Overview: A growing employer trend over the past several years has been to integrate payroll within the HR department. So, now more than ever, HR managers need to understand all the complex issues and requirements involved in payroll tax law compliance in order to effectively oversee payroll processing and ultimately avoid costly penalties. This involves managing the following tasks, among many others:
Trends: The following are just a few of the important issues currently impacting payroll:
Author: Rena Pirsos, JD, Legal Editor
Updated to reflect accelerated filing deadlines and new electronic filing threshold amounts starting with 2016 forms filed in 2017.
Updated to reflect 2017 FICA tax rates and benefit amounts.
The already daunting tasks of closing out the year's payroll and complying with ACA information reporting requirements are compounded this year due to accelerated Form W-2 and Form 1099-MISC filing deadlines and significant ACA reporting changes. XpertHR rounds up resources to help an employer meet its year-end legal obligations to government agencies and employees.
The Social Security Administration has issued inflation-adjusted figures for 2017, including the Social Security taxable wage base, the earnings tests for retirees who return to work, the quarter of coverage requirement for Social Security benefits, and the cost of living adjustment (COLA) for Social Security benefits.
Updated to include forthcoming changes to Form IL-941 and the filing and payment schedules.
Updated to reflect the forthcoming requirement to compensate employees for certain work schedule changes under the Seattle Secure Scheduling Ordinance.
The IRS has issued Notice 2016-58 listing the 2016-2017 optional 'high-low' federal per diem rates an employer may use to reimburse expenses incurred by employees who travel on business to locations within the Continental US, and the 'special' federal meals and incidental expenses (M&IE) per diem rates that apply to the transportation industry and the incidental-expenses-only rate.
HR and legal considerations for employers regarding payroll.