Practical HR Tips, News & Advice. Updated Daily.
The IRS recently released Form W-11, Hiring Incentives to Restore Employment (HIRE) Act Employee Affidavit. The HIRE Act (H.R. 2847), a jobs bill President Barack Obama signed into law on March 18, 2010, provides tax breaks to employers that hire unemployed workers or individuals who were working only part-time in 2010. Under the HIRE Act, […]
The federal stimulus package contains a COBRA premium subsidy for employees who are “involuntarily terminated” between September 1, 2008 and December 31, 2009. The Internal Revenue Service (IRS) has recently published guidance for employers on what an “involuntary termination” is for the purpose of determining which employees should be sent the required COBRA subsidy notices. […]
Update Dec. 16: House Passes COBRA Subsidy Extension and Expansion The IRS has issued guidance on the COBRA premium assistance or subsidy provisions of the economic stimulus bill recently passed in Congress. Under the provisions, eligible employees who were involuntarily terminated from their jobs between September 1, 2008, and December 31, 2009, and their qualified […]
The IRS standard-mileage-reimbursement rate for 2009 will be 55 cents per mile for all business miles driven, down from the rate of 58.5 cents a mile that was in effect in the second half of 2008. The IRS had made a special adjustment for the second half of 2008 in response to a spike in […]
As if employers don’t already have enough to deal with these days—thanks in large part to a faltering economy—some new developments, including big financial incentives or employees to blow the whistle and a new whistleblower protection law, should cause many to watch their backs.
by Gary Jiles Q: The continuing increase in gas prices has caused me some concern lately because I often have to send my employees on work-related errands or trips. When and how much am I required to reimburse my employees for mileage, or am I even required to reimburse them at all? And do mileage […]
Citing the skyrocketing cost of gasoline, the IRS has raised the standard mileage reimbursement rate for the final six months of 2008. From July 1, 2008, through Dec. 31, 2008, the new rate for business mileage is 58.5 cents a mile, up from the 50.5-cent rate that took effect in January 2008.
Based on the cost of living, the IRS has increased for 2009 the maximum contribution levels for health savings accounts (HSAs) and out-of-pocket spending limits for high-deductible health plans (HDHPs) that must be used in conjunction with HSAs. For 2009, the maximum annual HSA contribution for individuals is $3,000 and $5,950 for families. Catch-up contributions […]
by Tracey A. Cullen It’s no news flash that companies must proceed with caution when classifying someone who provides them with services as an independent contractor. Independent contractors are paid flat fees without tax deductions or employment taxes. Employees are paid salaries subject to withholding, FICA, FUTA, and other employment taxes and are protected under […]