With the complexity of labor regulations and their recent modifications, a small business accountant’s knowledge becomes quite useful. According to the law, starting on January 1, 2024, companies in Florida were compelled to raise the minimum wage to $16 per hour. In order to avoid penalties, it is crucial that small company owners and employers in Florida are aware of these rules.
The hourly wage was fifteen dollars before, but it is now sixteen dollars. This implies that exempt employees will now have to pay an annual minimum compensation of $66,560, which is an increase above the prior sum. Employers are required to maintain wage statements and make sure they abide by the Wage Theft Protection Act. If you own a small company in Florida, make sure to consult accountants in pembroke pines fl, to tackle the situation legally.
What should Florida company owners know about the new wage hikes?
Knowledge is power, and if you lack it, you will be powerless. There are specifics you should be aware of, as well as tactics to employ if you operate a small business in Florida. This will assist you in staying in compliance and avoiding fines.
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Recognize The New Pay Scales.
On January 1, 2024, Florida’s minimum wage was raised from $15.50 to $16.00. As a result, you should keep in mind these prices and educate yourself on the relevant rules and regulations. It’s critical to realize that they pertain to both salaried and hourly workers. Keep in mind that it will also have an impact on full-time exempt employees’ yearly salaries.
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Adopt The Guidelines For Wage Theft Protection.
Guidelines and regulations are always going to be there. Employers are now required by Florida law to furnish non-exempt workers with a new Pay Theft Protection Act Notice along with updated pay statements. This is to guarantee both openness in the workplace and conformity with the law. This also gives employees the mental security they deserve.
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Consult With a Cpa For Advice.
Even though you might not believe a pay raise legislation could be complicated enough to mislead you, it will be. It might be beneficial to work with a CPA who specializes in labor legislation. They can assist you in comprehending how the higher minimum wage will affect your finances.
It will also have an impact on your budget because you will be paying extra for your staff. A CPA will, therefore, assist in determining which areas require change. Above all, a CPA is conscious of updated rules or laws.
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Revise The Payroll Procedures of Your Business.
Your business has to upgrade its payroll systems to make sure they comply with the new wage regulations. This entails altering the pay scales and ensuring that each worker receives at least the newly established annual minimum wage. In addition, be sure that the systems quickly reflect any modifications if your business makes use of payroll software.
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Examine The Employee Categories.
Policies and Procedures of your organization will require you to review data and classification categories. Reviewing employee categories is your duty as an employer or business owner, particularly for individuals who the new rule will impact. It is imperative that you update this information and reclassify any presently employed individuals who are exempt from this requirement. This guarantees the preservation of employee rights.
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Ensure That The Employees Are Aware of The Changes.
Even if your staff members might already be aware of the new legislation, it’s crucial to maintain efficient lines of communication at work. Your employees have to be aware of the additional information on the pay raise and how it will affect their yearly compensation and working circumstances. The likelihood of miscommunications decreases with increased staff communication.