Returning Value Blog

Your employees use Form W-4, “Employee’s Withholding Certificate,” to tell you how much federal income tax to withhold from their pay. Most forms are routine, but an altered certificate, unusual accompanying statement, or IRS lock-in letter may require special handling. Knowing how to respond can help your business meet its withholding obligations without becoming involved in an employee’s personal tax dispute.

For many employers, one of the most common payroll misconceptions is that employees can simply request that no Alabama state income tax be withheld from their paycheck. Under Alabama law, that is not the case. Alabama Department of Revenue has been adding more emphasis on this as of late.

The IRS has announced an increase to the optional standard mileage rate for business use of a personal vehicle, raising the rate to 76 cents per mile for business travel beginning July 1, 2026. Business mileage incurred during the first six months of 2026 should continue to be calculated using the prior 72.5-cent-per-mile rate.

The Internal Revenue Service has announced a new, streamlined way for taxpayers to extend the period of time for the IRS and the IRS Independent Office of Appeals to review a taxpayer’s response to a disallowance of an Employee Retention Credit (ERC) claim to avoid refund litigation.

High-performing workplaces such as Google, IBM, Nissan, and Starbucks are among a growing list of organizations that have benefited from having their employees participate in stay interviews. Traditionally, most companies conduct only two interviews: the hiring interview and the exit interview. By the time a company is ready to complete an exit interview, it's too late to address any of the employees' concerns that might have prevented them from looking outside the firm for a job.

 Many businesses offer health care and dependent care flexible spending accounts (FSAs) as part of their employee benefits package. These plans provide valuable tax savings to employees and payroll tax savings to employers.

According to the Bureau of Labor Statistics, more than one-third of American workers performed some or all of their work from home. There is no question that remote work will continue to be an option for many. With that said, it is important for organizations that offer this to have a firm policy in place. If companies have learned anything from the pandemic, it is that they need to be prepared for the unexpected. Employees need to be able to conduct business wherever they may be.

Perks are an important part of an employee's work experience. While employees expect to receive a paycheck at the end of the pay period, it's the extras that give working at your company a competitive edge. It might interest you to know that 7 out of 10 employees would be willing to leave their current job for better benefits somewhere else. 

Life has a way of throwing curveballs at us that require time away from work to resolve them. Running a personal errand, taking a sick family member to a doctor's appointment, or attending a child's parent-teacher conference are some examples of when having paid time off to be used at your own discretion is greatly valued. Employees no longer need to categorize their absence; all time away from work comes from the same single source.