Is the employer responsible for paying payroll taxes?
Payroll taxes (are those taxes you have to consider when you pay employees, so they depend on your payroll. Some of these taxes are withheld from employee pay, and others are your responsibility as an employer. The term ” withholding ” means that you are deducting these payments from employee paychecks,…
Can a employer hold an employee financially responsible?
Generally, no. The leading case on that issue is the Kerr’s Catering case, which essentially holds that employers may not hold employees accountable for losses, shortages, or breakage occasioned by simple employee negligence or error.
How much does an employer have to pay for shared responsibility?
For example, if an employer offered a health plan that did not meet the minimum value standard to its 300 full-time employees in 2016 and 12 of those employees purchased coverage on the marketplace with premium tax credits, the employer’s shared-responsibility payment for 2016 would be $38,880 (12 full-time employees × $3,240).
What are the duties and responsibilities of an employer?
Having an understanding of these responsibilities will help you in making certain that you comply with the law. All employers must: Collect information from employees on a W-4 form when the employee is hired, so you can withhold federal income taxes as the employee directs.
Who is responsible for paying taxes on behalf of the employer?
For the most part, the employer withholds these taxes on behalf of their employees, but in cases where an employer does not do this, or where an employee is self-employed, it is the responsibility of the employee to pay these withholding taxes.
When does an employer need to pay shared responsibility?
Even if an ALE member offers minimum essential coverage to at least 95 percent of its full-time employees (and their dependents), it may owe the second type of employer shared responsibility payment for each full-time employee who receives the premium tax credit for purchasing coverage through the Marketplace.
Generally, no. The leading case on that issue is the Kerr’s Catering case, which essentially holds that employers may not hold employees accountable for losses, shortages, or breakage occasioned by simple employee negligence or error.
What are the laws on employers holding paychecks?
Federal Labor Laws on Employers Holding Paychecks. The Fair Labor Standards Act offers federal protections against the unlawful withholding of an employee paycheck. Employers are permitted to make lawful deductions from a final paycheck, but must also include all due overtime and wages pay.