COMMON HOLIDAY PAY QUESTIONS FROM EMPLOYERS
As the holiday season approaches, employers may have questions about how to handle paying their employees during weeks with holidays. Here are some common questions from employers.
If my business is open on a holiday like Thanksgiving Day or Christmas Day, do I have to pay the employees working that day extra for working on a holiday? No. Extra pay for working on a holiday is not required.
Do I have to pay my employees if my business is closed during the workweek for a holiday like Thanksgiving or Christmas Day? It depends, but in general employers are not required to pay employees for time not spent at work, like vacations or holidays.
Hourly employees: In general, hourly employees must be paid only for hours they actually work. If a business is closed for a holiday, an hourly employee does not need to be paid, unless your business has established a different policy.
Salaried employees: Salaried employees are either exempt or not exempt under the Fair Labor Standards Act, and their exemption status determines if they have to be paid when the business is closed for a holiday.
- Exempt employees are salaried employees that receive a salary of at least $684 a week and have higher-level job duties that qualify for one of the five exemptions from overtime for executive, administrative, professional, computer, or outside sales employees. Salaried employees that are exempt must be paid for holidays during the work week if the business is closed. For more information about these exemptions, please visit the US Department of Labor’s website.
- Nonexempt employees are salaried employees whose pay or job duties do not meet the requirements for one of the five exemptions from overtime. Salaried employees who are not exempt do not have to be paid when the business is closed. While some businesses choose to provide paid holidays for non-exempt employees, it is completely the employer’s decision whether to pay non-exempt employees for holidays if the business is closed.
Do I have to pay overtime in a week with a holiday? Only if an employee works more than 40 hours on the other days that your business is open that workweek. If your business is closed for Thanksgiving Day, that day does not count as time worked, and your employees can work up to 40 hours over the other days of the workweek without qualifying for overtime.
This is true even if your business is closed for a holiday but you pay your employees for a full day. For example, if your business is closed on Christmas Day, but you pay your employees for a full day, they can still work up to 40 hours over the other days of the workweek without triggering overtime. Overtime is calculated only on the hours the employee actually works. Hours where the employee is paid but does not work (like a paid holiday) do not count towards the 40 hours.
NEW MANDATORY POSTER ON FEDERAL DISCRIMINATION LAWS
One of the posters that employers are required to post at their workplace is the ‘Equal Employment Opportunity is the Law’ notice that explains employees’ rights under federal discrimination laws. On October 20, 2022, the Equal Employment Opportunity Commission (EEOC) released a new mandatory version of this poster, and it is now called “Know Your Rights: Workplace Discrimination is Illegal.” The updated version of the poster uses easier-to-understand wording to summarize the laws prohibiting job discrimination and explains how employees and job applicants can file a charge with the EEOC if they believe they have experienced discrimination.
As a benefit of your company’s membership in FUBA, you are receiving this new poster at no charge with this newsletter. The poster is two separate pages. Please display both pages over the current EEOC poster at your workplace to be in compliance with the new poster requirement.
STATE TAX FILING DEADLINES EXTENDED DUE TO HURRICANE IAN
The deadline for reporting and paying sales tax and reemployment tax has been extended for businesses in Charlotte, Collier, DeSoto, Hardee, Lee, and Sarasota counties.
- Sales tax: Due dates, including the third quarter of 2022 returns, are extended to November 23, 2022.
- Reemployment tax: Due date for third quarter 2022 quarterly reports and tax payments originally due by October 31st is extended to November 23, 2022.
- Electronic filing: Electronic payment requirements are extended to November 22, 2022 and must be initiated no later than 5:00 pm ET on that day.
Please note, the due date extension applies only to businesses in the counties listed above. Businesses in all other Florida counties must comply with the normal deadlines. For more information, please contact the Florida Department of Revenue at GTAhurricanehelp@floridarevenue.com or 800-488-6800.
PROPERTY TAX DEADLINE EXTENDED DUE TO HURRICANE IAN
The deadline to pay property taxes in counties impacted by Hurricane Ian has been extended for personal homes and commercial property destroyed or rendered uninhabitable by the storm. Property taxes are usually due and payable on November 1 and late if not paid by the following April 1. Taxes for affected taxpayers are now due January 1, 2023 and will be late if not filed by June 1, 2023. Property owners who pay their taxes early can get a discounted rate.
This new deadline applies in Brevard, Charlotte, Collier, DeSoto, Flagler, Glades, Hardee, Hendry, Highlands, Hillsborough, Lake, Lee, Manatee, Monroe, Okeechobee, Orange, Osceola, Palm Beach, Pasco, Pinellas, Polk