Intermediate US Payroll Concepts

By completing this course, you will gain a deeper understanding of the legislation, compliance requirements, and practical considerations that influence US payroll operations. You will learn how to navigate complex payroll scenarios in the USA with confidence and strengthen your ability to support your organisation effectively. 

Topics you will learn include: 

• How to correctly classify workers and understand exemption rules 

• Key Fair Labor Standards Act (FLSA) requirements, including compensable time and limits on employer deductions 

• Rules surrounding taxable and nontaxable compensation, including fringe benefits, tips, sick pay and special payments 

• Multistate taxation requirements for income tax and unemployment insurance 

• How employee benefits affect payroll calculations and reporting 

• Essential federal tax reporting obligations 

• Publicsector–specific payroll considerations 

• How to interpret payroll accounting outputs, including reconciliations and financial statements 

• Techniques for building strong payroll teams, improving communication, and strengthening working relationships 

Worker Classification & Exemptions 

• Statutory employees and nonemployees 

• Section 530 safe harbour rules (reasonable basis, consistent treatment, notice requirements, agency exceptions) 

• Penalties for worker misclassification 

• Employment eligibility verification (EVerify and EVerify+) 

Fair Labor Standards Act (FLSA) Issues 

• Workweek rules and exceptions 

• Compensable time: travel, oncall, sleep time, principal activities, training, medical treatment, volunteer work 

• FLSA limits on employer deductions: uniforms, loans, advances, shortages, union dues, lodging, overpayments 

Taxable & Nontaxable Compensation 

• Noncash fringe benefits and valuation 

• Tips and tip reporting 

• Personal use of company aircraft 

• Employerprovided meals and lodging 

• Educational assistance (job-related and nonjobrelated) 

• Sick pay, thirdparty sick pay, and reporting (Forms W4S and 8922) 

• Memberships, entertainment, workers’ compensation, military differential pay 

• Retiree GTL, leave sharing plans, outplacement services, back pay, and gift cards 

MultiState Taxation Rules 

• State income tax rules: residency, nexus, reciprocity 

• State unemployment tax: multistate workers, experience ratings, wage bases, voluntary contributions, combined accounts 

Benefits’ Impact on Payroll 

• COBRA 

• Cafeteria plans and FSAs (grace periods, carryovers, dependent care) 

• Deferred compensation: DB/DC plans, 401(k), profit-sharing 

Federal Tax Reporting 

• W2 reporting of health coverage 

• Bankruptcy impacts on payroll reporting 

• Form 945 requirements 

Public Sector Employer Issues 

• FLSA exceptions for the public sector 

• Retirement and savings plans: 457(b) and 403(b) 

• Payroll considerations for election workers, jurors, and elected officials 

• Social Security and Medicare taxes (Section 218 agreements, mandatory Medicare, student FICA exemptions) 

Payroll Accounting 

• Reconciliations and labour distribution 

• Employee benefit cost statements 

• Financial statements: balance sheet, income statement, cash flow, notes 

Payroll Relationship Dynamics 

• Team development and personality types 

• Building a successful payroll team 

• Influential communication 

• Managing diversity and communicating effectively in meetings 

The course is the second step in our US payroll progression series, so to receive the full benefits we recommend that participants should have: 

• Foundational payroll knowledge or experience of administering payroll in the United States of America 

• Ideally have completed the first course of this series: US Payroll Practice Essentials 

• Delivery: Virtual classroom 

• Duration: This course is delivered over six online sessions of two hours, scheduled for consecutive weeks (12 hours) 

• Timing: 15:30 to 17:30 BST 

Non members: £990 + VAT 

Members: £790 + VAT