HR PEO Blog

The Internal Revenue Service has made a recent announcement suggesting part-year or seasonal employees to do a “paycheck checkup”. The changes made from The Tax Cuts and Jobs Act (enacted earlier in the year) have made some significant differences in how the withholding tax gets calculated this year.  Part-year and seasonal workers are especially vulnerable to incorrect calculations due to the limited or shorter period of employment, instead of calculating income on the entire year of employment.


The easiest way for a part-year or seasonal employee to do a checkup is to visit The Withholding Calculator on IRS.gov. The calculator has been designed to help estimate income and deductions to make sure the right amount of tax is being withheld. Based on the results of the calculator, employees can then change their filing and allowances on Form W-4 to update their tax withholding.

 

More information can be found at the IRS news release here: https://www.irs.gov/newsroom/seasonal-part-year-workers-urged-to-check-tax-withholding-amount

The Withholding Calculator can be found here: https://www.irs.gov/individuals/irs-withholding-calculator

Published in IRS
Wednesday, 18 June 2014 18:00

New Tool for Calculating Overtime Pay

 The U.S. Department of Labor (DOL) has released its latest Advisorto help employers and workers understand and calculate overtime pay.

One of Department’s most asked about employment laws is the Fair Labor Standards Act (FLSA). The FLSA Suite of elaws Advisors help users understand the minimum wage, overtime, and child labor provisions of the Act.  The Overtime Calculator Advisor is the latest addition to the FLSA Suite.  This new Advisor computes the amount of overtime pay due in a sample pay period based on information from the user. 

The Overtime Calculator gathers input from users about certain factors used in determining overtime, including the primary method of paying workers, any additional compensation such as bonuses, commissions, and shift differentials, and information pertaining to hours worked.  The Calculator then totals up straight-time and overtime hours worked during a sample pay period and – based on the user’s inputs – calculates the overtime pay required.  A key feature demonstrates how the calculations were made.  (The Calculator does not attempt to calculate overtime in all situations and actual pay period earnings may differ from the results provided by the Overtime Calculator.)

The Department offers many other elaws Advisors covering a wide range of federal employment laws such as the Family and Medical Leave Act and the Uniformed Services Employment and Reemployment Rights Act. To view the Advisors, visit www.dol.gov/elaws.

Published in Overtime Pay