California Required Employment Paperwork for 2012

Starting January 1st 2012, all employers in California should have added a few more pages to their new hire paperwork. Non-exempt workers in CA must receive a notice from their employer when hired, which outlines Labor Code section 2810.5. The paperwork explains that they employee is non-exempt (eligible for overtime pay) and lists their overtime […]

1099 Misclassification Penalties in CA, new 2012

The California law SB 459 is effective January 1st 2012. In short, a company may be fined an additional $5,000 to $25,000 for the willful misclassification of 1099 or Independent Contractors. For employers it is a good time to ensure the policies for engaging Independent Contracts are in line with the law and standardized across […]

Future of Job Hunting and Candidate Searching?

Does anyone utilize professional resume writers or coaches anymore? With a large pool of unemployed and qualified workers, it seems like a main factor in securing a new job is standing out to the hiring manager(s). Not to complicate the process, but now there are peer reviews, resumes, virtual and video resumes, personal/professional networking referrals, […]

Proposed Changes: 1099 Independent Contractor Classification and Misclassification Penalties

Last year the House of Representatives and the Senate introduced two proposals directed at 1099 (Independent Contractor) classification. The legislation, which is backed by the White House, targets current grey areas with Independent Contractor classification, enforcement, and penalties. The following are overviews of the two Acts. The Fair Playing Field Act of 2010 introduced by both […]

2011 Employee 2% Payroll Tax Decrease

In December 2010, the IRS released information on the 2011 payroll tax grid. The main change to take note of is a 2.0% tax decrease for Social Security (the employee portion). For 2011 the employee rate will be 4.2%; however, the employer portion remains unchanged at 6.20%. Limits for Social Security and Federal Unemployment is […]

1099 Contractor Classification and Exempt Status

With changing labor costs, requirements, and companies fearing the unknown future increases in employment costs; many employers see the utilization of 1099s or independent contractors as a method to control human capital spend. However, many employers misclassify workers as 1099s when in fact they are W-2 status workers. This misclassification has been well documented since […]