| |
Payroll Hawaii, Unique Aspects Of Hawaii Payroll Law And Practice
By Charles J. Read
The State Agency that oversees the collection and reporting of State income taxes deducted from payroll checks is:
Department of Taxation
Withholding Tax
P.O. Box 3827
Honolulu, Hi 96812-3827
808-587-4242
www.state.hi.us/tax/tax.html
Hawaii requires that you use form "HW-4, Employee's Withholding Exemption and Status Certificate" instead of a Federal W-4 Form for State Income Tax Withholding.
Not all states allow salary reductions made under Section 125 cafeteria plans or 401(k) to be treated in the same manner as the IRS code allows. In cafeteria plans are: not taxable for income tax calculation; taxable for unemployment insurance purposes. 401(k) plan deferrals are: not taxable for income taxes; taxable for unemployment purposes.
In supplemental wages are required to be aggregated for the state income tax withholding calculation.
You may not file your State W-2s by magnetic media.
The State Unemployment Insurance Agency is:
The Department of Labor and Industrial Relations
Unemployment Insurance Division
830 Punchbowl St.
Honolulu, HI 96813
808-586-8970
http://hawaii.gov/labor/
The state of taxable wage base for unemployed purposes is wages up to $30, 200.
Hawaii has optional reporting of quarterly wages on magnetic media.
Unemployment records must be retained in for a minimum period of five years. This information generally includes: name; social security number; dates of hire, rehire and termination; wages by period; payroll pay periods and pay dates; date and circumstances of termination.
The State Agency charged with enforcing the state wage and hour laws is:
The Department of Labor and Industrial Relations
Enforcement Division
830 Punchbowl St., Rm. 340
Honolulu, HI 96813
808-586-8777
http://hawaii.gov/labor/wsd/index.shtml
The minimum wage in is $6.25 per hour.
The general provision in concerning paying overtime in a non-FLSA covered employer is one and one half times regular rate after 40-hour week.
Hawaii State new hire reporting requirements are that every employer must report every new hire and rehire. The employer must report the federally required elements of:
Employee's name
Employee's address
Employee's social security number
Employer's name
Employer's address
Employer's Federal Employer Identification Number (EIN)
This information must be reported within 20 days of the hiring or rehiring.
The information can be sent as a W4 or equivalent by mail, fax or electronically.
There is a $25.00 penalty for a late report in Hawaii.
The new hire reporting agency can be reached at 808-692-7029.
Hawaii does allow compulsory direct deposit except for State employees hired after 7/1/1998.
Hawaii requires the following information on an employee's pay stub:
Gross and Net Earnings
pay period dates
payment date
itemized deductions
Hawaii requires that employee be paid no less often than semimonthly; monthly if union contract or director of labor relations allows..
Hawaii requires that the lag time between the end of the pay period and the payment of wages to the employee not
$625+ Flights from Denver to Honolulu - Save 20%*
Save even more on flights and hotels on your trip from Denver to Honolulu , even if you are traveling at the last minute!
$755+ Flights from Denver to Kona - Save 20%*
Save even more on flights and hotels on your trip from Denver to Kona , even if you are traveling at the last minute!
$755+ Flights from Denver to Lihue, Kauai - Save 20%*
Save even more on flights and hotels on your trip from Denver to Lihue, Kauai , even if you are traveling at the last minute!
$755+ Flights from Denver to Kahului, Maui - Save 10%*
Save even more on flights and hotels on your trip from Denver to Kahului, Maui , even if you are traveling at the last minute!
*Savings based on round-trip fares sold to the city pair by Travelocity in the last 30 days.
Visit Travelocity for these and other great deals! 09/07/2010
exceed seven days; up to 15 if the director of labor relations allows.
Hawaii payroll law requires that involuntarily terminated employees must be paid their final pay immediately or the next working day if immediately is impossible. The next regular payday if suspended due to a labor dispute or temporarily laid off.
Voluntarily terminated employees must be paid their final pay by the next regular payday or by mail if employee requests it; immediately if one pay period's notice is given.
Deceased employee's wages up to $2000.00 must be paid to the surviving spouse or adult children (in that order) within 30 days. Conditions require an affidavit of relationship and a receipt.
Escheat laws in require that unclaimed wages be paid over to the state after one year.
The employer is further required in to keep a record of the wages abandoned and turned over to the state for a period of five years.
Hawaii payroll law provides for a maximum tip credit against minimum wage of $0.25.
In the payroll laws covering mandatory rest or meal breaks are only that minors under 16 must have a 30-minute meal period after five hours of work.
There is no provision in law concerning record retention of wage and hour records therefor it is probably wise to follow FLSA guidelines.
The agency charged with enforcing Child Support Orders and laws is:
Child Support Enforcement Agency
Department of the Attorney General
601 Kamokila Blvd., Ste 251
Kapolei, HI 96707
808-587-4250
http://hawaii.gov/ag/csea
.
Hawaii has the following provisions for child support deductions:
When to start Withholding? first pay period within 7 days of mailing
When to send Payment? Within 5 days of Payday.
When to send Termination Notice? Immediately
Maximum Administrative Fee? $2 per payment
Withholding Limits? Federal Rules under CCPA.
Please note that this article is not updated for changes that can and will happen from time to time.Article Source: http://www.ArticleJoe.com Charles J. Read, CPA has been in the payroll, accounting and tax business for 30 years, the last fifteen in private practice. Mr. Read is the author of "Tax and Accounting Issues in Forming a New Business."To find professional payroll services at a budget price go to www.payrollonabudget.com a paperless payroll company.For a full service payroll bureau with CPA's on staff visit www.CustomPayroll.com .See an excerpt of Mr. Read's interviews from William Shatner's "Heartbeat of America" television show on the web sites linked above.
|
|
