ABCO Payroll Services - Bradenton, Sarasota, and all of Florida

We believe that we should provide the general information our clients need to stay within the bounds of governmental compliance, avoid penalties, and maintain a good insurance history. Good modification ratings on unemployment and workers' compensation insurance alone can save your company thousands of dollars. Over time our service can help provide a history of regulatory compliance that will save you money as well as build a strong foundation for your company's future.

The content on this page is our interpretation of laws, rules, and regulations based upon our past experience. The information provided here is intended to be general in nature and is not intended to be legal advice. We attempt to ensure the accuracy of this information, but because laws change quickly and are subject to interpretation based upon an individual situation, we cannot guarantee its accuracy. Although we welcome your questions, we also recommend seeking competent legal counsel experienced with your particular situation before any action is taken. ABCO Payroll Services in no way takes responsibility for action taken based upon the information provided.

If you don't find the information you are looking for, we are always happy to answer any specific questions. Please feel free to contact us at contact@ABCOpayroll.com. Also, we update this page monthly, so be sure to check back.

Current Topics

Website -- Login

Q: I can't seem to login to online payroll, online timekeeping, human resources support, etc., is there a problem?

A: If you have signed up for any of these services and been given a user name and password you will be allowed to login. However, browser cookies are required for login. Please see our cookies help page to adjust your browser settings.

Pay Types -- Hourly, Salary, Piece-work

Q: Can I pay my employees a flat weekly salary instead of regular hours and overtime hours?

A: The Department of Labor has clear-cut rules governing overtime pay. Unless an employee is exempted, the employee is entitled to overtime pay at a rate of 1½ times their regular pay rate. Overtime is defined as anything over 40 hours within a 7-day period.

You can still pay your employees a weekly salary, but if the employees don’t meet the Department of Labor’s standards of an exempt employee you will still need to track their hours and pay overtime after 40 hours. Another thing to consider, if an employee is paid a salary you must pay the employee for the entire day if any hours were worked during the scheduled day. You can only deduct if the employee did not work the entire day.

Q: Can I pay piecework on your system?

A: Yes, but just like the question above about salary, paying piece rate does not prevent overtime. If an employee works more than 40 hours in a 7 day period, that employee is entitled to 1½ times their piece work rate for the overtime hours worked.

Withholding Taxes

Q: We hired a new employee who has already earned $7,000 from a previous employer. Can we use those earning toward his Federal Unemployment Tax Act (FUTA) and State Unemployment Tax Act (SUTA) obligation?

A: No. Each employer is liable for withholding FUTA and SUTA up to the $7,000 limit.

Q: A new employee has reached the social security limit with a previous employer and would like us to stop withholding his social security tax. Can we stop this withholding as requested?

A: No. Each employer is liable for both withholding and matching the employee’s social security and Medicare taxes. If the employee has exceeded his limit he will be eligible for a refund on his personal income tax return. Unfortunately the employer is not eligible for a refund.

Minimum Wage

Q: What is Florida’s current minimum wage?

A: The Agency for Workforce Innovations provides a good explanation of Florida’s current minimum wage situation as well as provides a downloadable minimum wage poster – required to be posted by Florida employers.

Vacation and/or Holiday Pay

Q: Do I have to pay my employees vacation pay?

A: Vacation and/or holiday pay is a "benefit" given by some employers. As an employer you are not required by law to offer either holiday or vacation pay. Offering either or both is up to you. However, all employers should have a written payroll policy that states who if anyone gets vacation and/or holiday pay and how much. Reviewing a written copy of company policies with new employees and having each employee sign that the material has been reviewed is the surest way to eliminate confusion and the possibility of future conflicts.

Last Paycheck

Q: I just let an employee go; do I have to give them their final paycheck right now?

A: Not in Florida, you are required to give the employee his final check the next regularly scheduled check date. However, you may prefer to issue a check at the time of termination. In that case just give us a call and we will give you the net amount, so that you may issue a manual check. (Note: Laws vary by state. If you have employees working in states other than Florida, verify the laws of those states.)

Direct Deposit

Q: Some of my employees would like direct deposit....is this available?

A: We have been doing this for years and would be happy to do it for you and your employees. However, electronic funds transfer does come with some special restrictions, which are beyond our control. If you are interested in offering direct deposit please contact us directly to see if you meet the requirements.

Electronic Filing

Q: My accountant told me I have to pay my taxes electronically. Does ABCO Payroll Services provide this service and what does it cost?

A: Yes, we are already providing this service and there is no extra charge. We pay all of our clients' payroll-related taxes electronically and file their returns via magnetic media. We have been doing this for years regardless of the clients' size.

Confidentiality

Q: You have all of my employees pay information; can I have my employees call you to ask questions about their payroll records?

A: No, your company's payroll is sensitive information and ABCO Payroll Services practices strict rules of confidentiality. We will only discuss your payroll records, no matter how trivial the information may seem, with the owner/CEO of the company and the representative(s) designated by the owner/CEO to handle payroll. Of course, in order to provide many of our services, we must also provide information to the government and insurance agencies who require it.

Any information your employee could ask for is provided to you with your payroll packet. Information such as deductions, exemptions, year-to-date amounts, and current address information is updated with every payroll and can be found on either the time sheet or the payroll summary report.

Subcontractors

Q: How do I determine whether to pay my workers as employees or subcontractors?

A: That is a very complex question. Each government agency (IRS, Dept of Labor, Div of Workers Compensation, etc.) has a set of approximately 20 rules to determine the persons' status. The problem is that each of the agencies has a different set of rules - so you can legally have subcontractors according to one government agency and not according to another. If you are unsure, it is always safer to make the worker an employee.

Workers' Compensation

Q: A client asked me for proof of workers' comp coverage; can you guys handle that?

A: No, your client is asking for a certificate of insurance for workers' compensation coverage. These certificates must be produced and sent by your insurance agent or carrier. You should contact your insurance agent for these.

Q: Do I pay workers' compensation premiums on overtime pay?

A: Yes and no, workers' compensation premiums are based upon regular pay rates. You must still pay for workers' compensation past 40 hours, but you do not pay more because of the increased pay rate. When you report overtime hours, your workers' compensation rate is calculated as if all hours were being paid at the employee's normal pay rate, not the time and a half rate they receive for overtime.