| IN THE NEWS |
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For detail information
regarding IRS topics and news click
here
The IRS is making "Online
Tax Centers" available.
The tax
centers provide those seeking IRS information for the most
up-to-date federal tax information affecting their businesses a
direct link. By clicking on the link below you can go
to the appropriate Tax Center on IRS.gov -
http://www.irs.gov/businesses/small/industries/index.html.
In addition the IRS is providing a Small Business/Self-Employed Tax
Center link at
http://www.irs.gov/businesses/small/index.html
IRS Headliners can now be researched by volume and/or topic.
The below listed bookmark has
been set up to establish an IRS permanent link:
http://www.irs.gov/businesses/small/article/0,,id=102669,00.html
http://www.irs.gov/efile/article/0,,id=105629,00.html
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Click
here to view an IRS Tax Center Template
that contains very useful information for the payroll industry. It
has links to various sections of the IRS website. |
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2010 Fast Wage Facts….
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FEDERAL
Agency
internet web sites:
--Internal Revenue Service: www.irs.gov
--Social
Security Administration: www.ssa.gov
--U.S.
Dept. of Labor: www.dol.gov
Minimum
Wage: $7.25
Minimum
Cash Wage: $2.13
(Tipped
Employee)
Maximum
Tip Credit: $4.42
Youth
Sub-Minimum Wage: $4.25
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FICA
(Social Security)
Maximum
Taxable Earnings: $106,800
(Same as 2008)
EE / ER
Deduction: 6.2%
Maximum
Deduction: $6,621.60
(Same as 2008)
Self-Employment Tax: 12.4%
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FICA
(Medicare)
Maximum
Taxable Earnings: No Limit
EE / ER
Deduction: 1.45%
Maximum
Deduction: No Limit
Self-Employment Tax: 2.9%
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FUTA
(Employer-Paid)
Maximum
Taxable Earnings: $7,000
Percent
of Taxable Wages: 6.2%
Maximum
Credit: 5.4%
Normal
Net Tax: 0.8% |
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Supplemental Wage/Bonus Rate
25%
(flat
rate withholding method) |
State
Income Tax
Wage
Withholding: Wage %
Supplemental Wage/Bonus Rate: 3% |
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ILLINOIS
Agency
internet web sites:
--Dept.
of Revenue: www.revenue.state.il.us
--Dept.
of Employment Security:
www.ides.state.il.us
--Dept.
of Labor: www.state.il.us/agency/idol/
Minimum
Wage: $8.00 (note: goes to $8.25 on 7/1/2010
Youth
Sub-minimum Wage: Varies by age and hours worked |
Unemployment Insurance
Max.
2010 Taxable Earnings: $12,520
(Increased from $12,300 in 2009)
Employee
Deduction: None
Employer
2010 Tax Rates: 0.650 – 7.250%
Standard
2010 New Employer Rate: 3.350%
Voluntary Contribution Permitted: No
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Pension Reform –
401(k), 403(b), SEPs, 457 Plans and SIMPLE plans
2010 2009 Catch-
up
401(k), 403(b),
457 SEPs Deferral Limits $16,500 $ 16,500 $5,000
Simple
Plans Deferral Limits $11,500 $
11,500 $ 2,500
2010 Annual
Compensation under section 401: $245,000.00
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2010 Standard
Mileage Rates
WASHINGTON — The Internal Revenue Service today issued the 2010
optional standard mileage rates used to calculate the deductible
costs of operating an automobile for business, charitable, medical
or moving purposes.
Beginning Jan. 1, 2010, the standard mileage rates for the use of a
car (including vans, pickups or panel trucks) will be:
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50 cents
per mile for business miles driven;
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16.5 cents per
mile driven for medical or moving purposes; and
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14 cents per
mile driven in service of charitable organizations.
The new rate for business miles compares to a rate of 55 cents per
mile for 2009.
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