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83 Cards in this Set
- Front
- Back
FICA |
Federal Insurance Contributions Act |
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TIN |
Taxpayer Identification Number |
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1099-MISC - How much does the contractor have to make before a 1099-Misc is necessary |
$600 |
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SS-8 |
Determination of worker status for determination of federal employment taxes and income withholding |
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Backup Withholding % for a Independent contractor with no TIN or Bad TIN |
28% |
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W-9 |
Request for TIN and Certification |
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How much is it when you fail to report a new hire? |
$25 |
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FLSA |
Fair Labor Standards Act |
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Federal Minimum Wage |
$7.25 per hour |
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How many $ of tips do you have to make per month to receive tip wage |
$30 |
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What is the Tip pay hourly rate |
$2.13 |
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How many hours can employers take tip credit? |
all hours worked, but do not get overtime premium |
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What is the tip credit dollar amount for the employer? |
$5.12 |
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Regular rate of pay equasion |
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shift differential |
an amount added to an hourly rate to compensate an employee for working an evening, a late night, or other undesirable shift. The FLSA does not require that shift differentials be paid |
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Nondiscretionary bonuses |
are contractual or agreed-upon bonuses or incentives related to production, efficiency, attendance, quality, or some other measure of performance. If a bonus cannot be tied to specific work done, it must be allocated evenly to each workweek or to each hour worked during the period for which the bonus was paid, whichever method better fits the work situation |
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Retroactive pay |
pay for time worked in a previous workweek. Retroactive pay must be applied to both regular and overtime hours. This is true when the retroactive pay is in the form of an hourly increase, or in the form of a lump-sum payment that must be allocated to weeks or hours worked in the same way as a nondiscretionary bonus. |
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Is a gift added to regular pay |
No |
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Is PTO part of regular pay |
NO |
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Definition of the Workweek |
The workweek does not have to be the same as a calendar week or begin at the start of a day. However, the workweek must include seven consecutive 24-hour periods. |
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Requirements for a Changing Workweek |
1. Add overlapping days to the old workweek, then calculate overtime hours and pay for both the old and new workweeks.
2. Add overlapping days to the new workweek, then calculate overtime hours and pay for both the old and new workweeks. 3. Pay the employee the greater amount from Step 1 or Step 2. |
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8/80 Rule |
Hospitals and Nursing Homes |
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8/80 rule allows |
The law allows such employers to use a 14-day period, rather than a workweek, for determining overtime compensation. Additionally, this extended period can be used for different groups of employees as the employer sees fit. |
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Conditions to 8/80 rule |
1. There must be an agreement or understanding between the employer and the employees that the 14-day period will be used before work is performed, and there must be a record of the agreement.
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Conditions to 8/80 rule |
The employer must pay employees covered by the agreement or understanding at least 1½ times their regular rate of pay for all hours worked over eight in a day or 80 in the 14-day period, whichever would result in higher pay for the employee. |
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employee's portion of Medicare taxes |
1.45% from all wages |
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How much until the excess medicare kicks in |
$200,000.00 |
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What is the additional medicare percentage for over 200,000? |
0.9% |
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Gross Up formula |
Desired net payment/ 100%- Total % all taxes paid |
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What is the gross up percentage for Federal & FICA? NET/? |
67.35% |
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Limit per month for passes, commuter highway vehicle and farecards. |
The excluded benefit is limited to a value of $130 per month in 2014 for transportation in a commuter highway vehicle and employer-provided passes, tokens, or fare cards. |
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Vanpool Requirements |
1. at least 80% of the vehicle's mileage can be expected to be for commuting; and
2. at least one-half of the vehicle's seating capacity (excluding the driver) is used by employees; |
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Distance test |
The new workplace must be at least 50 miles farther from the employee's old residence than the previous workplace was. If there was no previous workplace, the new workplace must be at least 50 miles from the employee's old residence. The distance measured by this test is the shortest of the most commonly used routes between the two points. |
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Time test. |
During the 12-month period immediately following the move, the employer must reasonably expect that the employee must work full-time for at least 39 weeks in the general location of the new workplace |
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2 types of deductible moving expenses |
Transportation of household goods Expenses of traveling from old home to new home. |
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The mileage rate for moving expenses for 2014 is |
$0.235 per mile. |
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Total tax free employer paid parking |
greater than $250/month |
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Total employee paid commuter fees taxable |
excess of $130/month |
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Bike monthly non tax amount |
$20 |
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What portion of GTL is taxable |
over $50,000 |
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Educational assistance taxed? |
no |
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Qualified Discounts on Employer goods Taxed? |
No |
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Total non job related educational assistance allowed under qualified plan? |
up to $5,250 under a qualified plan |
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How many years for service award |
5 |
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General Valuation Method |
Under the general valuation method, the fair market value of a company-provided vehicle is the amount an individual would pay to lease the same or a comparable vehicle in an arm's length transaction in the same geographic area for the same length of time. |
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Commuting valuation method. |
allows an employer to value an employee's personal commuting use of an employer-provided vehicle at $1.50 per one-way commute and $3.00 per round trip |
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conditions of commuting valuation method |
1. The vehicle is owned or leased by the employer and is provided to the employee for use in connection with the employer's business.
2. The employer, for noncompensatory business reasons, requires the employee to commute to and/or from work in the vehicle. |
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conditions of commuting valuation method |
1. The employer has a written policy prohibiting the employee from using the vehicle for personal use other than commuting or de minimis personal errands, and the policy is enforced.
2. The employee is not a control employee. |
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Vehicle cents-per-mile method.
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The business standard mileage rate is $0.56 per mile in 2014. |
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Lookback Period |
12-month period |
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12-month period the lookback period is |
July 1, 2012–June 30, 2013 |
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Monthly Depositor lookback period |
monthly depositors if the amount of nonpayroll withheld income tax liability accumulated in the lookback period is $50,000 or less; |
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Semiweekly lookback period |
* semiweekly depositors if the amount of accumulated nonpayroll withheld taxes exceeds $50,000.
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Monthly depositors (i.e., employers with $50,000 or less in employment tax liability during the lookback period) must deposit their accumulated tax liability for each calendar month by |
the 15th of the following month |
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Semi-Weekly depositors pay date on Wed, Thurs, and Fri. Deposit when? |
The next Wednesday |
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Semi-Weekly deposit pay date on Sat, Sun, Mon, and Tues deposit when? |
By the next Wednesday |
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Impact of One-Day-Rule on Monthly Depositors |
becomes a semiweekly depositor for the remainder of the current calendar year and the entire next calendar year |
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Components of a tax deposit |
* federal income tax withheld from the employees' wages or paid by the employer,
* social security tax withheld from the employees' wages or paid by the employer, * Medicare tax withheld from the employees' wages or paid by the employer, * the employer's share of social security tax, and * the employer's share of Medicare tax. |
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EFTPS |
Electronic Federal Tax Payment System |
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Form 944, |
Employer's Annual Tax Return |
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form 944 filers have a history of annual tax liabilities of |
of $1,000 or less. |
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Form 941 |
Employer's Quarterly Federal Tax Return |
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Payments with the employer's Form 941 should be made by including Form |
Form 941-V |
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Form 941-V |
Form 941 Payment Voucher |
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Form 940 |
Employer’s ANNUAL Federal Unemployment (FUTA) Tax Return. |
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Schedule A (Form 940 |
Multi-State Employer and Credit Reduction Information |
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Schedule B (Form 941) |
Record of Federal Tax Liability, |
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Schedule D (Form 941) |
, Report of Discrepancies Caused by Acquisitions, Statutory Mergers, or Consolidations, |
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Schedule R (Form 940) |
Allocation Schedule for Aggregate Form 940 Filers |
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Schedule R (Form 941) |
Allocation Schedule for Aggregate Form 941 Filers |
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Form W-3 |
ransmittal of Wage and Tax Statements, is filed along with paper Forms W-2 with the SSA. Employers can file paper Forms W-2 and Form W-3 with the SSA only if the total number ofForms W-2 is less than 250. If 250 or more paper Forms W-2 are filed with the SSA, the IRS will penalize the employer up to $100 for each form filed on paper in excess of 249. |
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Employers pay the FUTA tax on their employees' wages at the rate of |
6.0% |
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The rate is applied to the first ? of an employees covered wages in a year |
$7,000 |
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Employers can receive a credit against their FUTA tax rate of up to |
5.4% |
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Employers receiving the full credit have an effective FUTA tax rate of |
0.6% |
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each employee receiving at least $7,000 of covered wages employers with full credit pay how many dollars yearly? |
$7,000 x 0.006 = $42 |
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"90%" or "normal" credit. |
he normal credit against FUTA tax liability equals the amount of an employer's required contributions paid in a timely manner into a certified state unemployment insurance fund. It is also called the 90% credit because the amount of the credit is limited to 90% of the basic 6.0% FUTA tax rate or 5.4% |
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Calculate FUTA Tax Liability Rate: |
6.0% |
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FUTA base |
7000 |
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Credit? |
5.4% reduction |
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Effective rate of with full credit |
.06% |
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Form 940 |
Employer's Annual Federal Unemployment (FUTA) Tax Return. |
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Form 945 |
Annual Return of Withheld Federal Income Tax |