December brings many things to look forward to each year, and for many employees, excitement in December bubbles around highly anticipated holiday bonuses. To employers, it is a way to show employees how much their work is appreciated and how they are valued by the company. To employees, it is a way to wrap the year up on a positive note, with a little extra “green” lining their pockets to either spend on themselves or on loved ones. But how are these bonuses viewed in the eyes of the IRS? Both employers and employees need to make sure they are clear on if and how these bonuses can be taxed so they know how this gesture of generosity will have an affect on their workforce and bottom line.
Beginning in 2018, the Internal Revenue Service (IRS) increased the Health Flexible Savings (FSA) contribution limit. In Revenue Procedure 2017-58, released in October, the salary reduction contribution limit has been raised by $50, resulting in a total of $2,650 for 2018.
Since Hurricanes Harvey and Irma hit the southeastern U.S, many people were either displaced or injured, which has forced many to miss work. One of the top questions many employees have post-hurricane or natural disasters is if they’re eligible for Family and Medical Leave Act (FMLA) leave. FMLA can be a complicated act to understand with varying requirements depending on what kind of injury or illness is happening.
The answer is multi-faceted and dependent on circumstances. There are many criteria to meet the ability to be granted FMLA leave. Employers are required to grant leave to employees only if they employ more than 50 employees for each business day for 20 or more calendar weeks in the year. FMLA is an employee benefit that can be incredibly helpful when disaster or injury strikes.
FMLA grants differing amounts of time depending on the illness or injury incurred. The amount of time granted to employees if their employer meets these criteria is up to 12 weeks for a 12-month period. Employees are eligible if they have: