

Contact Vision Payroll today for assistance in planning your transition to the new reporting rules for Form W-2.

Recently, the Wage & Hour Division (WHD) of the US Department of Labor (DOL) has increased its enforcement and audit efforts with employers. The WHD wants to ensure workers are fairly paid and employers uphold the law. Unfortunately, businesses that have violated wage and hour laws can face heavy fines and penalties. Many employers often assume a low likelihood of being audited, but they can be targeted, and the likelihood of an audit has been increasing.

Audit Selection Can Be Announced or Unannounced

Find out what makes your business more likely to be audited and what the impact is for targeted industries.

Non-Compliant Businesses Are at a Higher Risk

Certain employers may be high on the DOL watch list, especially for repeat violations. Learn which violations can be especially troublesome.

Be Ready if a DOL Representative Visits Your Business to Conduct an Audit

Know the appropriate actions to take if the DOL visits your workplace for a wage and hour audit.

Find Out More About the Implications of Wage and Hour Audits for Employers Now

For more information on each of these topics, be sure to read the featured article by the HR pros at MyHRSupportCenter, The Implications of Wage and Hour Audits for Employers. If you’re not yet signed up or would like a free trial of MyHRSupportCenter, contact Vision Payroll today.

An organization’s workforce is its most valuable asset. And when an employee can’t work due to illness or injury, it impacts not only an organization’s productivity, but also its morale.

The Return-to-Work Toolkit Provides Valuable Resources

The Office of Disability Employment Policy (ODEP) in the US Department of Labor created its new online Return-to-Work Toolkit to help employers and employees understand the return-to-work process and provide resources to assist in getting employees back on the job quickly and smoothly.

Effective Return Helps Employers and Employees

Effective return-to-work approaches can protect an employee’s earning power and boost an organization’s output as the employee adds value while still recuperating. Furthermore, in many instances, work itself plays an important role in the recovery process.

Employees Can Benefit from the Toolkit

With effective accommodations and a clear understanding of the return-to-work process, employees can be back on the job sooner and retain their income. Employees can use this toolkit to get started.

Employers Can Also Benefit from the Toolkit

Strategies to return employees to work as quickly and smoothly as possible benefit everyone. Employers can use this toolkit to learn about the tools and resources available to assist you with the return-to-work process.

A World with Unlimited Employment Opportunities

Vision Payroll salutes the ODEP in its quest for a world in which people with disabilities have unlimited employment opportunities.

According to the US Equal Employment Opportunity Commission (EEOC), in 2009, more than 93,000 workplace discrimination charges were filed nationwide, the second highest level ever.

Race and Sex Charges Remain Most Common Charges

Race and sex charges were the most commonly filed charges, representing a combined two-thirds of all charges.

National Origin, Religion, Retaliation, and Disability Claims All Increase

For 2009, claims of discrimination based on national origin, religion, retaliation, and disability were all the highest ever recorded. Though age discrimination claims eased slightly, they were still at the second-highest level in EEOC history.

Important Questions on EEO Training

How important is training and what is the impact of internet-based training? What should your employee handbook say about equal employment opportunity (EEO)? What is the impact of Plan/Prevent/Protect?

What Can You Do to Prevent Violation of the Discrimination Laws?

To pick up tips and tools to help minimize and shield your business against claims of workplace discrimination and harassment, be sure to listen to Defending Your Business with EEO Training in this month’s HRCast, a recording provided by our team of HR Pros and available exclusively on MyHRSupportCenter.

MyHRSupportCenter Provides Alerts, Best Practices, and HR Tools Every Day

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 haven’t yet signed up and would like a free trial of MyHRSupportCenter, contact Vision Payroll today.

In its spring 2010 Regulatory Agenda, the US Department of Labor (DOL) had issued a new regulatory and enforcement strategy for all businesses referred to as “Plan/Prevent/Protect.” While the specifics of program are still being defined, the new program involves the following:

• Plan: The DOL will propose a requirement that employers create a plan for identifying and remedying risks of legal violations and other risks to workers.
• Prevent: The DOL will propose a requirement that employers completely implement the plan in a manner that prevents legal violations.
• Protect: The DOL will propose a requirement that employers ensure that the plan’s objectives are met on a regular basis.

Find Out More About Plan/Prevent/Protect Now

For more information on each of these topics, be sure to read the featured article by the HR pros at MyHRSupportCenter, Plan, Prevent, Protect—Sooner Better than Later. If you’re not yet signed up or would like a free trial of MyHRSupportCenter, contact Vision Payroll today.

Many employers are aware of the new requirement under the Patient Protection and Affordable Care Act (PPACA), soon to be implemented, that an employer’s health insurance costs be included on an employee’s Form W-2.

Reporting Health Care Costs on Form W-2 Does NOT Make Them Taxable

Many have misunderstood this requirement to mean that an employer’s health insurance costs are taxable to the employee. To help clarify this, the Internal Revenue Service (IRS) recently released the following explanation:

Starting in tax year 2011, the [PPACA] requires employers to report the value of the health insurance coverage they provide employees on each employee’s annual Form W-2. This reporting is for informational purposes only, to show employees the value of their health care benefits so they can be more informed consumers. The amount reported does not affect tax liability, as the value of the employer contribution to health coverage continues to be excludible from an employee’s income and it is not taxable.

Health Care Costs That Were Already Taxable Are Still Taxable

In some circumstances, the employer’s cost of health insurance is included in an employee’s income, e.g., certain S corporation shareholders. This change does not affect the taxability of employer’s costs that were already taxable.

Vision Payroll Is Ready to Implement This Change

Contact Vision Payroll if you have any further questions on Form W-2.

In IR-2010-090, the Internal Revenue Service (IRS) announced that interest rates for the fourth quarter of 2010 would remain unchanged from the third quarter. The rates are as follows:

• Four (4) percent for overpayments [three (3) percent in the case of a corporation];
• Four (4) percent for underpayments;
• Six (6) percent for large corporate underpayments; and
• One and one-half (1.5) percent for the portion of a corporate overpayment exceeding $10,000.

Revenue Ruling 2010-21 Contains Official Rate Announcement

The IRS will publish the rates in Revenue Ruling 2010-21. Contact Vision Payroll if you have any questions on the fourth quarter rates.

The issue of an employee’s privacy rights and an employer’s workplace monitoring of electronic communications have gained the attention of the US Supreme Court and recently led to a key decision that favors employers.

In City of Ontario, et al. v. Quon, et al., 560 US ___ (2010), an employee (Quon) and others sued their employer (City of Ontario) arguing that the City of Ontario “violated their Fourth Amendment rights and the federal Stored Communications Act (SCA) by obtaining and reviewing the transcript of Quon’s pager messages.” The US Supreme Court ruled that since “the search of Quon’s text messages was reasonable, [the City of Ontario] did not violate [Quon’s and his co-workers’] Fourth Amendment rights, and the Ninth Circuit erred by concluding otherwise.”

Employers may wonder about their rights and responsibilities when monitoring an employee’s electronic communications. What types of searches are allowable? Is notice to employees required in the employee handbook or elsewhere? How do changes in technology affect these rights and responsibilities? What is the impact of state law on employee texting and workplace privacy?

To learn more about, be sure to listen to Employee Texting and Workplace Privacy in this month’s HRCast, a recording provided by our team of HR Pros and available exclusively on MyHRSupportCenter.

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 haven’t yet signed up and would like a free trial of MyHRSupportCenter, contact Vision Payroll today.

The United States Department of Transportation (DOT) recently released updated Standard Industry Fare Level (SIFL) rates which are used to value employee personal use of company aircraft. The revised rates are 22.43¢ per mile for 500 or fewer miles traveled, 17.10¢ per mile for greater than 500 miles traveled and up to 1,500 miles traveled, and 16.44¢ per mile for greater than 1,500 miles traveled. The terminal charge is $41.00. These rates apply to the period from July 1, 2010 to December 31, 2010.

Contact Vision Payroll if you have any questions on SIFL changes.

Excessive or avoidable employee turnover results in a waste of time, resources, and added costs. While it can depend on the industry and business cycles, the impact is often especially hard on small businesses. Understanding what goes into the turnover costs and establishing helpful strategies are important steps for you to effectively manage the revolving employee door of your company.

Do you know the full price of losing employees? Are you aware of three key items to review if you’d like to reduce high turnover? Do you understand the positives and negatives of low turnover?

For answers to these questions and much more, be sure to read the featured article by the HR pros at MyHRSupportCenter, Controlling Your Employee Turnover Costs. If you’re not yet signed up or would like a free trial of MyHRSupportCenter, contact Vision Payroll today.