Payroll & QuickBooks®  Solutions for Growing Businesses

    April 2009 Newsletter
        
Due Dates:  
April 15 = Monthly Payroll Tax Deposits
April 15 = Quarterly Individual Estimated Tax Payments
April 20 = Monthly and Quarterly Sales Tax
April 30 = State Unemployment and other Quarterly Payroll Reports
May 15  = Property Tax Payment                             
 

COBRA - The 65% Subsidy is recovered on Form 941
    Individuals eligible for COBRA, including those who did not previously select it, may now have 65% of their COBRA premiums covered, reducing their out-of-pocket costs to only 35% of the COBRA premiums.  This is part of the economic stimulus package that was signed into law in February 2009. 
    The employer pays the remaining 65% and deducts these COBRA premium assistance payments on their quarterly payroll Form 941.  This applies to payment beginning on or after February 17, 2009 and lasts for up to nine months.
    Individuals involuntarily terminated from September 1, 2008 through February 16, 2009 who did not elect COBRA when it was first offered OR who did elect COBRA, but are no longer enrolled (for example because they were unable to continue paying the premium) have a new election opportunity.  Minnesota applies COBRA to all group health plans with 2 or more employees in the group.  The subsidy only applies to people involuntarily terminated during a specific time period and does not cover people terminated for gross misconduct.  For more information, see the Fact Sheet: COBRA Premium Reduction.
    To prepare your Quarterly Form 941:  be sure to know the dollar amount of the COBRA 65% premium assistance payments made between February 17, 2009 and March 31, 2009, and the number of former employees for who you made COBRA premium assistance payments for.

A Taste of Tuscany - The Rotary Wine Tour on Tuesday, April 7
Tuesday, April 7 from 5:30 to 8:30 pm, Red Roof Inn, Brainerd MN       Come tease your taste buds on a wide array of wines, beer, scotch, cordials  and non-alcoholic beverages.  Sample delicious hors d'oeuvres.  Silent Auction.   Lightning Live Auction at 6:45pm. 
$35 at the door.  Proceeds benefit youth programs in the Brainerd Lakes area.   

Revised New Hire Form I 9
The U.S. Citizenship and Immigration Services (USCIS) has revised Form I-9, Employment Eligibility Verification (Rev. 02/02/09). Employers must use the revised form on and after April 3, 2009.

Please look over the eligible documents.  Be aware that employers cannot specify which documents they will accept from an employee. The biggest difference in the revised Form I-9 is that all documents presented to you during the verification process must be unexpired. FYI: A Social Security card does not contain a date and is considered unexpired. 

The new Form I 9 can be downloaded from: http://www.uscis.gov/files/form/I-9_IFR_02-02-09.pdf

Minnesota Sales Tax is increasing July 1, 2009
On July 1 the state sales tax rate is increasing from 6.5% to 6.875%.  This is an increase of $3.75 on every $1,000.  Three things to do now:
1.  Consider making any major purchases prior to July 1.
2.  Mention this change in any Quotes, Bids, or Proposals.
3.  Set up the new tax rates in QuickBooks now so you are ready for the transition.  We can help you do this ONLINE - cost is only $10.00.  We'll also be offering several online group  sessions in June.                                                                      Mar. 31, 2009