2020 Vision
HR Updates for the New Year
Katherine Williams, Esq.
Featured Writer
2020 will mark a lot of big employment law changes both at a federal and state level, to prepare, we would like to offer a few suggestions and reminders:
Effective January 1, 2020, a final rule issued September 24, 2019, by the US Department of Labor (DOL) amends the Fair Labor Standards Act (FLSA) regulations to Increase the minimum annual salary for most exempt employees paid on a salary basis from its current level of $455 per week (or $23,660 per year) to $684 per week (or $35,568 per year). For more information regarding the changes refer to the FLSA Website at: https://www.dol.gov/whd/overtime2019/
Remember in 2020 all new hires will have to complete the NEW federal W4 forms. A copy of the NEW W4 Form can be found at the IRS’s website: https://www.irs.gov/forms-instructions
Employers who filed 250 or more Forms W-2 for the prior calendar year must include the cost of employer-sponsored health plan coverage on employees’ Forms W-2. For more information: https://www.irs.gov/affordable-care-act/form-w-2-reporting-of-employer-sponsored-health-coverage
W-2’s must be distributed by January 31st to employees. Employees don’t technically have to have W-2’s in hand, but at a minimum, the envelope must bear an official January 31st or earlier postmark. W-2’s can also be electronically distributed. Employees legally have the right to request a paper copy, should they so desire, so keep that in mind if you choose an electronic distribution route.
While January 31st is the deadline for distributing W-2’s to employees, it’s not the actual filing deadline. Employers must file their W-2 and W-3’s by either February 28th (paper returns) or March 31st (electronic filing).
2019 IRS Form 1095-B/1095-C Due to Individuals Pursuant to I.R.C. Section 6055, a self-funded employer (including level-funded) with less than 50 full-time employees must provide 1095-B individual statements to full-time employees covered under their group health plan. Pursuant to I.R.C Section 6056, an Applicable Large Employer (ALE) must provide 1095-C individual statements to full-time employees with specific information relating to each employee‘s offer of coverage for every month during the 2019 year.
As you begin the new year, good housekeeping should include scheduling annual trainings and reviewing and updating your employee handbook. The following states have some kind of training requirements - make sure you’re in compliance with your state:
All deadlines and information provided are according to most recent information provided by the agencies as of December 2019. The information provided in this article does not, and is not intended to, constitute legal advice; instead, all information, content, and materials available in this article are for general informational purposes only. Customers should contact their attorney to obtain advise with respect to any particular legal matter.