Among the questions we receive about payroll, bookkeeping and taxes, we also have received multiple requests regarding recycling of used electronics. After some research, we have confirmed that most municipalities have drop off locations for recyclable items.

But did you know that Best Buy is the nation’s largest retail recycle of used electronics and appliances? They’ll recycle all kinds of used technology items regardless of where you bought it or how old it is or who made it.   They also run different promotions each month.

Go to their website and find out if your item has value and trade it in for a Best Buy gift card. Please note, this recycle program is designed for residents – not businesses.

Thank you Best Buy.

Reduce. Reuse. Recycle.

I’ve heard that determination and elbow grease are all that you need to make it big in business today. While that may be somewhat true, bringing on new business and retaining existing customers also requires knowledge, critical thinking, technology, problem solving, patience, talent and empathy. Empathy? Yes, empathy.

In the payroll world for instance, we are required to have a robust knowledge of the payroll industry and the constant changes in legislation and laws. Staying current on all these regulations is crucial to the legitimacy of our business.   We must meet all deadlines, provide accurate paychecks, file correct returns and make timely tax payments. But every payroll service must do the same or they will not be in business for long. So what can set us apart? What can set your business apart?

Empathy. The definition of empathy is the capacity to understand or feel what another person is experiencing from within their frame of reference, i.e. the capacity to place oneself in another’s position. Today more than ever, successful businesses must develop strong relationships with their customers. They must have a connection with their customers. They need to find things they have in common. They must relate.

Last week, I returned home after being with my 11-month-old granddaughter for five days. I went to a local gift shop and was chatting with the sales lady – who was gift wrapping my purchases (a service she does for free) and we got to talking about our grandchildren. As I welled up with tears because I was missing my granddaughter, she welled up with tears because 3 of her grandchildren live 3 states away and she only see them 3 times a year. Upon my leaving, she said, “you come on back if you ever need someone to cry with you over missing your grandbaby.” I sure will.

Building and maintaining relationships is the key to running a successful business. We need to build trust, listen, give and receive feedback and develop empathy. All business can “cut checks”. But business isn’t about that. It’s about people and how we can better serve them. Relationships. Trust. Integrity. Empathy.

The trend to outsource payroll is definitely on the rise.

The return on investment, if done correctly, will include higher efficiency, re-engineered processes, lower costs, and less time spent managing the process. This should leave you with a leaner organization that will allow you to focus on growing your business.

There are several areas to consider when making this transition.

Price.   A cheaper price may cover basic services but then may charge for each deduction, call, email, click or quarterly returns.  As with everything else, you get what you pay for and if it sounds too good to be true, it usually is.

Understanding services needed.  Be sure to properly define the services that you will be receiving to make sure that you get what you pay for and are not paying for something that you do not require.  Are you looking for timekeeping, HR services, tracking vacation etc.

Experience. Hiring a local CPA firm may gain you well-trained accountants but this will only benefit you if they have expertise in managing payroll processing. Many CPA firms focus on the bigger picture in accounting vs all the parts that make up the end result.

Do your homework.  Be sure to evaluate the current cost of processing your payroll. This includes salaries, benefits, payroll taxes for staff along with the overhead cost for running the department. How much time does your staff spend on answering questions from the employees?  Are you utilizing the latest technology?  Is the data secure and backed up properly?  Do you have multiple employees able to run the payroll in the event someone is out sick?  How much do you spend updating your payroll software each year?

Security and Confidentiality.  A big plus for outsourcing payroll is keeping things confidential such as rates of pay, bonuses and other benefits.  There is nothing more detrimental to staff morale than having rates of pay disclosed to employees receiving less pay.

Ask for References.  Any firm that is in the business of processing payroll should be able to provide multiple references for you to contact and find out if the provider is a good match for you and your company.

In October we spent two hours having staff pictures taken so we could update our website, the photographer’s computer was out for repairs so it took until mid-December to get the photos.  (They look great – so it was worth the wait.)

On Tuesday, I spent 4 hours updating the employee bios for the “About Us” page of the website, picking out new pictures and updating our available services.  Our web guy made all the changes and life was good again – back to working on building our business – or so I thought.

I got to the office this morning and our internet speed was brutally slow – and I mean brutal.  We pay for 20 mb and were getting less than 1.  So a call to our telephone provider ensued (who by the way is the only option we have – lucky for them).

After being on the phone for 45 minutes, I was informed that I was going to lose what little internet we had for a while – great – I was on an internet phone – and of course, the tech could not call me back because his phone only rings in.  So I called back and 20 minutes later, reached the new tech.  His first question to me was what number could I be reached at so he could call me back if we got disconnected. What?  Call me back??  Okay – whatever.

An hour later, he discovered that our “new” modem was actually a refurbished modem (which I paid full price for) and still had the old user’s name and password so was not communicating with CenturyLink for upgrades.  Another morning gone and no business building…

A CPA once told me that the people who bring their books in squeaky clean and timely are usually not as successful in their businesses as those who are a little behind and a little stressed when it comes to their books.  The reason?  Those who are under the gun have usually spent more time building their business than recording it.

One goal for us in 2018 will be to spend more time building our business than administering and recording it.  First thing on the list – make a “To Do List” to stay focused.  Let’s get building!

I received word today that the Social Security wage base (the amount of taxable wages earned per individual that is subject to social security tax each year) has been lowered – a whopping $300! What?!?!?

Why would they make a change of $300 from $128,700 to $128,400? Is this for real? I have conversations with my children like “pick your battles” “is this worth arguing over” “will this matter in 5 years” “does what you’re doing make sense” etc.   I am thinking I ought to have the same conversation with the “Powers That Be.”

In the big scheme of things, I am sure this is not a big deal, except that every payroll software must be updated and every payroll specialist must memorize a new amount.   Each company that pays its employees over $128,400 will save up to $18.60 per employee and those employees likewise will save up to $18.60 per year.

I also discovered today that my little, local chocolate shop is out of sponge candy (angel food candy). Again, what?!?!? I NEED this for St. Nicholas Day next week.

Let’s see, IF I DID make $128,700 – I could actually purchase an additional 5 pounds of angel food candy next year, provided the store doesn’t run out.  Sometimes one just has to shake their head and wonder…

It is with a grateful heart that we at Wisconsin Pay send out Thanksgiving wishes to all of you.  Upon reflection of the past twelve months, we realize once again that we have so much to be grateful for.

I am thankful, I never, ever wake up to bombs exploding, or gunfire aimed at anything other than deer.

I am thankful, I do not know what it feels like to offer my child a cookie made of lard, salt, clay and water – just to ease their hunger pangs for a little while.

I am thankful, I do not know what it truly feels like to not know where my next meal will come from.

I am thankful, I do not know what it feels like to be afraid to be in my church – or afraid of praying – or afraid to share my faith with others.

I am thankful to live in the greatest country in the world, surrounded by an incredible family and friends.

From all of us – to all of you, have a Blessed Thanksgiving.

What if today, we were grateful for everything? – Charlie Brown

Unfortunately, our politicians and top CEO’s have pushed for trade to China and Mexico for years so Americans are now out of work. Did you know that there is no electric coffee maker made in the US and that the only kitchen appliance made in the US is Viking?

Costco sells Goodyear wiper blades for almost half the price that you will pay on the outside and they are made in the USA.

Hallmark cards – many are made in China. That is also why I don’t buy cards at Hallmark anymore.  They are made in China and are more expensive! I buy them at Dollar Tree – 50 cents each and made in USA.

I have been looking at the blenders available on the Internet. Kitchen Aid is made in the US – top of my list already.

Yesterday I was in Wal Mart looking for a wastebasket. I found some made in China for $6.99. I didn’t want to pay that much so I asked the lady if they had any others. She took me to another department and they had some at $2.50 made in USA. They are just as good. Same as a kitchen rug I needed, I found some made in the USA – and they were $3.00 cheaper.

We are being brainwashed to believe that everything that comes from China and Mexico is cheaper. Not so.

Hose attachments at Lowe’s were all made in China. Ace Hardware – the hose attachments there were made in USA.

Start looking, in our current economic situation, every little thing we buy or do affects someone else – most often, their job.

Some Hershey’s candy is now marked “made in Mexico”.

Colgate toothpaste is made in Mexico – make the switch to Crest.

GE light bulbs – made in Mexico. Store brand – made in the US (Cleveland, OH) and cheaper!

We should read the labels on everything.

It’s way past time to start finding and buying products you use every day that are made right here.

We’ve talked about “shopping local” and now we need to step it up and start buying “local” as in “MADE IN THE (good ole) U S A”.

Just a reminder, effective December 1, 2016, the FLSA will require the minimum salary for salaried non-exempt workers to be $913 per week ($1826 bi-weekly) $47,476 per year – up from $455 per week or $23,600 per year.

It is of my opinion that trying to track “salaried non-exempt” is going to be confusing to employers and their employees.

Our recommendation is to change all non-exempt employees who are making less than $913 per week (gross salary) to hourly employees or increase their salary to $913 effective December 1.

Either way, you will be responsible to pay over time for any hours worked over 40 per week unless they are truly salary “exempt” (from overtime) such as outside sales employees, executive job duties such as 1) regularly supervises two or more other employees 2) has management as the primary duty of the position and 3) has genuine input as to hiring, firing, promotions and assignments; or exempt professionals such as teachers, lawyers, doctors, dentists, architects, accountants (but not bookkeepers), registered nurses (but not LPN or CN), engineers, actuaries, scientists, pharmacists, computer technicians, or administrative functions.

Ultimately, the responsibility lies with the employer to make the determination of their employee’s status. If in doubt, you can go to the following link http://www.flsa.com/coverage.html for a comprehensive summary of coverage under the FLSA. Keep in mind the document does not have the new minimum pay rates; but the rest of the information is accurate.

The Social Security Administration is very excited about a new online service that is available for individuals to request a replacement Social Security card using the “my Social Security” account.

The SSA is advertising that you can avoid a trip to your local Social Security office and is encouraging individuals to share this good news with friends and family.  The service is available by going to www.socialsecurity.gov/ssnumber.

This is also the site where you can verify your annual earnings each year and get an estimate of your future benefits.  If you currently receive Social Security benefits, you can use your account to change your address and telephone number, change your direct deposit or get a replacement SSA-1099 or SSA-1042S for your taxes.

The hope is that you take advantage of their “many services” available through their “convenient, secure, and free my Social Security Account”.

With that being said, I just received an email from a virus protection provider advising us that the cyber world is continuing to be a great place for miscreants to provide big headaches for anyone and everyone connected to the internet.   They bad guys are now able to include malicious code in Microsoft Word attachments and who knows what / where else we are at risk these days.

Identity theft is also at an all-time high.

So my questions are, do we want / need to be able to get replacement Social Security cards online?  Should we be able to update our banking information, address or telephone numbers on that site?

While I am all in favor of new technologies, I am definitely not in favor of this move by the SSA.

To provide a 1099 or not to provide…  That is the question.

Let’s clarify a few things.

If you paid someone for services, such as paying commission for items he/she sold for you, shoveling your sidewalk, or preparing your payroll, etc., then you are required to issue a 1099-Misc to that person, provided you paid him/her more than $600 in a year and made the payments to an individual and not to a corporation.

If you paid someone for any type of product or merchandise, you do NOT issue a 1099; 1099s are for service only.  This includes items sold on consignment.

How you report the expense on your tax return is not affected by whether or not you issue a 1099-MISC.  You report it the same way.

In summary, you issue a 1099-MISC only for payments for services, not for merchandise.  So if you buy merchandise from someone, you do not issue a 1099-MISC, no matter how much you paid.