Payroll, Unemployment Insurance & Social Security

Arkansas and Missouri voters approve minimum wage increases

The mid-term elections have ushered in a wage boost for workers in Arkansas and Missouri. Voters approved ballot initiatives that will raise the minimum wage in Arkansas from its current $8.50 an hour to $11.00 an hour in 2021. In Missouri, voters gave the go-ahead to increase the state minimum wage of $7.85 an hour […]

New FLSA opinion letters do about-face on 80/20 tip rule

The Department of Labor on November 8 released four new opinion letters on FLSA compliance. One of those letters put an end to the controversial so-called 80/20 tip rule governing the employer tip credit when employees perform both tipped and non-tipped job duties. The change will have a huge impact on the restaurant industry and […]

IRS issues annual inflation amounts for 2019

The IRS has released the annual inflation figures for 2019. The amounts include 2019 tax brackets, the standard deduction, alternative minimum tax amounts, among others. The amounts are based upon Consumer Price Index figures released by the U.S. Department of Labor. The Tax Cuts and Jobs Act of 2017 (TCJA) (P.L. 115-97) mandated a change […]

North Carolina issues 2019 withholding tables

North Carolina has issued withholding tables for wages paid on and after January 1, 2019. The tables have been revised to reflect legislative changes. North Carolina law requires North Carolina income tax to be withheld from wages at a rate that is 0.1% higher than the individual income tax rate, which has been changed to […]

Georgia issues 2019 withholding tables

Georgia has issued new wage-bracket and percentage method withholding tables for wages paid on and after January 1, 2019. All of the tables are reproduced in in this Report at ¶5818 and ¶5819. Effective January 1, 2019, the maximum Georgia rate, including the one used in the supplemental wage rates, has been reduced to 5.75%. […]

North Carolina adds counties eligible for hurricane tax relief

The North Carolina Department of Revenue advises taxpayers that three additional counties have been designated as Disaster Counties eligible for state tax relief as a result of Hurricane Florence. The complete list of counties includes Anson, Beaufort, Bladen, Brunswick, Carteret, Chatham, Columbus, Craven, Cumberland, Duplin, Durham, Greene, Guilford, Harnett, Hoke, Hyde, Johnston, Jones, Lee, Lenoir, […]

IRS updates process for liability determination, FUTA control

The IRS has updated its procedures that provide information on business master file (BMF) accounts with discrepancy issues related to the Federal Unemployment Tax Act (FUTA). This guidance describes clerical procedures regarding unemployment taxes. This guidance applies to the FUTA clerical staff in the Small Business Self Employed site. The FUTA provides for cooperation between […]

North Carolina voters approve new rate limit

North Carolina voters approved a ballot measure that reduces the corporate and personal income tax rate limit set in the state constitution. The constitutional amendment reduces the income tax rate limit from 10% to 7%. It does not reduce the current tax rates of: 3% for corporate income taxpayers; and 5.499% for individual income taxpayers. […]

SSA’s official COLA notice appears in Federal Register

The Social Security Administration’s official announcement that there will be a 2.8% cost-of-living adjustment for social security beneficiaries in 2019 was published in the Wednesday, October 24, 2018, Federal Register (83 Fed. Reg. 53702). The $132,900 tax and benefit base, retirement earnings test exempt amounts, benefit computation formulas, amounts required for a quarter of coverage, […]

DOL issues 2018 annual UC certifications of states under FUTA

The Secretary of Labor has signed the annual 12-month certifications under the Federal Unemployment Tax Act that enable employers that make contributions to state unemployment funds to obtain certain credits against their liability for federal unemployment tax. All 50 states, as well as the District of Columbia, Puerto Rico, and the Virgin Islands, have received […]