You may be able to train your employees for free!
Companies that have been paying Louisiana Unemployment taxes for at least three years could be eligible for reimbursement of up to $3,000 per employee per year for certain types of training and continuing education through the Incumbent Worker Training Program (IWTP).
Businesses with 50 or fewer employees are covered under the Small Business Employee Training Program (SBET). You can find details on both programs at www.laworks.net.
All businesses are required to file Forms 1099 for payments totaling $600 or more for services, interest or rent paid to individuals and non-corporate entities. You do not have to include payments for materials or goods received. If you are uncertain if an entity is incorporated you should contact the vendor. WE SUGGEST YOU REQUEST YOUR VENDORS PROVIDE YOU WITH A SIGNED FORM W-9 AT THE TIME THEY PROVIDE A SERVICE. Entities with “LLC” in their names may still require a Form 1099. If you are unable to obtain the necessary information, you are required to withhold 20% of the payment.
As part of your annual tax return you must confirm you are required to file forms 1099 and that you have done so.
You can download Form W-9 at www.irs.gov.
Thanks to our friend, Dwayne Wilson, for the following:
Updated Salary and Compensation Levels Required for FLSA ‘White Collar’ Exemption Effective December 1, 2016
The U.S. Department of Labor (DOL) has released a final rule, effective December 1, 2016, updating the regulations governing which executive, administrative, and professional employees (“white collar” workers) are entitled to the minimum wage and overtime pay protections of the federal Fair Labor Standards Act (FLSA).
The current federal rules provide an exemption from both the FLSA minimum wage and overtime pay requirements for bona fide executive, administrative, and professional employees who meet certain tests regarding their job duties and who are paid on a salary basis at not less than $455 per week ($23,660 per year). “Highly-compensated employees” (HCEs) who are paid total annual compensation of $100,000 or more and meet certain other conditions are also deemed exempt.
The final rule focuses primarily on updating the salary and compensation levels needed for executive, administrative, and professional workers to be exempt. In particular, the final rule:
- Raises the salary threshold from $455 a week to $913 per week (or $47,476 annually) for a full-year worker (equal to the 40th percentile of earnings of full-time salaried workers in the lowest-wage Census Region);
- Sets the highly-compensated employee (HCE) total annual compensation level equal to the 90th percentile of earnings of full-time salaried workers nationally ($134,004 annually);
- Establishes a mechanism for automatically updating the salary and compensation levels every 3 years, beginning on January 1, 2020; and
- Amends the regulations to allow employers to use nondiscretionary bonuses, incentives, and commissions to satisfy up to 10% of the new standard salary level, so long as employers pay those amounts on a quarterly or more frequent basis.
Note: Job titles never determine exempt status. Receiving a particular salary, alone, does not indicate that an employee is exempt. Rather, in order for a white collar exemption to apply, an employee’s specific job duties and earnings must meet all of the applicable requirements provided in the regulations. The DOL is not making any changes to the current job duties tests. Keep in mind that when both the FLSA and a state law apply, the employee is entitled to the most favorable provisions of each law.
For more information, please refer to the DOL’s website on the final rule, which offers employers comprehensive resources including fact sheets, a comparison table of the current and final rules, Q&As, guidance for businesses, and more.