Understanding Payroll Deductions in 2018: What can and cannot be Deducted from an Employees Wages

Recorded Session
60 Minutes

Once gross pay is calculated, payroll faces harder questions: what must be deducted, what may be deducted and what never can be. This 60-minute payroll deductions training covers the federal and state rules, including how they change for a final paycheck.

Missing a required tax can bring IRS penalties, while an illegal deduction for a fringe benefit or an overpayment can draw federal or state labor department auditors. You'll learn which taxes are mandatory, a courtesy or employee-controlled, and how to process child support, tax levies, creditor garnishments and payday loan assignments, with charts and examples.

The session also covers health insurance under medical support orders, uniforms, meals and lodging, shortages, breakage, overpayments, advanced vacation, loans, employee purchases and anti-wage theft laws.

WHY SHOULD YOU ATTEND?

Deductions must be right on every paycheck, and federal and state rules don't always agree. Questions about uniforms, cash shortages, meals and lodging, overpayments and advanced vacation come up constantly, and the wrong answer can mean penalties or a labor audit.

This session suits HR senior management, benefits managers, attorneys, accountants, third-party administrators, insurance agents and brokers, and employers.

AREA COVERED

Taxes and involuntary deductions

  • Taxes that are mandatory, a courtesy or controlled by the employee
  • Child support limits, with charts and examples for calculating disposable income
  • Federal and state tax levies, with take-home pay examples
  • Creditor garnishments: how many to honor and how often, with charts and examples
  • Voluntary wage assignments for payday loans

Benefits and workplace costs

  • Voluntary and involuntary health insurance and group term life deductions
  • Uniforms: when the employer pays and when the employee furnishes them
  • Meals and lodging as wages, perks or a minimum wage credit
  • Cash shortages and breakage

Recovering money and final pay

  • Recouping overpayments under the FLSA
  • Advanced vacation pay when an employee quits
  • Employee loans and purchases for active and terminated employees
  • Anti-wage theft laws in the states

LEARNING OBJECTIVES

  • Classify tax deductions as mandatory, courtesy or employee-controlled
  • Calculate child support, tax levy and creditor garnishment withholding
  • Decide when payday loan assignments must be honored
  • Process voluntary and involuntary benefit deductions
  • Apply federal and state rules to uniforms, meals, lodging, shortages and breakage
  • Recover overpayments, advanced vacation, loans and purchases lawfully
  • Explain how anti-wage theft laws affect deductions

WHO WILL BENEFIT?

  • HR senior management
  • Benefits manager
  • Attorneys
  • Accountants
  • Third party administrators
  • Insurance agents and brokers
  • Employers

Deductions must be right on every paycheck, and federal and state rules don't always agree. Questions about uniforms, cash shortages, meals and lodging, overpayments and advanced vacation come up constantly, and the wrong answer can mean penalties or a labor audit.

This session suits HR senior management, benefits managers, attorneys, accountants, third-party administrators, insurance agents and brokers, and employers.

Taxes and involuntary deductions

  • Taxes that are mandatory, a courtesy or controlled by the employee
  • Child support limits, with charts and examples for calculating disposable income
  • Federal and state tax levies, with take-home pay examples
  • Creditor garnishments: how many to honor and how often, with charts and examples
  • Voluntary wage assignments for payday loans

Benefits and workplace costs

  • Voluntary and involuntary health insurance and group term life deductions
  • Uniforms: when the employer pays and when the employee furnishes them
  • Meals and lodging as wages, perks or a minimum wage credit
  • Cash shortages and breakage

Recovering money and final pay

  • Recouping overpayments under the FLSA
  • Advanced vacation pay when an employee quits
  • Employee loans and purchases for active and terminated employees
  • Anti-wage theft laws in the states
  • Classify tax deductions as mandatory, courtesy or employee-controlled
  • Calculate child support, tax levy and creditor garnishment withholding
  • Decide when payday loan assignments must be honored
  • Process voluntary and involuntary benefit deductions
  • Apply federal and state rules to uniforms, meals, lodging, shortages and breakage
  • Recover overpayments, advanced vacation, loans and purchases lawfully
  • Explain how anti-wage theft laws affect deductions
  • HR senior management
  • Benefits manager
  • Attorneys
  • Accountants
  • Third party administrators
  • Insurance agents and brokers
  • Employers
Currency:
Webinar Option
Transcript (PDF Transcript of the Training)
Downloadable Recorded Session
USB

Speaker Profile

ins_img Mark Schwartz

Mark Schwartz is an employment tax specialist and has over 15 years of employment tax experience as an independent consultant and as a payroll tax auditor with the State of California. He has managed an audit caseload of 20 ongoing audits, from small home-based businesses to large multi-national corporations. He is expert at defining regulatory and statutory requirements from local, State and Federal government agencies; and helping the average businessperson understand what that mean to their business. He has processed weekly and bi-weekly payroll checks plus tax forms for businesses with hourly as well as exempt workers, multistate operations and …

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