What is a Household Employee?

A ‘Household Employee’ as defined and explained by Investopedia.com, is an individual who is paid to provide a service within a residence.  Some examples include babysitters, nannies and housekeepers.  Independent contractors such as repairmen and plumbers are not considered household employees. Investopedia explains ‘Household Employee’ The Internal Revenue Service distinguishes between household employees and independent […]

Classification of ‘Exempt’ and ‘Non-Exempt’ employee

Employers must classify an employee’s job as either Exempt or Non-Exempt as required by The Fair Labor Standards Act (FLSA). What makes these employees different? The difference is the way the employees are compensated and how their positions are structured. Exempt employment positions are excluded from minimum wage, overtime regulations, and other rights and protective […]

What is an Agricultural Employee?

According to the U.S. Department of Labor, Agriculture includes farming in all its branches when performed by a farmer or on a farm as an incident to or in conjunction with such farming operations. Virtually all employees engaged in agriculture are covered by the Fair Labor Standards Act (FLSA) in that they produce goods for […]

As a Business Owner, Why Should I Use Direct Deposit?

You may ask yourself why use direct deposit for issuing checks to my employees. There are several reasons. The main reason a business may want to use direct deposit is obviously the one that affects them the most, cost. You no longer have to pay someone or use your own valuable time to fill in […]

Why Did My FUTA Liability Go Up at the End of the Year?

Just when you thought you were done paying FUTA tax on your employees for the year your accountant tells you that you need to pay a few more dollars for all of your employees. Why did this happen? FUTA is paid by you, as an employer, at a rate of 6.0% on the first $7000 […]

How do you correct “RF or end of file was reached before RW records were processed?”

The RW records in the electronic file contain the Employee Wage information. The RF record is the final record of the file. Apparently, the electronic file that was sent did not contain any wage information. Please recreate the file and check with our Viewer (E-Filer>Utilties>View E-File Direct Jobs) to verify that the file does contain […]