As with every New Year, there are some changes that you’re company should be aware of with regards to payroll. The following are some things you need to know about payroll in 2014.
Mileage Reimbursement Rates Reduced
Beginning on January 1, 2014, the IRS announced that the mileage rate for reimbursing employees' business travel in their own cars decreased from 56.5 cents to 56 cents. And the mileage rate for job-related moving expenses decreased from 24 cents to 23.5 cents. Employers using the current IRS rates should adjust their reimbursement rates accordingly to avoid having to include the extra half cent in its employees' income.
Social Security Wage Base Will Go to $117,000
The Social Security Administration has announced that the 2014 social security wage base will be $117,000, an increase of $3,300 from the 2013 wage base of $113,700, and $1,500 more than the SSA trustees estimated in their annual report. The maximum social security tax employees and employers will each pay in 2014 is $7,254.00, an increase of $204.60. The threshold for FICA tax coverage for domestic employees will be $1,900 in 2014, up from $1,800 in 2013; for election workers the threshold will be $1,600, unchanged from 2013. (Source: https://payroll.org/)
New Forms and Guides for Employers
The IRS Issued new W-4 and W-2 2014 forms for 2014, as well as new employer’s tax guide information. For your convenience, you can download them here:
- 2014 Form W-4, Employee's Withholding Allowance Certificate
- Form W-2, Wage and Tax Statement (along with instructions)
- Publication 15, Circular E, Employer's Tax Guide
- Supplements to Circular E - Employer's Supplemental Tax Guide, Publication 15-A
- Employer's Tax Guide to Fringe Benefits, Publication 15-B
To say on-top-of the latest in payroll, please ask us or check the resources pages/blog of the CPP website frequently. Complete Payroll Processing is a premier payroll company that serves Buffalo, Rochester, Syracuse and various other cities in New York State. Please let us know how we may be of service to you.
Source: https://payroll.org/