0
What else can I help you with?
Is it legal for an employer to report more paid to an employee on their tax forms than he is acutally paying the employee?
He must report many things you may not consider as compensation...not just what you receive on your paycheck. (And what each type of tax - Federal, State, FICA, unemployment, etc, consider compensation changes with each...so the amount he reports to each will normally be different). This happens to virtually everyone. And of course, as he is liable to pay over the correct withholding for the amount of compensation, and the employer portion of FICA (substantial), UI, disability, etc., etc., on what he reports as compensation, and gets no benefit anywhere I can think of for inflating it - he would have no reason to do so anyway.
Is group life insurance deductible as a business expense?
An employer's contribution to a group insurance plan is deductible as a business expense. This benefit is not taxable to the employee. An employee may not deduct a portion of the premium he cost shares with his/her employer. Typically a group benefit plan includes drug and dental coverage, lfe and long term disability . Where there may be cost sharing of the premium, an employer's contribution shoud always be to the health and dental portion. If any part of the premium for the long term disability is paid for by the employer, should the employee become disabled, then that benefit (usually up to 67% of the pre-disability earnings) would be taxable in the hands of the employee.
What is backloaded compensation?
Backloaded compensation refers to a compensation structure where a significant portion of an employee's pay is deferred to a later date, often contingent on performance metrics or tenure. This can include bonuses, stock options, or retirement benefits that are awarded after a certain period or upon achieving specific goals. This approach aligns employee incentives with long-term company performance, encouraging retention and sustained productivity. However, it can also lead to dissatisfaction if employees feel undervalued in the short term.
What is the accounting treatment for employee stock ownership plan?
a. In respect of options granted during any accounting period, the accounting value of the options shall be treated as another form of employee compensation in the financial statements of the company. b. The accounting value of options shall be equal to the aggregate, over all employee stock options granted during the accounting period, of the fair value of the option. For this purpose: - 1. Fair value means the option discount, or if the company so chooses, the value of the option using the Black scholes formula or other similar valuation method. 2. Option discount means the excess of the market price of the share 3. At the date of grant of the option under ESOS over the exercise price of the option (including up-front payment, if any c. Where the accounting value is accounted for as employee compensation in accordance with 'b' the amount shall be amortized on a straight - line basis over the vesting period. d. When an un -invested option lapses by virtue of the employee not conforming to the vesting conditions after the accounting value of the options has already been accounted for as employee compensation, this accounting treatment shall be reversed by a credit to employee compensation expense equal to the amortized portion of the accounting value of the lapsed options and a credit to deferred employee compensation expense equal to the un-amortized portion. When a vested option lapses on expiry of the lapsed period, after the fair value of the option has already been accounted for as employee compensation, this accounting treatment shall be reversed by a credit to employee compensation expense. Sanjay K Jha (9911135009)
Do directors receive all or a portion of their compensation in the form of equity?
It depends on the company as to whether directors receive all or a portion of their compensation in the form of equity. Some directors may not receive equity at all.
What factors do you consider while planning their incentives?
The incentive portion of an employee's compensation plan should be: 1) Based on something measurable and under the employee's control. 2) Aimed at accomplishing management's goal(s). 3) A significant financial reward in relation to the effort required to obtain it. 4) Realistically obtainable. 5) Graduated so the employee receives some portion of the incentive if they get close to the goal (perhaps they receive 25% of the incentive if they hit 80% of the goal; 50% of the incentive at 90%, etc.) 6) Paid in a timely manner. 7) Evaluate in advance the incentive paid at the highest and lowest level of performance and determine if that produces the desired level of total compensation. 8) The incentive should be designed and presented in such a way that it is motivational to the employee.
Is an employer responsible for continuing health insurance coverage if an employee is out on workers compensation claim?
I don't know anything in the Code that requires it. The EmployER application for Group Medical Coverage asks if an Employer would like to allow an employee to keep coverage for up to 6 months. What if the Employer is only paying a portion of the premium? The Employee would still have to pay his portion. For a copy of the Blue Cross employer application Question # 10 http://www.quotit.net/eproIFP/webpages/applications/applications_group.asp?license_no=0596610 There is always COBRA
Is PF to be paid by the company into the employees account is deducted from employees salary?
No, the Provident Fund (PF) contribution is not directly deducted from the employee's salary. Instead, it is a statutory benefit where both the employer and employee contribute a percentage of the employee's basic salary to the Provident Fund account. The employer's contribution is a separate contribution made by the company, while the employee's portion is typically deducted from their salary before it is disbursed.
What portion of payment is made for the employee for benefits at JCPenney full time employee?
At JCPenney, full-time employees typically receive a benefits package that includes health insurance, retirement plans, and various other perks. While the exact portion of payment made for these benefits can vary, it is generally estimated that employers cover a significant percentage of the total benefits cost, which can range from 30% to 50% of the employee's total compensation. For specific numbers, it’s best to consult JCPenney's official resources or HR department for the most accurate and current information.
Can there be allowable variances in a FICA Withholding?
No. FICA is a straight percentage of salary or wages. The employee Social Security portion (6.2%) stops after the employye reaches the maximum salary ($102,000 in 2008). The employee Medicare portion (1.45%) does not have a miximum.
What is the best definition of the withholding?
The portion of gross pay that an employer deducts from an employee's paycheck each pay period.
What is a best definition of withholding?
The portion of gross pay that an employer deducts from an employee's paycheck each pay period.
