Volume VII, Issue 8

50% Savings on FSA Set up until November 23rd*

Not just another FSA administrator

When asked, Kellye, one of Payroll Systems' FSA claims experts, related what makes the difference to clients. “Our clients don’t have two vendors to juggle, they have one phone number to call to get their payroll and FSA questions answered, and FSA information is updated as payroll is processed."

How it works:
An employee, Tim, resigns on 10/19/2011 and at the time of issuing a manual check for accrued time off and wages due, you update Tim's employment status to terminated effective 10/19/11. Tim also has an address change and you make all the changes in payroll. At the same time, Tim's FSA account information (address and status) is also updated.


 

Single entry of information:
When clients term an employee in payroll, his/her FSA benefits are also termed, see this month's blog, COBRA & FSA. In addition, any payroll updates to the social security number, address, direct deposit, or dependents, integrate with FSA administration.

 

Service for your employees:
Claims are not just approved or denied without explanation. For each denied or pending claim the employee receives the reason the claim was denied or on hold and the requirements to complete processing. Employees are never left wondering and employers are never left to handle these details.


 

Paperless:
Reduce resources consumed by using direct deposit, paperless claims processing, and online open enrollment. No paper forms or faxing, everything is online, real time, and at your fingertips.

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Stay ahead of the game
with W-2 Audits
To help prepare our clients for end of year, customers will receive a W-2 Edit Report in their November payroll packets.
Use this report to verify:

• Name
• Social Security Number
• Address

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Ooops! An employer forgets to pay overtime

Q: Is a manual check needed?

A: No, overtime wages can be included on the next pay check.
Per California Labor Code Section 204 and 226 overtime wages must be paid no later than the payday for the next regular pay period following the payroll period in which the overtime wages were earned. The employer will be in compliance if the overtime hours are recorded as a correction on the check stub and include the dates of the pay period for which the correction is made.
This does not apply to regular hourly wages. Section 204 provides specific time periods in which nonexempt employees must be paid:

Pay Period: 1st - 15th, must be paid by 26th of same month

Pay Period: 16th - end of month, must be paid by the 10th of the followiing month

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What do I pay?
Multiple states and multiple minimum wages

Most employers in California are subject to both federal and state minimum wage laws. When there are conflicting requirements in the laws, the employer must follow the stricter standard that provides the greatest benefit to the employee. California requires a higher minimum wage than federal, so unless exempt under California law, the higher minimum wage applies (note San Francisco has a higher minimum than mandated by the state.)

What about tips?
Each state handles tips differently. Some states allow employers to pay less than minimum wage if the tips reported combined with the wages paid equal at least that state's minimum wage, others like California require the employer to pay minimum wage regardless of tips earned.

Different work state than home address
It’s important to follow the minimum wage requirement of your state (or city) and know the difference. Note some employees might live in a different state than they work and it’s important to apply the correct regulations of the work state.

See the Department of Labor Wage and Hour Division for a quick reference tool:
Minimum Wage Map

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Our Website has a
New Look!
Although our web address remains the same, we've updated our Manager Resources and Employee Login pages. Services, such as Payroll, Time Clock, and HR Support now have streamlined icons. Also added are quicklinks to our most common used forms, such as Direct Deposit or FSA Eligible Expenses.

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To ensure your payroll is processed the same day we receive it,
you must submit your payroll information no later than 1:00 PM.

Payroll Systems. World Class Customer Service Since 1989.