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Three things I learned from MATS 2011

This past weekend, I had the good fortune to attend the Mid-American Truck Show in Louisville, KY. This was my first time coming to the show and I went there to reconnect with people I’ve talked to through the webinars we’ve offered and through conversations over the years.  In addition, I went down there to look at getting a booth for next year’s show.  Through all of this I learned a few things that I’d like to share.

1.  There are a lot of organizations dedicated to trucking and in a broad variety of product offerings.  I expected to see all the truck and trailer manufacturers, the big load boards, and some insurance carriers and I wasn’t disappointed.  There were also many different parts suppliers down to nuts and bolts, a dozen different people with ways to improve your fuel mileage, and people dedicated to making sure your business is properly organized.  By organized, I mean incorporated or LLC, not neat and tidy type of organized although there was probably someone doing that too.

2.  Technolgy continues to evolve the industry.  Advances continue to propel the trucking industry forward through many channels.  As I mentioned above, there are many companies working on many ways to improve your MPG.  Some use additives to your fuel, some offer aerodynamic advantages with equipment and of course the newer engines bring improvements over their older models.  But that’s just one form of technological improvement.  There are also better software options to find loads, track trucks, communicate with drivers, and generate invoices; many of these can be done from your phone.  With each year the technology gets more and more user friendly and more and more accepted by the consumers.

3.  You need more than one day to properly visit all the booths.  Anyone who has attended MATS already knew this but there are just too many people to talk to get them all in one day.  I reccommend at least 2 days.  Case the whole area on day one and go back on day two to have conversations with the people you want to talk to in more detail.  Also, wear good walking shoes as you’ll walk some miles going from booth to booth.

Are you ready for increased Workers Comp rates?

Fleet Owner Magazine Online has an articlehttp://fleetowner.com/management/news/workman-comp-costing-fleets-0307/?cid=nl_flo_dn&YM_RID= that suggests that fleet worker’s comp rates will be rising due to cost and economic factors.  Is your company doing everything it can to lower your premiums?  We can help.  Call us at (866) 296-5911 for a free review of your payroll practices.

If you’re an Owner Operator, are you covered if you slip and fall?

This morning, I received a call from an client that is a new owner-operator.  He fell on the ice at the shipper and hurt his shoulder.  The expense for his injury will probably be covered by the shipper’s liability insurance but what it it wasn’t?  What if the injury had happened in his driveway?  One of the things that many owner-operators seems to forget is that they are responsible for their own workplace accident insurance.  A driver that runs for another company is covered by the company’s worker’s compensation policy.  As an owner-operator, you need to get your own coverage.

We don’t sell insurance (we leave it to the experts), but if you aren’t going to get full worker’s comp becuase of the cost, at least consider an occupational accident policy.  Occupational accident insurance offers many of the same coverages as worker’s comp but at a lower cost.  There are differences and your insurance agent should be able to explain them better than me but please go see them before you become the next tragic story.

If you need a truck insurance agent, email me at mritzema@truckingpayroll.com and I’ll connect you with one.

Mike

Tax tip for truck drivers

Here’s some free tax advice for your truck drivers.  If the driver is not paid $59.00 per day in per diem for each day over the road, they can deduct it from their taxes on IRS Form 2106.  Also, if they are paid per diem, but it does not total $59.00 per day on the road, the driver can deduct the difference.  The deduction is subject to a 2% floor so only the amount greater than 2% of the taxpayer’s adjusted gross income is deductable but every bit helps.  See your tax professional for details or email me at mritzema@truckingpayroll.com and we’ll walk you through it.

Michigan employers and IRS form 940

For those of you working on your IRS form 940 in Michigan, Indiana or South Carolina, don’t forget Schedule “A”.  That’s the credit reduction for states that owe the feds money for unemployment.  In Michigan it amounts to 0.6% of FUTA taxable wages and half that for Indiana and South Carolina.  A link to the Schedule is here.  Please let us know if you need any help with this.  You can call us at (866) 296-5911 or email me at mritzema@truckingpayroll.com.

Good luck!

W-2 Printing Services

It’s W-2 time and this year we are offering to print W-2′s and W-3′s for companies that do their payroll in house or pay too much for their payroll provider to generate them.  If you have the data in an exportable format (excel, CSV, etc…) we’ll print six copies of your W-2′s and your W-3 for $5.00 per employee.  There is a $40.00 minimum per order.

If you are already a client of ours, your W-2 fee was included in your regular rate so there will not be an additional charge.

Call us at (866) 296-7911 for more details.

We’ve moved!

Happy new year everyone!

We are happy to announce that we’ve moved into a  new and bigger office!  You can find us at 6151 28th ST SE, Suite 7.  We’re across the street from the Huntington Bank branch in Cascade.  Stop by and say hi if you’re in the neighborhood.

Tax bill finalized

Well, we finally have an idea on how to set up tax rates for payroll for next year. The House and Senate have passed what is essentially the compromise that the President and Republican leaders agreed on last week.  It was decent of them to give you two whole weeks to change your FICA calculations and tax rates.  We’ll get it done though.

Make sure you adjust your employee FICA only, not the employer FICA.  Call us if you have questions or need help!

New Client #21

This week, we happily welcome Magic Transportation Co as our 21st client!  We’re honored that they’ve placed their trust in us to be their payroll solution.  We’re making their conversion effortless for them and we look forward to serving them for years to come.

FUTA Payroll Tax Rate Increase in Michigan, Indiana and South Carolina

The IRS has announced that Michigan, Indiana and South Carolina will be credit reduction states for 2010 FUTA Tax Returns.  To companies with employees in these states this means that you’ll owe additional FUTA Tax beyond the 0.8% of the first $7000.00 in wages paid to each employee.  In South Carlina and Indiana, it means that you’ll owe an extra 0.3% and in Michigan would owe an extra 0.6%!  For Michigan employers, that totals $42.00 per employee that earned at least $7000.00 in 2010.

Business owners in these states will want to make sure that Schedule A is attached to their IRS Form 940 in these states.  Failing to comply may cost your company penalties and interest in addition to the extra tax.  Don’t pay any more than you have to!