SE doesn't take out federal and state taxes, only
Posted By: SS tax. Pays half and takes out half. nm on 2006-01-05
In Reply to: As an IC you are responsible - cc
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They must deduct FEDERAL taxes.. NOT STATE taxes.. if they took out state taxes.. it would be FLORID
which would only have to be refunded to you for you to pay YOUR state what you owe them which is nothing but a pain... be glad they weren't handling your state tax.. and I think in this case.. if someone at the IRS told you they have to deduct YOUR states taxes.. it is that person who is uneducated... they only have to deduce federal income tax
Does your MTSO take out all federal/state employee taxes? nm
nm
Not state by state, federal labor law - sm
and you don't have to be asked. If you work it, asked or not, they have to pay time and a half OT rate for hours worked over 40 in a week.
Taken right from U.S. Dept of Labor -
An employer who requires or PERMITS an employee to work overtime is generally required to pay the employee premium pay for such overtime work. Employees covered by the Fair Labor Standards Act (FLSA)MUST receive overtime pay for hours worked in excess of 40 in a workweek of at least one and one-half times their regular rates of pay. The FLSA does not require overtime pay for work on Saturdays, Sundays, holidays, or regular days of rest.
Extra pay for working weekends or nights is a matter of agreement between the employer and the employee (or the employee's representative). The FLSA does not require extra pay for weekend or night work or double time pay.
Do they take out for all taxes or just the Federal and you pay your own local? nm
s
If company is in state that has no state taxes
they are not required to take out state taxes. It's enough to keep up with your own state tax law code, could you imagine having to stay abreast of 49 other state tax codes? The cost would be huge and ultimately passed on to us by lower line rates. Regardless of who owes the tax, someone has to pay it. Just a matter of convenience I guess.
Medware and state taxes
I was told by someone in the IRS that Medware should be taking out state taxes in my paycheck, but nothing has been done about this, and I have to pay my state taxes myself. I don't know how they get away with this.
state payroll taxes
My previous job was in the payroll department for a fairly large manufacturing company. We had employees in about 18 states other than NC. We had tax tables from any state that we had employees, and we were required to withhold based on those tables. We did have one that did not require us to withhold taxes but it wasn't Florida.
No. You have the taxes taken out for the state that you live in.
If you do not live in the state where the company is located, that state income taxes do not apply to you--only the state where you live applies to you. You do NOT work in the state where the company is headquartered. Ask any CPA and just look at the website of the state. You should not have taxes taken out for a state you do not reside because you do not have to pay taxes for a state where you do not reside. You only pay for a state where you live.
Medware & State Taxes
Actually, this is a common practice for many companies and well within the law. They can't take out your state taxes in Florida, (a) because Florida doesn't have state income tax, (b) you don't live in Florida, and (c) it would be quite a headache when tax time rolls around and you have to claim two states that you work in, even though you actually don't. I have paid my own taxes for years.
Plus, Medware states in their email that was sent to me: At this time today, if you are considering employee status we DO NOT hold out (state) income tax. We are a Florida-based company and Florida does not have state income tax. This will need to be filed by you individually depending upon what state you live in and whether or not you have a state income tax.
They also do not withhold state taxes and
there is no way that is legal in my state as it is my state law that if you are employed by an employer outside the state, that employer MUST withhold state taxes. My state has been investigating them for awhile but I still don't know what happened with that, but I will ask.
Reminds me of another company who used to withhold money for our insurance premiums. Well guess what...when we needed to use our insurance, found out there was none! They too were reported (this was not MW), but all we got was our money back that we paid for the insurance. Sad huh?
These companies are pathetic and I have no respect for this industry whatsoever.
They should take out state taxes for the state
nm
If you are employee and have state taxes, your employer should take out.
I reported a company to my state, who clearly defines on their internet site that if an employee lives in our state yet works for a company in another state that might not have state taxes (for instance, Florida), the company in Florida HAS to comply with taking out state taxes.
From what my state told me, they fined the company heavily for not having deducted state taxes. Check with your state first and see what the law is.
This only applies to employee though.
They refuse to deduct state taxes, if that's
nm
They take out for FICA. You are responsible for state and fed taxes. nm
I have never had a problem with an employer withholding state taxes except with one
employer. They say they do not have to but my state says they do. Just the fact that my state sent me back all their late fees because I refused to do the job of the employer tells me I was right in waiting to pay until tax time. That brought it to the attention of my state. I can't wait to see the get the penalty and interest my state will charge them. I know it will take some time for the state to research how many work in my state (and I know at least six minimally), so I will just sit back and wait. My state does not give money back to you readily. LOL High state taxes so when you get your late fees back, you know then the employer being fined is only a matter of time.
I work for a company in Florida too who gladly pays state taxes because
they know it is the law.
What state are you in? Doesn't seem like it would be a franchise type of business. nm
s
Unless something has changed, health insurance rates vary state by state, so we may not have the
info you need. I'm an IC so I don't have benefits.
You are correct. The state that rules is the state the employee lives in.
My state laws has is spelled out in their Code. If another state does not withhold, they are fined heavily and if they don't withhold for years, their fines are pretty bad. I worked for a Florida co that did not withhold income tax for my state even after I brought it to their attention in the state code. They kept saying that they would eventually and never did. After two plus years and when I left, I made it known to my state all the conversations, the state refunded me all late fees they charged me and then said they were going after the company in Florida because they had many employees in our state. They deserved it. They knew better.
The state you live in or the state where the MTSO is located? nm
nm
Uh, are you sure about Federal? sm
This may depend entirely on the MTSO, but as an SE with MQ, they did in fact withhold federal taxes for me, (but not state taxes.)
So, a federal law
for payment of overtime only applies to whatever hours the facility or company defines as overtime; not all based on a 40-hour week?
It is a federal offense
If the federal government checks the time the employee is producing work from the company software instead of the falsified time sheet and finds it is consistent across the board, the company will definitely be in a huge amount of hot water. I don't work for them and never have. I have my own small company with just me and two more employees, but if this is going on, the employees would have a firm case. They should also document the calls or even record them when they are called to work extra. Just my two cents. I hope this helps.
If you are an employee, they have federal
guidelines to follow to ensure you make at least minimum wage and to reference for overtime purposes.
Clocking in/out does not necessarily mean a loss of flexibility. It does mean some accountability, though.
You can go on line and get the Federal
forms from the IRS. I never did state, they were never that much anyway.
Your federal ID is just your SS number.
I am not an IC at Transcend, but I do some IC work in my local area. All I needed for this was to get a business license in my city of residence, for a home-based business. It costs me $26 a year, but I'm sure that will vary widely depending on where you live. (And that fee is tax-deductible.)
That's all it takes to become an 'established company,' to the best of my knowledge. Instead of a W2 at tax time you get a 1099.
Just call your city hall and ask them how to get a license to set up a home-based business.
If you have a home-based business you can write off all your computer equipment and repairs, and if your accountant is savvy enough, you can even take the home office tax deduction. Mine told me that is no longer an audit red flag because so many people are telecommuting now.
Different state to state. You would be surprised to find
IC can be defined differently state to state. Even the IRS cannot come up with a definitive set of rules. You would be surprised how many ICs actually get unemployment in some states. If the unemployment claim form asks specifically if you are an independent contractor, do not lie, but if it does not, do not volunteer it. Let the company prove you are a true IC according to the rules of your state. All you lose is a few minutes filling out the claim form. I would only do it as a last resort. If you can find work fast, by all means go for it, but the way things are now with all the VR and off-shoring, it is a backup if you cannot find work. No one should go hungry because they are afraid to file for Unemployment as an IC.
Federal Trade Commission ........ nm
ss
WHY NOT MAIL THEM COPY OF FEDERAL....SM
and labor board guidelines regarding employment of independent contractors and the difference between IC and employment status. They cannot have it both ways...have their cake and eat it, too. They don't want to pay taxes, Soc Sec, and benefits for MTs.....but they still want the same control over the MT . Same mentality of most MTSO's....insulting our common sense & intelligence bec. they've soooooooo smart and we're are, collectively, soooooooo dumb!  
Several years ago, they passed a federal law
That law says that companies with over a certain number of employees have to provide advance notice (I thought it was 30 days, but maybe it's 60 days, I dunno)before just closing up shop and doing mass layoffs.
I do NOT think that law would apply to smaller transcription MTSOs with fewer than 50 employees or so.
It would absolutely apply to Medquist, though!
I google federal layoff law. sm
http://www.google.com/search?hl=en&q=federal+layoff+notice+law&aq=f&oq=
Can click open articles.
Companys should at least be reported to the Federal labor department so those coming up from behind. Sadly people need to be MADE to be decent to their fellow humans
Heartlanders-find a Federal resource to help
Although my job has not been displaced, I can emphasize with your predicament. I have seen the decline in pay and benefits as a direct result of offshoring and only being able to find a job with a MTSO who stands against offshoring by sacrificing about 30% of what I had just 3 years ago. Now I have custody of a 2 yo and because I make just barely above the 200% poverty level, I do not qualify for goverment benefits that I have been paying into for the past 30 years; however, because of certain federal funds being administered differently at the discretion of different states, I could move to a different state and the 200% limit would not apply to me!
In researching what benefits ARE available to me, I found the website I have linked below. There are benefits available to persons who have lost their jobs to offshoring but I would like to point out one thing:
ONE of the programs requires that at least 3 OR MORE persons having been affected apply for the benefit. So please for the sake of each of you that are going through your own crises, band together so each of you can find a solution that works for your own needs. Please leave the ability to email each other in your posts so you can network. You need each other's support now more than ever! Find out what you CAN do for yourselves and for each other. What have you been paying taxes for all this time? You deserve whatever benefits you can obtain...you have already PAID for them!
Here's The Federal Law on Mass Layoff Notice
http://www.doleta.gov/programs/factsht/warn.htm
This only pertains to federal health programs
Like VA. It says if the MTSO is paid with federal money, then they are subject to all these things.
ANY federal money - included Medicare and almost
I could be wrong, but I read it to mean ANY federal money which includes Medicare/Medicaid, and there are probably not too many hospitals, clinics, or private doctor's offices that do not have at least 1 Medicare/Medicaid patient. Seems to me they would not be too worried about all the listed countries for off-shoring if it was only VA, since there was already a big stink about off-shoring VA records. But then, as I said, I could be reading it wrong. I guess only time will tell.
Overtime is calculated in Elabor, in compliance with federal law....
We enter our hours into Elabor each day, and OT is calculated. Right now, with a slow workload, I doubt overtime is approved. As a matter of fact, it is not approved.
MTSOs have a unique loophole in the FMLA Federal
MTSOs have a unique loophole. I got caught up in it a couple of years ago when trying to use medical leave for my personal medical illness.
Here are the Federal Requirements:
EMPLOYEE ELIGIBILITY
To be eligible for FMLA benefits, an employee must:
• work for a covered employer;
• have worked for the employer for a total of 12 months;
• have worked at least 1,250 hours over the previous 12 months; and
• work at a location in the United States or in any territory or possession of the United States where at least 50 employees are employed by the employer within 75 miles.
The loophole for MTSOs is the last one …”50 employees… within 75 miles.” MTSOs can interpret that to mean “50 employees who WORK FOR SPHERIS” within 75 miles of EACH OTHER. So, if you live in the middle of Wyoming, there may not be 50 employees within a 75 mile radius of your home. Thus, the loophole, which some MTSOs actually do use.
HOWEVER, some employees do have a counter-loophole. States also have FMLA requirements, and the State that you live in supersedes Federal requirements. In my case my Sate does not have the “75 mile radius” requirement, so after I contacted my MTSO and informed them of that, they backed down and approved all the leave I wanted.
Check out your State requirements to see if they are different. If they are not, if you can survive with 6 weeks and want to keep your job, I would not rock-the-boat any further. Personally, I would use those 6 weeks to find another employer who is more employee friendly, if there are any left out there.
Good Luck and Congratulations on the new Baby.
To be independent at Transcend, have to have own company established and federal ID number?
I guess that about tells it all, does it not? In other words not just the required 8 hour weekend but also you have to have established company. I wonder how many fit under that category?
Doesn't apply if your OSI account doesn't use Ichart.
It is the Ichart only for OSi where you are cheated.
It varies from state to state
nm
Varies from state to state
My own state recognizes partial unemployment, too, when your work gets cut down to half of your regular workload/income.
TT doesn't pay for spaces or ExText doesn't
nm
That doesn't fly - KS doesn't offshore
nm
Taxes
When you work for someone you STILL PAY YOUR TAXES, your employer does NOT except for the 7.5 SS. Look at your pay check, are not taxed withheld??? As an IC you are RESPONSIBLE for withholding your own taxes and sending them in but either as an employee or a IC -- you still PAY them, except for the 7.5 of social security. Sorry but it bugs me when people say as an IC you pay your own taxes as it is incorrect -- you are RESPONSIBLE for paying your own taxes. With your write off's, flexibility and most of the time more pay it does cover the extra SS you have to pay. Been doing it for almost 20 years.
SE and taxes
I'm seriously considering accepting a job as an SE. The employer holds and pays social security but not income tax or other federal tax. My state has no income tax, but I was wondering if I would have to pay Medicare tax as well as withholding tax. Also, is there a way to pay via IRS monthly or bimonthly rather than quarterly. This is new to me and I'm a little spooked. If I would have to pay Medicare, does anyone know what percent that is. I understand I should hold or pay 25% roughly for withholding. Help please. 
Taxes
Absolutely and you do not have to be only an IC for this write off. Even if you are an employee expenses that you incur in order to perform your job which are not reimbursed by your employer are all eligible. I write off my ink cartridges, printer paper, internet service, etc.
Taxes
I really believe a sharp CPA is worth every penny.
Taxes
It is my understanding that if the state your company is located in does not have a sales tax - then they do not handle the state taxes period. Examples would be companies located in Florida and I think Tennessee.
Taxes
The cost is the same to the employee either way, it is just the convenience of not having to deal with it. Whether they deduct it out of your check and pay it or whether they give you the full amount and you deduct it - either way you owe it and have to pay it. Of course it is less convenient to file quarterly taxes. According to my CPA the employer does not have to withhold if their state does not have state income tax. The employee is responsible for paying quarterly in order to avoid any late fines. Maybe each state has their own standards but I can't imagine all these companies in states without state taxes would be getting away with not withholding if that were the case. By the way, having more held out of hubbies return sounds like a good idea to me if you are filing jointly anyway.
Taxes
I wonder then, since this seems to be different state to state, if some of these companies would legally be able to just not employee MTs from states who require the employer, regardless of location, to handle the state taxes. I could see them thinking the paperwork/accounting costs would not be worth it.
SS taxes
just taken out of pay, you have to use bayscribe, but certain programs they can import into bayscribe and yes, they will if asked provide sample reports.
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