audit for independent contractor misclassification

Independent Contractors vs. Employees: A Critical Distinction

“Can I just classify this person as an independent contractor and issue a 1099? It’s so much easier than doing all of that paperwork! What’s the big deal?” If you have found yourself having thoughts like this, keep reading. Misclassification of a worker as an independent contractor IS a big deal. When the IRS or…

young-business-professionals

Exempt Employee Status: It’s NOT Just Salary vs. Hourly

Exempt vs. Non-Exempt Classification is More Complex Than You Might Think If you pay an employee a salary, rather than paying them hourly, that means you don’t have to track their hours or pay overtime if they work over 40 hours per week (or 8 per day in California), right? FALSE. Per the Fair Labor…

Greed for money

Does Your Bonus System Come with a Warning Label and a Separate Bonus Policy?

Most businesses fail to implement a policy governing their bonus systems, and this is getting smaller employers into trouble when it comes to calculating employee paychecks in compliance with wage and hour laws. We find that employers often don’t realize that bonus systems/programs are subject to wage and hour rules. In fact, most employers aren’t…

travel time pay

When is Travel or Seminar Attendance Compensable?

Understanding Training and Travel Pay Rules for Non-exempt Employees Are you taking your team to any seminars or CE events this year? Compensating non-exempt employees for training and travel is a tricky subject, and many healthcare practice owners and managers don’t realize you cannot create your own rules. Federal law governs every aspect of when…

paid time off vacation

Paid Time Off (PTO)

Employers often have questions about PTO, including whether you must offer it, what types of time off the PTO category should include, and what enforcements can be placed upon its use. Here are some answers. Accrued vacation pay is the amount that has been earned by the employee by working, but has not yet been…

binder labeled overtime

Overtime and Bonuses: What You NEED to Know to Pay Properly

This ESS trainer is the second in a 2-part series on correctly calculating overtime, especially when bonuses or commissions are involved. Read part one here. Here at CEDR, we often hear variants of the following from employers who think they can exclude bonuses when calculating overtime: I’ve been directed to call my bonuses and other…

woman about to work overtime

Overtime: Getting it Right

This ESS trainer is the first in a 2-part series on correctly calculating overtime, especially when bonuses or commissions are involved. Most employers want to pay their employees properly. But we find that many employers still do not understand the rules on hourly pay and overtime. Worse, they rely heavily on payroll companies and bookkeepers…who…

man hiding from paperwork

How Can You Avoid Paying Unemployment?

NOT by avoiding the paperwork! Here at CEDR, we used to joke that you could fire an employee for shooting you in the leg, but unless you could provide video, two witnesses, and a doctor’s note at the unemployment hearing, the employee would still win. And this was true whether you had one employee or…