Government News
2019 Federal Rates
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SSA wage base $132,900
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Employee SS rate 6.2%
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Employer SS rate unchanged 6.2%
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Medicare rate 1.45%
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Medicare rate for wages greater than $200,000 2.35%
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Standard business mileage rate 58 cents per mile
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Medical or Moving mileage rate 20 cents per mile
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Service of charitable organizations mileage rate 14 cents per mile
2019 RevenuE Fringe Benefit
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Adoption credit-$14,080
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FSA Limit- $2,700
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Parking- $265.00
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Transit Passes-$260.00
- Medical Savings Accounts
- High Deductible
- Individual-$2,350-3,500
- Family-$,4650-$7,000
- Maximum Out-of-Pocket
- Individual coverage-$4,650
- Family- $8,550
- High Deductible
Pension Plan, Deferral Limits Announced for 2019
IRS announced the 2019 Pension Limits. See the list below.
Traditional and Roth IRA contributions-$6,000
Traditional and Roth IRA catch-up contributions-$1,000
Annual additions under IRC Sec. 415(c)(1)(A) for defined contribution plans: $56,000
Annual additions under IRC Sec. 415(b)(1)(A) for defined benefit pension plans: $225,000
Annual IRC Sec. 402(g) deferral limit for 401(k), 403(b) and 457(b) plans: $19,000
Catch-up contributions to 401(k), 403(b) and 457(b) plans: $6,000
Annual deferral limit for SIMPLE IRA and SIMPLE 401(k) plans: $13,000
Catch-up contributions for SIMPLE IRA and SIMPLE 401(k) plans: $3,000
IRC Sec. 401(a)(17) compensation cap: $280,000
Highly compensated employee definition income threshold: $125,000
Top-heavy determination key employee definition income threshold: $180,000
SEP plan employee income threshold for benefit eligibility: $600
For more information please visit the IRS Notice 2018-83.
2018 FUTA Credit Reduction States
On November 2, 2017, the U.S. Department of Labor (DOL) announced Virgin Islands is the only state/territory subject to the FUTA credit reduction for 2018. This means the employers in these states will be required to pay additional FUTA taxes in 4th quarter FUTA tax deposit due no later than January 31, 2019.
The reasons why the employers are subject to this tax is due to Virgin Island unable to pay back the outstanding federal unemployment loans by November 10, 2018. Below is Virgin Islands Futa credit reduction rate along with their FUTA rate for 2018.
|
State/Territory |
2018 Credit Reduction |
2018 FUTA Rate |
|
Virgin Islands |
2.1% |
2.7% |
Virgin Islands requested a waiver of the additional Benefit Cost Rate (BCR) for 2018 and were approved.
State Updates
The following states below have announced their 2019 Wage Base Limits
Alaska 39,900 New York 11,400
Colorado 13,100 North Carolina 24,300
Hawaii 46,800 North Dakota 36,400
Idaho 40,000 Oklahoma 18,100
Iowa 30,600 Oregon 40,600
Kentucky 10,500 Rhode Island *23,600
Minnesota 34,000 Utah 35,300
Missouri 12,000 Vermont 15,600
Montana 33,000 Virgin Island 24,200
Nevada 31,200 Washington 49,800
New Jersey 34,400 Wyoming 24,400
New Mexico 24,800
*Rhode Island- $25, 100 for employers in the highest UI tax rate group.
Forms & Publications
Publication 15 (Circular E), Employer's Tax Guide
Publication 15-A Employer's Supplemental Tax Guide
Publication 15-B Employer's Tax Guide to Fringe Benefits
Resource Links
American Payroll Association (APA)
Federal Office of Child Support Enforcement
National Archive & Records Administration
Society for Human Resource Management (SHRM)
State New Hire Reporting Websites
VA-4 Employee's Withholding Exemption Certificate
Virginia Statewide Payroll Conference
US Dept of Health & Human Services
Resource Material
Wolters Kluwer CCH Payroll Management Guide
Virginia Statewide Payroll conference Affiliated APA Chapters
Shenandoah Valley Chapter of the APA
Southwest Virginia Chapter of the APA
Charles Town West Virginia Chapter
