all right everybody welcome back to another exciting episode of the Florida contractors manual for the Florida business and finance exam all right this is a very very important chapter and I highly recommend you pay attention to it there would be a lot of questions on the exam from from this section um if you want to pass on the first time you want to make sure that you are paying close attention to what's truly important but listen I passed on the first time and I know that you can do it so grab your highlighter and let's go okay a lot a lot of in in information to cover here and we'll get through most of it uh as always remember if I'm highlighting it that means you should pay particular attention to it but that does not mean that everything else is not important everything is important I keep saying it because I want you guys to understand that if it's in the book it's fair game but more likely than not the stuff that's highlighted is what's going to be uh this is the stuff that has a much higher chance of being on the exam so let's get started okay so what we've got here we're on page 5'11 we're doing labor and employment laws and regulations all right so there's going to be a lot of introductions to act here um please make sure that you're paying attention to the acts on this page you have the Labor Management Relations Act LM Florida right to work laws the fair labor standards act the Davis bacon and related acts that's that should be familiar because we've already mentioned that briefly Civil Rights Act these are just general overviews it's going to get into it uh a little bit into detail later on but like I said please just have a understanding of what these are the age discrimination and Employment Act Equal Pay Act Ada very very important Americans with Disabilities Act highly likely that you'll have questions about that act on the exam um the occupational safety and health act OSHA that'll be covered further um in other chapters other laws regulations Employee Retirement and income Security Act consumer credit protection act also very important Fair Credit Reporting Act also important Florida right to no law polygraph protection act of 1988 okay Consolidated um this is the Cobra Family and Medical Leave Act of 1993 and the immigration reform and Control Act of 1986 take a look at the last two pages that I just mentioned the names of the acts there's not a lot of uh there's not that much stuff here take a look read these paragraphs these is just general overviews of what the acts are you should have some understanding of what they are it will help you um like I said it's going the the chapter is going to get into more detail about these acts but but still if you want just a general overview this is where it will be so this is the first one Labor Management Relations Act LM okay National Bo Labor Relations Board that is an acronym you might want to know that nlrb unfair labor practices that lmra prohibits interference coercion and restra by employers or coercion and restra by unions when employees exercise their l m a right duty to bargain employers and unions have mutual obligation to bargain in good faith over wages hours and other terms and conditions of employment neither party is required to make particular proposals or concessions Administration uh nlrb the administration prosecutes unfair labor practices that's what it does okay make sure you know that an unfair Labor practice charge must be received by the regional office where the unfair Labor practice is alleged to have occurred within 6 months of the alleged violation they may ask that question what's the time frame the answer 6 months representation elections in the construction industry an employer can sign a bargaining agreement with a union without employee majority supporting support for the union make sure you know that next Florida right to work laws virtually all Florida employees are covered by these right to work prescriptions exceptions to coverage include employees who work in the federal Enclave such as military bases and employees working for Airlines and or or railroads Florida this is very important right here pay attention Florida is a right to work state specifically the Florida Constitution in conjunction with the Florida Statutes prohibits collective bargaining agreements that require Union membership as a condition of employment among others Florida's right to work laws prohibit the following three types of agreements Union shop agreements agency shop agreements maintenance of membership okay other states may be different but this is how things are done in Florida so please remember on for for the purposes of the exam you know we're discussing this um that Florida is a right to work state next fair labor standards act we're on page 515 F LSA the F LSA is a federal statute which prohibits minimum wages correction which prescribes minimum wages of $725 per hour for non-overtime work overtime compensation at time and a half the employees regular rate all right so this is a federal act uh test for exemption we're at the last paragraph of the page uh the section 13 A1 exemption implies to any computer employee compensated on a salary or fee basis at a rate of not less than $913 per week now I'm not really sure but I remember this coming up and I've talked to other people where they've seen this before it seems like it's a very obscure kind of point but you know I felt like it since I've uh I remember it and I've had other people mention this to me I I I think it it it's it's it's a good thing that this is highlighted all right moving along moving along doing well we're on page 520 let me see and we're talking about each Work Week stands alone the ACT takes a single work week as its standard and does not permit the averaging of hours over two or more weeks determining the work week an employees work week is a fixed and regularly occurring period of 168 hours 7 consecutive 24hour periods regular rate of pay the regular rate of pay may be more than the federal statutory minimum of $725 but it cannot be less that that makes sense so the feds set the standard at$ 725 Florida's can be higher but it definitely can't be lower there's a little footnote here uh this is I would say that this is uh it's it's still valid even though the the days don't make sense but in Florida as of January 1st 2021 the rate is $865 per hour and will increase to $10 per hour on September 30th 20121 the rate will increase every September 30th for the next 5 years until it reaches $15 per hour next we're at page 521 and here we are discussing hourly rate employees okay okay so we're talking about uh computation of compensation all right so you may have to do this on the exam I remember I had to do this where they're basically they're going to present a scenario to you and you have to uh figure out what is the total compensation for that particular employee and they'll rate they'll show you how many hours that individual worked and you'll have to look at their regular rate then you'll have to compute their overtime rate and you'll have to put everything together together all right so they're going to give you some examples right here of hourly rate employees plus hourly rate employees plus bonus this is very simple and straightforward it's just very very basic math you really shouldn't have any issues with it um but if you want to do a quick review you definitely can like I said there's a couple of examples here and they make it they actually make it very very clear so in page 521 uh your total compensation computation of total compensation it's all right here moving along all right bonuses this is the section we're on page 526 this is the section for bonuses discretionary bonuses a bonus need not be included in the regular rate if the employer retains discretion both one that a bonus will be paid and two that the amount is not determined until the end or near the end of the bonus period moving along gifts Christmas and special occasion bonuses if a bonus paid at Christmas or on other special occasions as a gift it may be excluded from the regular rate even though it is paid with regularity so that the employees are led to expect it next pay for foregoing holidays and vacations all right I'm not going to read all of this but I do have this I do have this uh paragraph um highlighted so you might want to you really might want to take a look at both of these Pages 526 and 5 27 I think this is important uh these lines are important but the information in here is also important so if you want to familiarize yourself with how uh bonuses are going to be perceived and how pay for holidays vacation is going to be perceived you you might want to read this okay this is important had this on the test so we're in page 529 overtime pay may not be waved the requirement that overtime must be paid after 40 hours a week week may not be waved by agreement between the employer and employees so they're basically saying that no one can wave this it doesn't matter what kind of arrangement you have with your with a boss no one can wave it in Florida if you work more than 40 hours or week you will be paid over time you have to be paid over time and even if you have an agreement with a boss that says that you're going to work you're going to be receiving regular pay and you have an agreement that you're going to work for 50 hours a week it does not matter you are still going to be entitled to 10 hours of overtime okay so the question that I had on my exam I remember they asked who can wave the right and the answer to that is no one no one can G no one can wave the right to overtime all right next we're in page 530 recordkeeping all right um this is kind of self-explanatory but there's a lot of information here so you might want to take a look at this uh employees are required by regulation to keep so-called hard records such as payroll employment contracts or agreements and sales and purchase records for three years all other required records so-called soft records must be kept for two years all right so remember that hard records for three soft records for two among other things these would include time cards or time sheets all right the following information must be recorded for each covered employee so this is all all the information uh you may be asked the question where they'll ask you what kind of information an employ an employer needs to retain for their employees if that's the case easy easy answer it's all right here construction industry child labor restriction type of work generally children age 15 and under may not be employed in a number of occupations including construction and then that's the Federate Federal Regulation children age 16 and 17 may work in construction related operations but may not be involved in certain particularly hazardous occupations at a construction site I had questions um on my exam pertaining to child labor so there's different laws here and different regulations for different aged kids so please make sure you pay attention because like I said on page 30 they're talking about 15 and under on page 531 they're talking about here 16 and 17 year olds and then they'll get into you know closer uh to the 18y olds but you you you might want to pay attention to this page because it came up I actually had multiple questions about child labor uh regulation so 16 and 16 and 17 year olds may work but they can't do every kind of job all right so they're not this is what they're not allowed to be doing uh motor vehicle driver operate operation of power driven woodworking equipment uh Power driven hoisting apparatus circular saws band G and shears wrecking demolition excavations they're not allowed to do any of that that stuff is particularly hazardous child labor laws number three under Florida statue section 450.0 61 no minor under 18 years of age is permitted to work in the following occupations all right this is this is according to the Florida statute so they may bring this up and there's a whole list of things that kids under 18 are not allowed to do they may ask you a question they may ask you a question such as um what kind of jobs kids are restricted from doing okay so if that's if you do get that if you do get that question there you go hours as 2 hours under the F LSA miners who are 14 and 15 may work outside school hours in various non-manufacturer non-mining nonhazardous jobs under the following condition no more than 3 hours on a school day and 18 hours in a school week no more than 8 hours in a non-school day and 40 hours in a non-school week for minors aged 14 and 15 the allowable work hours are 15 hours a week when school is in session enforcement penalties employers are subject to a civil monetary penalty of up to $111,000 per worker for each violation of the child labor provision all right and the Act was amended to all allow civil penalty of up to uh $50,000 in case of death or Serious injury and $100,000 for repeated and or willful violations Florida Statutes makes it a second deegree misdemeanor to violate the child labor loss a person convicted of a second degree misemer is punishable by a def definite term of impris imprisonment not exceeding 60 days in a $500 fine later on in this chapter um they really kind of get into weeds with uh with these uh rules and regulations so we're not going to really worry about it then we're going to worry about it here because I think that as far as most of these acts what's truly really what's truly important is here where and that it's the stuff that we're covering right now uh Davis bacon act we've seen this before the the ACT covers all emplo uh employers with contracts valued in excess of $2,000 Penal and sanctions the Secretary of Labor May withhold contract payments to covered alleged underpayment of wages under current regulations um blah blah blah deartment from government contracts for up to 3 years may also be imposed moving along Civil Rights Act of 1964 covers all employers that employ 15 or more employes in each of 20 or more calendar weeks in the current or preceding year labor unions and employment agencies okay so that's who it applies to enforcement uh because Florida has its own anti-discrimination statute the charge must be filed within 300 days of an event triggering prohibited discrimination remember that 300 days that's the number let me see here if the EEOC chooses not to Sue when cause is found determines is unable to make a finding finds no cause or if 180 days has elapsed after the charge is filed the EEOC will issue a notice of right to sue letter okay this notice enables a charging party Sue individually to obtain any desired relief provided that the charging party file suit within 90 days after receiving the notice 90 days after receiving the notice all laws enforced by the EOC except the Equal Pay Act require filing a charge with the with EOC before a private lawsuit may be filed in court a charge must be filed with EEOC within 180 days from the date of the alleged violation this 180 degree filing date is extended to 300 days if the charge also is covered by a state or local anti-discrimination law and then you have here this table take a look at this table um these caps only apply to individuals attorney fees May re the penalty okay number of employees and the maximum compens compensatory and punitive damages per plain so that's take a look at this this is pretty important I'm not going to go over it you can see it for yourself next we're on the bottom of page 535 Florida Civil Rights Act of 1992 the FC applies to any employeer which employs 15 or more employees for each working day in each of 20 or more calendar weeks in the current or preceding calendar year that's what it applies to okay let me see what else here uh Florida 88 statute pertaining to um prohibits employment and discrimination based on the results of an HIV related test or refusal to take such a test alcoholism and drug abuse alcoholism is a protected handicap had that on my test okay so make sure you you know that the Florida Commission on human relations has yet to rule that drug abuse is a handicap in part because the possession of drugs is unlaw enforcement administrative the act now requires that complaints be filed with the fchr within 365 days of the alleged violation one year okay if the fchr either fails to uh consult conciliate or fails to take final action within 180 days after the complaint was filed the complaining party may bring a civil action against the alleged discriminating party the court WS are authorized to issue orders prohibiting the discriminatory practice providing affirmative relief and award compensatory damages punitive damages limited to 100,000 and reasonable attorney fees okay let me see back pay is back pay liability is limited to 2 years prior to the filing of the complaint next we're on page 537 age discrimination in Employment Act all right this act applies to employers with 20 more employees for each working day in 20 calendar weeks of the current or preceding year enforcement the E EEOC see within 300 days of the alleged discriminatory act or 30 days after termination of the state administrative proceeding whichever is earlier a charging party must wait 60 days from the date of filing the EOC charge before proceeding in court yes riveting once again so much so much super fun and exciting stuff on page 539 we're talking about the equal uh Pay Act um let me see here suit under the EPA must be brought within two years of the dis discriminatory practice unless the alleged violation was willful in which case the time for filing suit is 3 years let me see a court or jury May award up to 2 years or 3 years if the action is willful back pay under the EPA as well as attorney fees and cost as in the AA litigation a court or jury May award double back pay and extended to 3 years if a willful violation is found Florida equal pay statute Florida's equal paid statute parallels the EPA accept that back pay awards are limited to one year liquidated double damages are not available and the statute of limitations is 6 months so that's the federal and that's the state statute next Family and Medical Leave Act FMLA applies to employers who employ 50 or more employees for each working day during each of 20 or more calendar weeks in the preceding or current calendar year covered employers must provide eligible employees with up to 12 weeks of unpaid leave during any 12month period for the birth adoption or foster care of a child to take care of a family member with serious health conditions or for the employees own condition or for leave due to qualifying uh arising out of fact that the family member okay we're kind of getting into the weeds anyways furthermore covered employees must provide eligible employees with up to 26 weeks of unpaid leave during any 12-month period of for service member uh family leave all right let me see enforcement the Secretary of Labor May investigate compliance and bring suit or an employee may bring suit in state or federal court suits may not be brought later than 2 years after the violation an employer may be liable for lost wages and benefits or other monetary damage up to a sum equal to 12 weeks of wages and interest employers are required to post a notice for employees outlining the basic provisions of FMLA and are subject to $100 civil money penalty per offense for willfully failing to post such a notice next Federal Rehabilitation Act of 1973 you can take a look at that I don't remember having any questions about this but still you might want to peruse that real quick Americans with Disabilities Act Okay so we've got the this the Ada disability a physical or mental impairment that substantially limits one or more of the major life activities of such individual that's the key terminology understand what the term disability means a reasonable accommodation the Ada defines reasonable accommodation by means of an illustrative list of examples an employer is not required to offer all possible reasonable accommodations or even the most reasonable accommodations rather the requirement is only that the employer offer a reasonable accommodation the ada8 does not require an accommodation that imposes undue hardship on the employer's business okay medical examination inquiries pre-employment medical examinations are prohibited an employer can require post offer but pre- starting work the medical examinations and the condition of the result of the examination all right during employment employee medical examinations are generally prohibited excuse me treatment of illegal drug use current users of illegal current users of illegal drugs are excluded from the protection of the Ada make sure you pay attention to that aids now we're talking about AIDS everyone's favorite topic requirements prohibitions this law prohibits employment discrimination on the basis of the result of a human imuno deficiency virus HIV related test unless the absence of HIV is a Bonafide occupational qualification for the job in question public whistleblower act we're on page 545 this uh let me see in addition to the public the ACT covers employers of independent contractors who contract with state and local governments the act the a the ACT protects covered employees from retaliation for disclosing their employees violations of law that may pose a danger to Public Health veterans Reemployment laws uh once a covered employee is reemployed discharge will cause prohibit as follows with within 1 year after the date of employment if the person's period of service before their employment was more than 180 days or within 180 days after date of Reemployment was more than 30 days but less than 181 days all right the employment and training of veterans act this act applies to government contractors and subcontractors who with contracts worth 100,000 or more enforcement 180 days of the alleged violation garnishment consumer credit protection act take a look at that as well I don't have anything highlighted here but you should still take a look at that see moving along Florida Clean Indoor Air Act uh this I actually remember I had this on my exam an individual who violates the prohibitions against smoking is subject to a non-criminal fine of up to $100 for first offense and up to $500 for each subsequent so yes I did have this in my exam where they they just basically asked what is the penalty for smoking now you know 100 bucks first defense 500 for each after let me see here keep going employee polygraph protection act of 1988 we're in page 551 um exemption in connection with an ongoing investigation involving economic loss or injury to the employer's business where the employee had access to the property lost and the employer has a reasonable suspicion that the employee to be tested was involved penalties the ACT allows for the Secretary of Labor to impose civil penalties of up to $10,000 per violation of the act all right unemployment benefits right there's a lot to cover here a lot so um take a look I mean take a second and uh you can pause the video and uh right here if you need to and because there's a lot to highlight here we'll go over it right now but um yeah this is a section that you might want to pay particular attention to and come back to it another time if you need to if you if you need a good solid review there's there's a lot to cover here so unemployment benefits coverage the unemployment compensation laws apply with any employer who has one or more employees and either one paid $1,500 in wages during any calendar quarter or two employed at least one employee for any portion of a day for 20 weeks during the year all right employers must file tax reports and pay unemployment taxes quarterly no later than the end of the month following the end of the quarter benefit eligibility I'm not going to read all of this but there's a bunch of them so make sure that you know all of these misconduct irrespective of whether the misconduct occurs at the workplace or during working hours includes but is not limited to the following all right so that's we're talking about misconduct I I don't know why they put that down here they really should have put it on this page it'll be a little bit clear but this is where it starts and this is all the examples of misconduct that you should uh be familiar with disregard negligence to agree or recurrence culpability of wrongful intent deliberate violation of a known policy violation of a standard or regulation amounts of benefits the whole paragraph is highlighted so I'll read it an eligible individual is entitled to weekly unemployment compensation benefits in amount equal to 126th of the individual total wages for insured work paid during the quarter of the base period in which his or her total wages paid were the highest but no less than $32 or more than 275 an eligible individual is entitled during a benefit year to a total amount of benefits equal to 25% of the total wages in his or her base period not to exceed $632 yes that is definitely amount full there's a lot in there you might want to read that paragraph once or twice just so you get a better understanding for it um but yeah long story short you're not going to get rich in unemployment in Florida that's for sure or anywhere else really reporting recordkeeping an employer is required to keep for 5 years work records identifying employees employment periods hours worked wages earned or any special events uh special payments bonuses gifts made to employees let me see here there several penalties up to $25 per report for each 30-day period or fraction thereof the report is late criminal any individual employer not only making a false statement or report in connection with administration of the unemployment compensation loss can be fined up to $5,000 very important up to $5,000 and or in prison for up to 5 years further a habitual offender can be imprisoned up to 10 years okay um BL blah blah and can be fined 10,000 okay let me see here finally any person who otherwise willfully violates any provision of the unemployment compensation laws is subject to a fine of up to $10,000 and or imprisonment for up to 15 years that is a key line right there I'll read it again any person who otherwise willfully violates any provision of the unemployment compensation laws is subject to a fine of up to $110,000 and up to 15 years imprisonment next workers compensation law applies to all businesses with four or more employees if an employee knowingly refuses to use safety devices his or her benefits will be reduced by one quarter that's a key line I believe I had that on my exam that's very very familiar the ACT also provides for possible criminal conviction carrying a fine of no more than $500 or imprisonment for not more than one year all right moving along long this is Cobra Consolidated Omnibus budget reconciliatory act a mouthful uh let me see here talking about qualified beneficiaries a qualified beneficiary who properly elects continuation coverage can be required to pay for the coverage the charge in most cases cannot be greater than 102% of the applicable premium I had that on my exam very very simple just remember 102% and the length that uh for coverage for Cobra is 36 months 36 so remember cannot be greater than 102% maximum length 36 36 months next immigration reform Control Act uh can under the earon employer an employer must verify the identity of all new employees as well as an individual's ability to work in the United States and this regard employer must also complete an employment eligibility rectification form form I9 I'm sure for done this every time you start a new job you have to fill out an I9 and that's part of this act an I9 must be completed by the employer and the employee within three business days from the uh from the day the employee begins work recordkeeping uh the I9 must be kept for all current employees throughout their employment for terminated employees the I9 must be kept for by the employer for 3 years after the date of hire or one year after that date uh the date the indid individual no longer works for the employer whichever one is the later date so let me see penalties first offense $275 to 2200 for unauthorized second offense 2200 to 5500 uh per unauthorized employee and third an additional offense $3,300 to $111,000 so yes uh it would not be a good idea to uh to violate this act these penalties are clearly Hefty peteran and practice violations any employer engaging in a pattern or practice of hiring unauthorized aliens can be subjected to criminal penalties including possible imprison up to 6 months and a fine of up to $3,000 for each unauthorized alien paperwork violations civil FES for paperwork violations range from $111 to ,100 for each individual with respect to whom such violation occurred moving along Florida law uh um section 44809 makes it illegal for any employer to knowingly hire recruit or refer for employment an alien who is not duly authorized to work by the immigration laws or the Attorney General of the United States for first violation employer can be assessed a civil fine of no more than $500 I had this in my exam remember this is talking about Federal this is talking about State they asked me specifically with respect to Florida law Florida Statutes and they asked me how much was the violation for the first how much what was the amount for the first violation and it was $500 uh for a second and each subsequent violation the employer can be fined up to $500 or in prison for up to 60 days for each unauthorized alien involved workers adjustment retraining notification act uh let me see employers who employ 100 more part time and or full-time employees who work in agre aggregate of at least 4,9 overtime hours a week all right yes so much fun stuff now there's a whole bunch of stuff that we're going to skip here cuz this is just legal stuff pertaining to federal laws let me see let's move along Move Along we're moving along all right Federal Register this is more Federal rules and regulations we're going to skip those because for this exam I did not have too many questions pertaining to the Florida uh pertaining to the federal laws it was mostly for the Florida laws not that like I said before not that you may not be responsible for it you you know if it's in the book they may they may ask a question but it's unlikely that they'll ask a question from that section all right Florida State of Florida child labor law handbook this is kind of what I was saying before um where the first part of this chapter gives you a brief General overview of those particular laws and for the most part that's really all you need for uh for the exam here they're actually giving you the the full detailed law and goes into much much greater detail but I feel like if we start going in there we'll get we're going to get totally lost in the weed so I don't I don't think we need it I think I think the general overview in the beginning of of the chapter does a sufficient job explaining everything and showing everything that you're going to be uh responsible for all right now we're getting into another section where there's going to be uh a bunch more highlights so let's let's get into it we're on page 5 275 and we're talking about what employers need to know about Reemployment tax you're going to get questions about re-employment tax I did um a lot of stuff is in here it can be confusing sometimes you get it um get it confused with with the other sections such as um unemployment um but and workers compensation but it's it let's let let's focus on what we have here okay who's liable for re-employment tax you are liable if you meet the following conditions you have a quarterly pay roll of $1,500 or more in a calendar year you have one or more employees for a day or a portion of a day during 20 weeks in a calendar calendar year U you are a domestic employer with a cash payroll of $1,000 or more in a calendar quarter all right employment not covered not covered employees of a church or convention or assoc or Association of churches Services performed by aliens okay uh those working on a fishing vessel under 10 uh 10 net tons persons under 18 years delivering or Distributing newspapers children under the age of 21 uh Services performed by a sole proprietor or a partner or a member of a limited liability company classified for federal income tax purposes as either a partnership or a sole proprietorship Services performed by insurance agents real estate agents and or Barbers when paid solely by commission so there's a whole list of people um categories that are not covered please be familiar with all of these I'm just highlighting the ones that are uh most important I think for the purposes of the exam but be familiar with all of them reporting wages wages must be reported an employer's quarterly report rt6 If an employer is operating two business units and the secondary unit has a cumulative total of at least 10 employees a multiple work side report must be filed an employee unit that files and arous incomplete or insufficient report should be build a penalty of $50 or 10% of any tax due whichever is greater the penalty shall not exceed $300 per report you must file your emplo your employer quarterly report rt6 okay including all Corrections and pay the tax electronically if you an employer who employed 10 or more employees in a quarter during the proceeding State fiscal year all right that's the fiscal year also you might want to know that that that that might come up what what the state considers a fiscal year July 1st through June 30th the penalty for failure file report by electronic means is $25 per report $1 for each employee how much do you pay the tax rate for new employers is 027 so 2.7% the effective uh effective January 1st 2015 the first $7,000 in wages paid to each employee during calendar year is taxable so remember the key the key number here 7,000 when a business is transferred the successor May count wages paid to an employee by the predecessor to determine taxable wages form rt- 6nf allows you to report all out ofate wages paid to employees who worked another state and and are transferred to Florida employers have one month after the end of each quarter to file reports and pay taxes to avoid penalty and interest you must report and pay your tax on time unpaid pay tax will affect your future tax rate a late filing penalty is charged at $25 for each 30 days or fraction thereof your tax rate when a new employer becomes liable for the tax the tax rate is 027 so 2.7% okay and will remain in effect until the employer reported for until the employer has reported for 10 quarters me see here what else the RTS d1s within 30 days of the date of the succession commenced the maximum rate Allowed by law is 5.4% 5.4% the Reemployment tax rate notice rt20 is mailed to each employer in December you may appeal the tax rate within 20 days from the date of notification termination of coverage you must apply for termination of coverage by April 30th of the following year here moving on moving on all right so the Employer Guide to re-employment tax and this is the table of content so pretty important to pay attention to these things uh you really should pay attention to a lot of the stuff in this section I mean a lot of it is up for grabs with respect to the exam but um but yeah this is some of the more important stuff all right moving on so classification of workers employers must understand understand how to determine whether a worker is an employee or an independent contractor we've already covered that in the previous chapters all right so they can correctly include all employees on their rt6 state unemployment tax act okay that's the suda remember there's a Fooda and audo next reporting wages and paying Reemployment taxes a business is liable for state re-employment tax in the current or preceding calendar year employer one has paid at least 1,500 wages and two has had at least one employee for any portion of a day in 20 different weeks within the same calendar year reimbursement option if their employment was less than 20 different weeks or the wages will pay less than 15001 quarter so this is for agricultural employees domestic workers paid at least $1,000 in wages voluntary coverage coverage remains in effect until the employer provides notice by April 30th to terminate coverage for the current year moving on we're in page 5- 284 employment not covered this was also briefly mentioned before but they're going over it again several types of employment are not covered for Reemployment assistance for purposes and workers performing these types of employment are not considered in determining an employees liability Services by so proprietor or partner or a member of a limited liability company emplo Services by employees of a church or organizations operate by religious purpose all right so this this may come up okay cuz it's it's come up multiple times in the book so this is something that may come up on the exam as well usually if that is it's going to be with respect to the employees of a church the leasing company must notify the department within 30 days of the initiation or termination of the company's relationship with the client company okay so this is the required reports payrolling payrolling is an agreement between employers whereby payrolls for two or more employers are Consolidated moving on a lot of this is redundant but we're going to cover we're covering it anyways cuz like I said I think this is important also these numbers some of these numbers are very important like the tax rate or this one for example the taxable wage base in Florida being 7,000 you know if they keep bringing it up and I keep bringing it up there's a reason for it let me see here now we're talking about taxable wages there's a lot of taxable wages but I'm focusing here the awards gifts and prizes over $25 exempt wages wages paid to employees of an organization operated for religious purposes and that is and that is operated supervised controlled principally supported by a church convention or Association of churches okay exam remember or religious organizations example cafeteria plan payments if they are not not reportable to the IRS all right penalty for failing to file electronically for employers who are required to file by electronic means failure to do so will result in a penalty of $25 per report and $1 for each employee the penalty for failing to submit payments by electronic means is $25 per remittance submission moving along installment payment op s uh we're talking about the rt6 a $5 installment fee is required once per calendar year and must be paid with the wage data and first installment payment for the quarter in which the installment election is made penalty and interest charge for a late filing $25 for each 30 days or a fraction thereof that the report is late all right correcting your report that's the form rt-8 new hire reporting okay all employers regardless of size they required to report all new hires or rehires within 20 days of an employees hire date that's for the state an employer account change form rts3 all right this talks once again about the dr1 moving on moving on tax rate regular the method of determining varying tax rates assigned to taxpaying employees is referred to as experience rating all right here what do I have highlighted 2.7% when an employer first becomes liable for the payment of re-employment taxes the beginning tax rate is 2.7% okay Reemployment tax rate notices rt20 is are mailed to employers immediately prior to the new tax rate effective date a protest of the assigned Tax Rate must be in writing within 20 days from the date the Reemployment tax rate notice is mailed okay me see the penalty tax rate 5.4% if the new owner is already liable and elects to transfer the predecessor's tax rate history the rt-1 S must be signed and stated above and returned within 30 days 30 days mandatory transfers employers must notify the department in writing of any total or partial transfer or trade or business within 90 days after the date of transfer if there was any common ownership let me see Federal certification the credit is limited to 90% of the amount that would have been allowable as a credit if the state tax had been paid on time benefits um for example if there were two base periods employers each having paid 3,000 in the base period each would be charged 50% of the benefits PID to the claimant wow so much interesting stuff I know Riv glossery once again um this is I think an important section because a lot a lot of times on the exam what you really see is they want to know if you know what the definition of a certain term is and those are the easiest questions to have so you might want to pay attention we're at page five we're not we're starting at 5297 but there's a glossery for this particular section okay so it's not the overall book it's just for chapter 5 so this is very very important definitely take a look at this some of these terms are important and may come up on your exam okay tax rates are right here too this is they I've highlighted it once again but tax the percentage used to compute re-employment tax initial 2.7 maximum 5.4 and the taxable wage base like I said before couple times 7,000 remember there's a reason I keep bringing it up next Employer Guide to re-employment assistant benefits monetary qualifications this is really the only one I have highlighted here so pay attention to this one the claimant base period is the first four of the last five completed calendar quarters prior to filing the claim there must be wages in two or more quarters of the base period there must be a minimum 3,400 in the base period and the total base period wages must equal at least 1.5 Times Higher quarter wages all right the benefits available in the claim are equal to 25% of the total base period wages claim is file during a year may have a maximum benefits ranging from 12 weeks when the employ unemployment rate is 5% or less to 23 weeks when the unemployment rate is at 10.5% higher or higher excuse me so yeah this is really the only section that I have highlighted here you still might want to take a look some of the other stuff that too can come up appeals any appeal must be filed within 20 days from the mailing date of the termination let me see here and gloss return terms used once again they're bringing it up again so I'm bringing it up again initial tax rate 2.7 standard tax rate 5.4 maximum tax rate also 5.4 and the amount for the wages is $7,000 so that's pretty much it for chapter 5 um we definitely covered a lot of information and um it really isn't as difficult as you know a lot of times it looks uh there's definitely a lot of pages in here and a lot of legal Le and a lot of like lawyer talk but it doesn't really have to be that way there's there's really only a few sections in this chapter that I think are truly truly important and they even throughout this chapter they keep bringing it up and kind of pounding it in you like such as tax rates those are the things you really need to focus on that's the stuff that's highly likely to come up on the exam um once again I appreciate you joining me uh on this for this video if you have any questions please feel free to ask them in the comments um any if you want to say anything if you want me to explain anything please let me know and I'll see what I can do this is um I know it's I know it's not an easy chapter and I know these are not easy topics but I think you're doing great and uh so just keep keep staying with me and I'll be posting more uh more videos and more chapters in uh the next few days once again uh thank you for watching my video and and uh have a great day