SSA Limit 2020

2020 Social Security Wage Base Increased from $132,900 to $137,700 an increase of $4,800 for the new year. 2020 Social Security Wage Base Increases to $137,700 The Social Security Administration (SSA) has announced that the maximum earnings subject to Social Security (OASDI) tax will increase from $132,900 to $137,700 in 2020 (an increase of $4,800)

Updates – DOL Overtime Ruling & ACA

What You Need to Know About the DOL’s Final Overtime Rule The Department of Labor (DOL) issued the final overtime rules on September 24, concluding a process that began back in March when the DOL released the proposed rules (see DOL Issues Long-Awaited Proposed Overtime Rules, 3/11/2019) [DOL News Release No. 19-1715-NAT, 9/24/19]. Background. Currently, to qualify for the

News Updates – 9/17/19

Proposed Regular Rate of Pay Rules Moving Towards Final Version The proposed rules amending regular rate of pay requirements under 29 USC 207(e)(2) have been received by the White House’s Office of Information and Regulatory Affairs (OIRA) on Sept. 9, 2019 [OIRA website, RIN 1235-AA24, 9/9/19]. Background. The Fair Labor Standards Act (FLSA) generally requires an


Telecommuting Arrangement Not Covered Under ADA Due to New Job Description A federal appellate court has ruled that an employee was not a “qualified individual” under the American with Disabilities Act (ADA) and therefore the employer did not fail to accommodate her disability when a merger led to a change in job description that required

Fluctuating Workweek Rules Received by White House Regulatory Subcommittee

On August 15, 2019, the White House’s Office of Information and Regulatory Affairs (OIRA) received the Department of Labor’s (DOL’s) new rule to amend current regulations [ORIA website, Pending EO 12866 Regulatory Review]. Background. 29 CFR 778.114 generally permits employers to use fluctuating workweeks to pay employees a fixed weekly salary, regardless of the number

Employer’s No-Fault Point Reduction Plan Interfered With Employee’s FMLA Rights

Employer’s No-Fault Point Reduction Plan Interfered With Employee’s FMLA Rights The U.S. Court of Appeals for the Ninth Circuit has held that Ventra Sandusky’s “point reduction plan” could interfere with employees’ rights to take Family Medical Leave Act (FMLA) leave. Jeremy Dyer alleged that he was terminated for violating Ventra’s point reduction plan after taking

Updates – FMLA, Overtime, Etc.

New DOL Opinion Letters Discuss FMLA, Overtime Exemption and Employment Status On August 8, the U.S. Department of Labor’s (DOL’s) Wage and Hour Division (WHD) issued three new opinion letters that address: (1) whether attending a Committee on Special Education (CSE) meeting to discuss a child’s Individualized Education Program (IEP) qualifies as Family Medical Leave Act

Updates – Tax Calculator & 2020 Draft W-4.

IRS Launches New Redesigned Tax Withholding Estimator for Paycheck Checkups The IRS has alerted the payroll community about the launch of a new IRS Tax Withholding Estimator online tool. It replaces and expands the old IRS Withholding Calculator [IR 2019-139, 8/6/19; e-News for Payroll Professionals, Issue No. 2019-08, 8/6/19]. The new tool offers a robust, mobile-friendly, step-by-step

Special Report on Earned Income Tax Credit to Improve Participation

A special report was recently released by National Taxpayer Advocate (NTA) Nina E. Olson on the Earned Income Tax Credit (EITC), which makes recommendations designed to increase the participation rate of eligible taxpayers and reduce overclaims by ineligible taxpayers [IR 2019-123, 7/10/19]. Background. The EITC is a tax credit available to low-income employees. The credit reduces