Articles

HR for Small Business: How to Set Yourself Up for Success

As anyone who’s started their own business knows, building an accomplished company doesn’t just happen overnight. It takes hard work and dedication to create the right foundation and sustain success. Think about the businesses you admire. Chances are they understood the importance of human capital and instituted HR best practices that would support them while they were small and as they grew. The key to maintaining a successful business is developing excellent HR practices from the start. Doing so will help your business avoid costly mistakes and litigation, improve employee retention, and lead to company growth. 3 Human Resource Tips to Avoid Costly Mistakes 1. Develop Your Employee Handbook An employee handbook provides the foundation...

How Does The Government Shutdown Affect Tax Returns?

Officially now the longest government shutdown in history, hundreds of thousands of federal employees are furloughed—some are required to work, some are not— but none are receiving paychecks. For some, the timing couldn’t be worse. Tax season is upon us and many American workers are left wondering what the government shutdown means in regard to their 2018 tax returns or tax status in general. If you or your HR department find yourselves inundated with questions from curious employees, be sure to arm yourself with the most recent information. Here’s what to tell employees during the government shutdown. Do I have to pay federal income tax during the shutdown? Yes. Despite the government shutdown, employees still need to pay income tax....

How Does the 2019 Government Shutdown Affect Human Resources?

The consequences of the government shutdown are widespread. From furloughed federal employees, delayed tax returns and long lines at TSA checkpoints, few Americans can escape its impact. Unfortunately, as an HR leader, you won’t get by unscathed. It’s not just “business as usual” for most organizations because the shutdown affects the work done on a day-to-day basis. Let’s review some of the biggest ways the government shutdown is affecting HR departments. E-Verify is Down The system used to confirm an employee’s eligibility status to work in the U.S. is inaccessible. Overseen by the Department of Homeland Security, E-Verify takes the information found on an employee’s I-9 form and electronically compares it to records from the Social...

How to Staff for Payroll Administration: Roles and Responsibilities

Payroll administration is an essential function for every business. From issuing/distributing paychecks and maintaining tax compliance to calculating payroll deductions and garnishments, administrators wear several hats. If you own a business and are looking to staff your payroll department, here’s what you need to know. What Do Payroll Administrators Do? Depending on the size of a business, the payroll department may have one employee or a dedicated team, all with varying levels of experience and responsibilities. Payroll Practitioner l (entry-level) This entry level position is the grease that keeps the wheels of the payroll department rolling. They perform essential, yet routine duties. Their responsibilities include: Maintaining...

PTO Payout Laws By State

Most companies have formal paid time off policies. Regardless of whether you call it vacation time, sick time, furlough, PTO, PDO or some combination of the above, you should pay attention to states’ laws. Surrendering your terminated employees’ accrued and unused vacation time isn’t subject to federal law, but it’s important to pay attention to states’ laws since regulation is under their purview. If your company has locations in multiple states, it’s important to review all statutes regarding separation pay. This handy table should provide the basic information you need to know but be sure to check state departments of labor for specific guidelines. State Statutory Requirements Addressing Vacation Pay Use-It-or-Lose-It Policy Payment...

2019: The True Cost of Payroll Services

Whether you’re Google or a start-up operating out of your parent’s garage, you’re required to process payroll, calculate taxes and maintain records in a reliable way. How do most small and medium-sized businesses process payroll? Well, typically there are 3 options: Hire a professional employer organization (PEO) Manage payroll, yourself Partner with an HR & payroll provider Deciding which option is best for your organization can be overwhelming, especially if you’re looking to cut costs and mitigate risk. “Isn’t Payroll Easy? It’s Just Adding Numbers and Writing Checks, Right?” WRONG. Processing and running payroll is a composition of challenging, high-stakes tasks. In fact, payroll teams have multiple responsibilities, including:...

2019 Mileage Reimbursement Rates

The Internal Revenue Service (IRS) issued 2019 federal mileage reimbursement rates that should be used to calculate costs for operating vehicles for business, charitable, medical or moving purposes. In summary, the business mileage rate increased 3.5 cents for business travel and 2 cents for medical and certain moving expenses from 2018. 2019 IRS Mileage Reimbursement Rates Beginning January 1, 2019, standard mileage rates for the use of a car, van, pickups or panel trucks will be: 58 per mile driven for business (up from 54.5 cents in 2018) 20 per mile driven for medical or moving purposes (up from 18 cents in 2018) 14 per mile driven in service of charitable organizations (same rate as 2018) The mileage rates above can be used to...

Payroll Security in 2019: Basic & Advanced Tips to Protect Your Business

Payroll data can be a treasure trove for hackers. Just think how much personal information a hacker can get from payroll… social security numbers, bank accounts, check stubs and home addresses for starters. Your employees depend on you to keep their personal information safe. Here’s what you need to know about payroll security in 2019. The Importance of Payroll Confidentiality In just the last year, nearly 1,700 cyber breaches occurred in businesses around the U.S., leaking more than 170+ million records*. If your organization is hacked, there will be questions of liability. The good news: it’s unlikely you will be held responsible for a third party hacking your payroll system. The bad news: if the leak results in the stolen identify of...

Understanding Employer Responsibility for Unemployment Benefits

It’s a fact of business life: Paying federal and state unemployment taxes is not optional. Small businesses, especially, might not be aware of their responsibilities when it comes to filing or responding to claims. It’s important to know all of the rules because not paying them or paying them incorrectly could result in hefty penalties. What is Unemployment Insurance? When an employee is let go due to a situation beyond their control – for example, a worker who was laid off – they can apply to receive a percentage of the wages they would have earned if they were still employed to tide them over until they can find another job. Some unemployed workers don’t qualify for unemployment benefits, such as: Workers who are fired Workers who...

HSA Employer Contributions: What Organizations Need to Know

Contributing to employees’ Health Savings Accounts (HSA) is an added benefit that many employers are choosing to provide to their people. Due to certain regulations employers must follow, however, this perk can be challenging to manage, which is yet another reason it makes sense to find a partner who can offer true tax expertise, not just technology. What is an HSA? A Health Savings Account (HSA) is a tax savings benefit for employees that lets them elect to have a specific amount of their pre-tax salary deducted into the account. The funds that accrue in the plan can be used to pay for approved health care expenses, including vision and dental care, prescriptions and insurance deductibles. HSAs are commonly paired with a High Deductible...