The economic stimulus package contains provisions affecting employers.
The American Recovery and Reinvestment Act of 2009, or simply stated stimulus package, will affect many aspects of employment over the next several years. The stimulus package addresses employee benefits, taxable income, unemployment benefits and information privacy rights. Over the next several weeks, StaffScapes’ blogs will be written to explain in more details these items. However, this blog will give a brief description of the affected programs. These changes include:
· Potential subsidy for COBRA or state continuation of Health Insurance for laid-off workers.
· Tax credit for 2009 and 2010, reducing Income Tax withholding or claimed on tax return
· Increase non-taxable amount of mass transit and vanpool benefits
· Unemployment had major revisions including: extended coverage period; increase maximum benefits; exclusion of a portion of benefits as taxable income; increasing reasons to award benefits
· Changes to HIPAA electronic records retention and transmission as well as expanding definition of Business Associate and responsibilities
Now more than ever, small to medium sized businesses need to partner with experts in the employment industry. StaffScapes, Inc., as a full service PEO (Professional Employer Organization), assists and guides our clients through the maze of employment rules, laws and regulations. Contact us today, to learn more about how StaffScapes can help you weather this economic and regulatory storm.