Federal Alerts

IRS Announces 2024 Medical Mileage Rate

Wednesday, January 3, 2024
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Compliance Corner

On Dec. 14, 2023, the Internal Revenue Service issued Notice 2024-08 announcing that the standard mileage rate, effective Jan. 1, 2024, for use of an automobile to obtain medical care is 21 cents per mile.

IRS Announces 2024 Automobile Business Use Mileage Rates

Wednesday, January 3, 2024
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Compliance Corner
On Dec.  14, 2023, the Internal Revenue Service issued via Notice 2024-08 the 2024 optional standard mileage rates used to calculate the deductible costs of operating an automobile for business, moving, and charitable purposes.

Chicago and Cook County Adopt New Paid Leave Ordinances

Monday, January 1, 2024
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Compliance Corner

Chicago and Cook County in Illinois have each enacted ordinances that will amend requirements that employers provide paid leave to employees.

The new Chicago ordinance requires both paid sick leave and paid leave that employees can use for any reason. The new Cook County ordinance requires paid leave employees can use for any reason.

The new ordinances will replace existing paid sick leave requirements in the city and county once they take effect. 

SECURE Act 2.0 Impact to Long-Term, Part-Time Employees

Thursday, December 28, 2023
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Compliance Corner
Earlier this year, we communicated advising of SECURE Act 2.0 requirements for Long-Term, Part-Time (LTPT) employees. We have now updated the 'Next Steps' process, and you can find those updates below in this Insights and Solutions article. The following features are now available to assist with identification of, and maintenance for, LTPT employees based on these requirements:
  •  LTPT Employee Indicator in ADP Workforce Now® New field enables identification of LTPT employees and can also be used for reporting these employees to 401(k) plan administrators. 
  • Long-Term, Part-Time Employee Hours report Enables Hours of Service reporting during 2021, 2022 and 2023 401(k) plan years Reference Setting Every Community Up for Retirement (SECURE) Act, Long-Term, Part-Time Employees (LTPT) for information and instructions to use these features.

Note: Please contact your ADP® Service Representative if you wish to exclude LTPT employees from receiving 401(k) match contributions, as existing match calculations will need to be updated to ensure this exclusion.  

Below please find the previous information sent on this topic with additional details added to the paragraph in red.

Chicago Adopts New Paid Leave Ordinance

Tuesday, December 5, 2023
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Compliance Corner
Chicago has enacted an ordinance that will require employers to provide both paid sick leave and paid leave that employees working in Chicago can use for any reason. The ordinance takes effect December 31, 2023 and replaces an existing paid sick leave requirement in the city.

IRS Announces 2024 Benefit Plan Contribution Limits

Monday, December 4, 2023
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Compliance Corner
On Nov.  9, 2023, the Internal Revenue Service (IRS) announced via Revenue Procedure 2023-34 the dollar limitation for 2024 on employee salary reductions for contributions to health flexible spending accounts; the monthly limitation regarding the aggregate fringe benefit exclusion amount for transportation in a commuter highway vehicle and any transit pass; and the maximum amount that can be excluded from an employee’s gross income for the amounts paid for qualified adoption expenses furnished pursuant to an adoption assistance program.

Pension Plan Limitations for 2024 Provided by IRS

Thursday, November 2, 2023
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Compliance Corner
On Nov. 1, 2023, the Internal Revenue Service (IRS) announced via Notice 2023-75, the cost-of-living adjustments applicable to dollar limitations for pension plans and other items for tax year 2024.

2024 Federal Contractor Minimum Wage Increase Announced

Thursday, November 2, 2023
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Compliance Corner
The United States Department of Labor (DOL) has announced increases to the minimum wages that federal contractors covered under Executive Orders (EO) 13658 and 14026 must pay their employees who are performing work on or in connection with certain covered federal contracts.

Social Security Wage Base for 2024 Announced

Monday, October 30, 2023
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Compliance Corner
On Oct. 12, 2023, the Social Security Administration (SSA) announced the 2024 wage base. The annual wage base limit is the maximum amount of employee wages that are subject to the social security tax for the calendar year.

Patient-Centered Outcomes Research Institute (PCORI) Fee for Announced

Monday, October 30, 2023
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Compliance Corner
The Internal Revenue Service (IRS) released Notice 2023-70, which establishes the applicable dollar amount for policy and plan years ending on or after Oct. 1, 2023, and before Oct. 1, 2024, in relation to the Patient-Centered Outcomes Research Institute (PCORI) fee established under the Affordable Care Act (ACA).
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