Advice

Here are digests of some recently released official notices from the IRS.
Payroll never likes to hear the work “risk.” Corporate finance departments, on the other hand, are accustomed to dealing with the concept of risk. How do you balance Payroll’s no nonsense, 100% compliance stance against these competing attributes?
The American Payroll Association’s Curtis Tatum, Esq., in-house counsel and director of federal payroll compliance, and Laurel Serra, CPP, director of payroll training, provided attendees of the APA’s second virtual Congress with an overview of payroll legislation and a look at what might be coming down the pike later this year and even next year.
On-demand pay is just now catching state regulators’ eyes. Problem: It’s not state labor departments that are noticing.
Sick and tired of being sick and tired? That isn’t enough to qualify for FMLA leave. According to a federal trial court, employee burnout isn’t a serious health condition covered under the FMLA.
The Fair Labor Standards Act requires you to reimburse nonexempt employees if their work-from-home expenses would reduce their wages to below the minimum wage. Some states require you to pony up for employees’ business expenses, too.
For good reason, Payroll jealously guards employees’ pay information—bank account/routing numbers for direct deposit, child-support withholding orders, pretax deductions for health and retirement benefits. Problem: external auditors asking to see this information. Unfortunately, there’s no one-size-fits-all solution to this dilemma.

DCAPs for day camp

April 21, 2021

Dependent care assistance plan funds can pay for day camp for children younger than 13 (14, if employees had a DCAP on Jan. 31, 2020). The expenses incurred must enable parents to work. Also covered: child-care expenses for kids who stay home.
This month, the Social Security Administration was to have begun sending so-called no-match letters to employers that e-filed 2019 W-2s on which employees’ names and Social Security numbers did not match. The SSA now says it’s discontinuing this process in favor of an outreach campaign focused on those mismatches.
The DOL has withdrawn Field Assistance Bulletin 2020-02, which had granted it some latitude to determine whether liquidated, or double, damages in lieu of a settlement of an FLSA case were appropriate.