Category: Payroll
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Update on Gig Workers
The evolving saga of “employee vs contractor”, from the small business employer’s perspective, means that you should revisit the conversation for business planning purposes now. Background In case you’ve been so engrossed with other headlines that you haven’t read any business news: the world of independent contractors, so-called “gig workers” is facing rapid and dramatic…
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Taxes for ministers: Summary of federal income tax planning issues
Planning the federal income tax treatment for ministers1 must consider several topics that are unique to ministers. Employee status A minister is considered an employee under the common law rules and yet payments for services as a minister are considered income from self employment pursuant to IRC §§ 1402(c ) and 3121(b)(8). This is the…
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A workers’ compensation insurance primer for small businesses
In the past many small businesses avoided carrying workers’ compensation insurance. In the future, more small firms will carry this insurance. This blog post is meant for small employers who are facing this issue for the first time. This is a big risk facing the smallest unsuspecting employers. What is changing? State laws have always…
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How to set up clergy payroll
The treatment may vary slightly under different states but this is how we set up clergy payroll in New Jersey: 1) Ordained clergy typically get a W-2 with Box 1 and 16 (federal and state) wages only. 2) Federal, State income taxes may be withheld. 3) FICA should be handled as if they are self…
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Strippers draw attention to changing tax law
Who would have guessed that strippers would be on the cutting edge of changing tax law? The laws that distinguish between contractors and employees are changing in some states. California’s strippers are in the spotlight. Yesterday strippers protested the new state law in San Diego. They like the independence of being classified as contractors yet…
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New Jersey payroll services
I offer these small business payroll services in New Jersey: Weekly, bi-weekly, monthly, twice a month, or as manually requested payroll schedule New Jersey Employer Report of Wages Paid (NJ WR-30) New Jersey Employer’s Quarterly Report (NJ-927) New Jersey Employer’s Quarterly Report for Weekly Filers (NJ-927W) New Jersey Submitter Form NJ-ERW2-S New Jersey Annual Withholding…
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Employee vs contractor; more misclassification risks
“Employee misclassification is a major issue. Employers who misclassify employees are failing to provide unemployment insurance and workers’ compensation. Those employers can also leave workers with large employment tax liabilities.“ This new article delivers information on even more risks. Correct handling of worker compensation is not so difficult or expensive. It doesn’t make sense to shortcut this…
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Simplify the business of life
This blog title is a slogan used by the world’s most popular personal and small business software maker. For my purposes as an adviser, I’m using it here to refer to the accounting for essential financial transactions between an employer and employee: payroll, taxes and employee benefits. Small businesses have wide latitude in some areas of…
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Small business payroll fees for 2019
I’m sending this email message to my smallest business payroll clients: In planning for 2019 services, I’ve noticed that payroll processing fees have risen sharply for me. This seems to be an industry trend apparently related to spreading out the cost of state and local tax compliance issues for some companies but doesn’t otherwise affect…
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How to upgrade your small business payroll in 3 easy steps
How to upgrade your small business payroll in 3 easy steps: Download and sign service agreement from tonynovak.com/payroll. If you have prior payroll this year, get a copy of the Year-To-Date reports. Upload these to the secure portal here. THAT’S IT! We’ll take it from there. At lease one phone call will be necessary to…