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Sneaky HR Tasks Eating Your Time (and How to Fix Them)

It’s time to tackle those sneaky HR time thieves and take back your calendar. Here’s how.

IT’S HERE!

Your FREE HR Checklist

Here’s your checklist of important tasks related to payroll, benefits, compliance, and general HR.

These tasks shouldn’t take up your workweek. But when systems fall short, they do. If you’re a small or mid-size business owner or HR leader, you probably didn’t get into this role because you love tracking down time-off requests, chasing signatures, or answering the same benefits question 14 times.

And yet… here we are.

Studies show that small business owners spend about 16 hours (or two full days) per week on HR-related administrative work.

Most businesses lose valuable time to the slow drip of small, repetitive “this will only take a minute,” tasks that quietly eat up the workweek. Add them up, and suddenly your strategic HR goals, like recruitment, retention, and leadership development, get pushed aside.

Here are some of the most common areas that may be draining your time.

Time-Consuming HR-Related Tasks

They seem small. But over time, these tasks drain your attention, your energy, and your progress.

1. Repetitive Tasks and Rework

Every time you hunt down a missing signature or resend login details, you lose time you could be using elsewhere. The common offenders? Answering the same employee questions over and over:

“How do I add my baby to insurance?”
“When do benefits start?”
“How many PTO days do I have left?”

Sound familiar?

Individually, these are quick answers. Collectively? They’re a constant interruption machine. When you stop to respond, you lose focus, break momentum, and push higher-value work further down your list.

🛠️ How To Fix It: Uncover the pain points. Which areas are bogging down the process due to repetition? Where can you create a self-service culture? This can mean establishing a simple internal HR hub (in your intranet, shared drive, or HR platform), short FAQs on benefits, PTO, payroll timing, and onboarding, or short videos that walk through routine processes.

Then, train employees to go there first. When someone asks a repeated question, send the link along with your answer. Over time, behavior shifts. HR becomes a source, not a help desk.

2. Correcting Payroll Errors

The latest software makes running payroll seem easy, but if something goes wrong, the liability is still yours. Miscalculating pay, outdated tax information, and manually tracking time off are time-consuming to fix, hard to catch, and expensive if you don’t, not just in terms of costs but also in lost time and eroded trust among your workers.

🛠️ How To Fix It: Automate what you can. Look for tools that let employees request time off directly, route approvals to managers, automatically update balances, and sync with payroll.

When automation handles the basics, HR shifts away from data entry to policy guidance. You’ll still handle exceptions, but you won’t be stuck crunching numbers late at night.

Or leave it to the experts by outsourcing payroll to an IRS-certified PEO. A PEO can simplify the payroll process with a cloud-based payroll portal for employers, online employee access to pay stubs, W-2s, benefits info, employee handbooks, and secure, paperless direct deposits. They can also take care of onboarding, payroll taxes, IRS deposits, benefits administration, compliance guidance, and provide HR support.

3. DIY Compliance Monitoring

Labor laws change constantly. Posting requirements update. Salary thresholds shift. Leave laws multiply. Keeping up with shifting deadlines, state-level compliance requirements, and studying the IRS’s recently updated guidance under the One Big Beautiful Bill Act. Trying to monitor all of this yourself is not only time-consuming – it’s also stressful.

One misstep can be costly. In 2025, the Department of Labor’s Wage and Hour Division recovered more than $259 million in back wages for nearly 177,000 employees. That’s an average of $1,465 per worker (the most since 2019).

🛠️ How To Fix It: Don’t carry compliance alone. Get expert help by partnering with a professional. Whether it’s through a PEO, outside counsel, or a compliance partner, get support that keeps you updated on requirements that apply to your business.

You’ll need advice on tricky employee situations, alerts on multi-state regulatory changes, new pay transparency rules, evolving paid leave requirements, changing wage-and-hour laws, new employment-related laws on AI, and much more.

🚀 Pro Tip: Stay compliant with our HR Checklist covering the latest updates and deadlines related to compliance, benefits, payroll, and general HR that you need to take care of each quarter. Download your free HR Checklist ➡️ HERE

4. Updating Employee Data in Multiple Places

Name changes. Address changes. Promotions. New pay rates. If you’re entering the same update into payroll, benefits, retirement platforms, and internal trackers, you’re doing triple-plus work and increasing the chance of errors.

🛠️ How To Fix It: Integrate your systems, invest in HR technology, or work with a PEO. A unified HR platform can help connect payroll, benefits, time tracking, and employee records, among other things.

With better integration, changes flow through automatically. That means fewer entries, fewer errors, and more free time.

5. Handling Every Employee Issue Personally

When you’re the only go-to for every conflict, complaint, or issue, your day gets hijacked fast. Some things absolutely belong with HR. But many could be resolved earlier and better by trained managers.

🛠️ How To Fix It: Upskill your managers by teaching them to give feedback, handle minor conflicts, and document specific issues. This doesn’t remove HR from the process; rather, it elevates the role, moving them from firefighter to advisor.

Stop the HR Busy Work, Amplify Your Impact

Normalizing HR busy work has real consequences, including burnout. Your top performers may feel overwhelmed by constant overtime or pressure to meet demands. It also creates dependence on key team members, making it difficult to delegate when only a few people hold essential knowledge or responsibilities.

Maintaining inefficient processes limits growth, slows project delivery, and prevents your team from focusing on strategic initiatives. 🛠️ How To Fix It: Partnering with an IRS-certified PEO can help. By taking on time-consuming tasks, PEOs help small businesses get back more time to focus on productivity and growth. In addition to saving time, a PEO can also save your business money by identifying inefficiencies, streamlining HR processes, and helping you make critical cost-cutting decisions.

Studies show that businesses working with a PEO:

☑️Grow twice as fast and are 50% less likely to go out of business

☑️Have a 12% lower employee turnover rate

☑️Have an ROI of 27.2 % per year, based on cost savings alone

☑️Experience double the a nnual median revenue growth, with an added 16% increase in profitability

If you constantly feel behind, the fix isn’t more hustle. It’s better tools, clearer processes, and the right support. A PEO can help you stop the small stuff from piling up, so you can invest your time where it matters most. And if you need help, just give us a call at📱 800-446-6567

Find Out What a PEO Can Do for You

If you’re a small to mid-sized business, a PEO can lighten your workload and strengthen your operations. Imagine focusing on growth while experts handle your payroll, taxes, benefits, HR, and compliance.

⬇️Read more about the advantages of working with a PEO in our series:

🔷 HELP WANTED: HR Team or PEO Partner

Investing in an HR team versus partnering with a PEO, which path is best for your small business? As your business grows, managing HR gets complicated – fast.

Should you build your own HR team or explore the benefits of partnering with a PEO? Here’s how to decide which choice best fits your business. ➡️Link #1Link #1Read More

🔷 NEW RESEARCH: More Small Businesses Are Turning to PEOs

Compelling research from the National Association of Professional Employer Organizations (NAPEO) shows that PEOs are helping small businesses scale – a game-changer in 2026.

Working with a PEO isn’t about outsourcing; it’s about upgrading how you manage HR. It’s about investing in smarter growth, happier employees, and peace of mind. In a business world that’s only getting more complex, that’s a benefit worth having on your side. Thousands of successful businesses are already doing it – and the data proves it works. ➡️Link #2Link #2Read More

IT’S HERE!

Your FREE HR Checklist

Here’s your checklist of important tasks related to payroll, benefits, compliance, and general HR.

About Propel HR. Propel HR is an IRS-certified PEO and a leading provider of human resources and payroll solutions for 30 years. Propel partners with small to mid-sized businesses to manage payroll, employee benefits, compliance and risks, and other HR functions in a way that maximizes efficiency and reduces costs. For more information, visit propelhr.com

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The Productivity Playbook: How to Turn Outsourcing into a Strategic Win

Here’s your game plan for turning outsourcing into a winning streak.

IT’S HERE!

Your FREE HR Checklist

Here’s your checklist of important tasks related to payroll, benefits, compliance, and general HR.

Productivity is the secret sauce that separates teams stuck on the sidelines from those with winning streaks. Chances are you’re juggling hiring, compliance, benefits, culture, and about a dozen other priorities . . . all while the clock keeps ticking.

➡️➡️Link #1Link #1Link #1Read More: HR Forecast: What’s Changing & How To Get Ready

Your power play? Outsourcing. When used strategically, it boosts productivity, streamlines operations, and frees you up to focus on what actually moves the scoreboard – your bottom line.

First Quarter: What Productivity Really Means

In HR, productivity isn’t about sprinting faster – it’s about running the right plays at the right time.

True HR productivity means delivering meaningful outcomes with minimal wasted effort. Speed matters, sure, but impact matters more.

Fast hiring doesn’t matter if turnover remains high. Smooth payroll is great . . . unless errors keep forcing replays.

At its core, productivity is about consistent, high-quality execution that supports your business year-round.

Here’s the basic stat line. The fundamental formula HR teams use looks like this: Productivity = Total Output / Total Input.

📤Output: Projects completed, revenue generated, goals achieved

📥Input: Labor hours, number of employees, or financial costs

It’s simple math but powerful when you track the right metrics.

Why HR Productivity Is For Champions

When HR productivity is dialed in, your entire team plays better.

Here’s what that looks like on the field:

🎯Better Employee Experience. Faster responses, smoother onboarding, clearer policies – all retention fuel.

🎯Stronger Compliance Defense. Mistakes lead to fines, audits, and penalties – that’s expensive. Productive HR keeps risk off the scoreboard.

🎯Scoring Efficiency. In the Red Zone, the stakes are high, and scoring opportunities significantly increase. When your HR team isn’t buried in paperwork, they can make a more strategic impact by focusing on culture, performance, and growth.

🎯Leadership Trust. HR shifts from order-taker to trusted partner.

The results? A productive HR function is the engine that keeps your people – and your business – moving forward.

The Stats Don’t Lie: Proof from the League

The data backs it up:

➡️Flexibility & Remote Work. A Gartner report finds that 43% of employees working flexible hours say they are more productive. Gallup found that fully remote workers report the highest engagement levels.

➡️Engagement Matters. Highly engaged teams are 17% – 21% more productive than disengaged ones.

➡️The Productivity Gap. Top-tier companies grew more productive, while others saw declines due to inefficient collaboration and low engagement.

🎯Winning teams don’t guess; they measure, adjust, optimize, and power up.

The Box Score: Common HR Productivity Metrics

To know how your team is performing, you need the right stats:

📊 Output Metrics. Revenue per employee, output per hour, goals completed vs. assigned

📊 Efficiency Metrics. Time spent per task, employee utilization

📊 Quality Metrics. Accuracy and impact, not just speed

📊 Engagement Indicators. Engagement scores and absenteeism.

📊 Financial Metrics. Total Cost of Workforce (TCOW)

These numbers tell you whether your plays are working and what needs to be redesigned.

Second Half Adjustments

This is where smart teams pull ahead. One of the most effective strategies? Outsourcing to a Professional Employer Organization (PEO).

A PEO helps improve productivity by offloading time-consuming tasks while strengthening the entire employee lifecycle through MVP expertise and next-level HR tech.

🔥Think of it as adding multiple Tom Bradys to your roster.

THE GAME PLAN

Play #1: Reallocate Resources to Core Strengths

The fastest productivity gain comes from freeing your teams from admin overload. By outsourcing, you get:

✅Time Savings. Business owners can spend 20+ hours per month on HR admin-related tasks. Outsourcing frees up time for growth, sales, and strategy.

✅Administrative Relief. Payroll, benefits enrollment, and multi-state compliance tasks move off your plate and into expert hands.

✅A Team of MVPs. Outsourcing gives you access to a team of pros, ready to help when you need it.

Play #2: Build a Deeper Talent Bench that Flexes

An engaged workforce is naturally more productive.

💼 Lower Turnover. Companies using PEOs see 10%–14% lower turnover, reducing disruptions and retraining time.

💼 Big-league Benefits. PEOs provide access to Fortune 500-level benefits, boosting satisfaction and engagement.

💼 Faster Onboarding. Streamlined onboarding helps new hires get in the game.

Play #3: Upgrade Your Tech Stack

PEOs give small and mid-sized businesses access to advanced HR technology without the big-ticket price tag.

📊 Automation. Payroll and tax automation reduce errors and time-consuming fixes.

📊 Employee Self-service. Employees handle PTO, pay stubs, and benefits updates themselves with fewer interruptions for HR.

Play #4: Strengthen Your Compliance Defense

Compliance isn’t optional and managing it internally can drain focus fast. With a PEO on your team, you get:

🛡️Expert Guidance. A team of HR pros helps prevent fumbles and penalties. PEOs stay on top of federal, state, and local regulations, including ACA and FMLA.

🛡️Safety Programs. Proactive safety audits reduce workplace incidents and business disruption.

Play #5: Win on the Scoreboard

All these efficiencies lead to real, measurable stats:

🏆Faster Growth. Businesses using a PEO grow 7% – 9% faster than those that don’t. And are 50% Less Likely to Go Out of Business

🏆High ROI. The average annual return on investment is 27.2% based solely on cost savings.

💥That’s not just a win – it’s a blowout. It’s the stuff championships are made of.

FINAL CALL: Make Productivity Your Winning Play!

How far can you go? Productivity isn’t a one-time drill – it’s a GOAT mindset.

When you measure what matters, optimize repetitive work, and outsource strategically, you’re not just working faster . . . You’re working smarter. That’s for legends.

🔥Outsourcing is no rookie move. It’s a strategic productivity partner that helps HR shift from scrambling to scoring. And keeping that winning streak hot.

Ready to Turn HR into a Powerhouse?

Ready to hear your crowd ROOOAAARRR? 🎉 This power playbook is your first step.

➡️If you need some coaching or a huddle about your productivity game plan, we’ve got you all the way to the Super Bowl winning streak and beyond – just give us a call.

IT’S HERE!

Your FREE HR Checklist

Here’s your checklist of important tasks related to payroll, benefits, compliance, and general HR.

About Propel HR. Propel HR is an IRS-certified PEO and a leading provider of human resources and payroll solutions for 30 years. Propel partners with small to mid-sized businesses to manage payroll, employee benefits, compliance, risk, and other HR functions in ways that maximize efficiency and reduce costs. To learn more, visit propelhr.com

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Scaling Smart: How a PEO Prepares Your Business for Growth

Is your business growing? Here’s how a PEO becomes a powerful advantage as you gear up for bigger things.

IT’S HERE!

Your FREE HR Checklist

Here’s your checklist of important tasks related to payroll, benefits, compliance, and general HR.

If you run a small or midsize business, you already know growth is exciting, yes — but also unpredictable, and sometimes overwhelming. That’s exactly why more business owners and HR leaders are choosing Professional Employer Organizations, or PEOs, not just to outsource HR tasks, but to grow smarter, faster, and more sustainably.

The Top 10

A PEO helps you scale without letting the behind-the-scenes stuff collapse under the weight of bigger payrolls, more onboarding, greater compliance risk, and higher employee expectations. It’s like adding an entire HR department overnight, minus the overhead and recruitment scramble. A few advantages include:

1. You Get HR Infrastructure Before You Actually Need It (Which Is Exactly When You Need It)

Most small businesses don’t feel the pain of HR complexity until it’s too late. Payroll errors start multiplying, employees want benefits you’re not equipped to provide, and suddenly you’re Googling state labor laws at 11:30 p.m.

A PEO lays the foundation before those cracks show. Payroll scales without drama. Whether you have 10 people or 110, payroll stays smooth, compliant, and on time. Onboarding becomes a real process and not a scramble. Templates, checklists, digital forms, background screening, and automated workflows ensure consistency as you grow. Policies adjust proactively. A PEO helps you build employee handbooks, update them with new laws, and create clear rules that reduce risk as your headcount increases.

2. A PEO Delivers the Big-Company Benefits Employees Want

Here’s the part that often surprises business owners: a PEO can give you access to benefits packages typically reserved for much larger companies.

Because a PEO pools together employees across its client base, you essentially get to “buy in bulk,” accessing high-quality benefits at lower rates. That means you can offer your team robust health plans, retirement savings options, and other top-tier benefits typically reserved for larger companies (and top talent expects).

🎯When employees enjoy comprehensive benefits without compromise, your company is seen as a long-term career option. Retention rises, and as every HR pro knows, that’s a growth strategy.

3. Compliance Stops Being a Guessing Game

Growth = risk. New states. New regulations. New employment laws. New reporting requirements.

This is where many small businesses unintentionally step into danger territory. The rules change constantly and the stakes are high.

A PEO becomes your compliance command center:

✅They track federal, state, and local employment laws.

✅They help maintain the required documentation.

✅They ensure new hires are classified correctly.

✅They reduce risk with structured workplace policies.

✅And because of the co-employment relationship, many PEOs also share certain administrative responsibilities – meaning you’re not alone if something goes sideways.

🎯Growing is risky. Growing without compliance support? That’s gambling.

4. HR Technology You Don’t Have to Build Yourself

Scaling is smoother when everything is connected, such as payroll, onboarding, PTO tracking, benefits enrollment, performance management, and reporting. But building your own HR tech stack or licensing multiple vendors gets expensive fast.

🎯A PEO delivers the all-in-one HR command center designed for your business. Better data, better workflows, better decision-making.

5. A PEO Frees Up Time (A Lot of It)

If you’re a business owner, your job is to grow the business, not troubleshoot payroll deductions. If you’re an HR manager, your job is to support the people strategy, not drown in admin work.

A PEO takes on repetitive, time-consuming tasks, such as processing payroll, managing benefits, handling tax filings, and preparing compliance documentation. The more you grow, the more time you reclaim, instead of watching your workload escalate with each hire.

6. You Gain a Team of HR Experts Without Expanding Your Staff

Growing companies don’t always have the luxury of immediately hiring a full HR team — HR generalists, benefits specialists, payroll administrators, compliance officers, recruiters, risk managers, the whole lineup.

A PEO gives you access to exactly those roles, on-demand expertise, without the full-time salary load.

Need help rolling out a new PTO policy? Preparing for benefits renewal? Handling a sensitive employee relations issue? There’s an expert for that. It’s like having a seasoned HR department already onboard, ready to advise you every step of the way.

7. You Become More Attractive to Investors and Partners

Here’s something entrepreneurs don’t always think about: investors love operational maturity. When a PEO is part of your infrastructure, it signals you’re compliant, manage risks well, your HR processes are stable and that you can scale responsibly.

🎯For investors, lenders, and potential partners, a strong HR foundation = reduced risk. And reduced risk makes you a better bet. For acquisitions and rapid growth phases, a PEO can also make integration smoother.

8. A PEO Helps You Build a Better Employee Experience

Growth doesn’t just require more people; it requires keeping the good people you already have on board.

A PEO helps you:

✅Improve communication and access to information.

✅Build modern HR processes that employees trust.

✅Provide competitive benefits

✅Create fair, consistent workplace policies.

🎯A better employee experience leads to lower turnover and higher morale. And in high-growth companies, stability is gold.

9. You Can Expand Into New States With Confidence

Need to hire employees in another state? That’s great for growth, but it creates compliance challenges due to different tax rules and labor law requirements.

🎯A PEO handles all of it, letting you recruit the best talent in any location without losing sleep or risking penalties.

10. You Scale Strategically

Growth can stress your business when operations lag behind headcount. A PEO aligns both, so you’re expanding strategically.

🎯The result? Smooth transitions. Predictable costs. Cleaner processes. Less risk. Happier employees. And more time to focus on what actually grows the business — not on what slows it down.

Growth Is Easier ➡️When You’re Not Doing Everything Yourself

If you’re preparing to scale — or even thinking about it — the question isn’t whether you can handle growth alone. It’s whether you should.

With a PEO, growth is a plan.

A PEO delivers the infrastructure, expertise, and stability that power growing companies, without requiring a major investment or a staff increase.

Ready to see what a PEO can do? We can lighten your workload and help you drive growth, just give us a call at (800) 446-6567 or visit propelhr.com

🎯PEO Series: The PEO Difference🎯

Learn more about how a PEO can help your business in our series:

🔶HR Help Wanted: In-house Team or PEO Partner. Investing in an HR team versus partnering with a PEO, which path is best for your small business? As your business grows, managing HR gets complicated – fast. Should you build your own HR team or explore the benefits of partnering with a PEO? Here’s how to decide which choice best fits your business. Read More

🔶Navigating Compliance Minefields. Navigating HR compliance can feel like tiptoeing through a minefield — one wrong move can trigger costly consequences. From pay transparency laws to overtime thresholds, new regulations evolve faster than most small HR teams can keep up with. Here’s a look at the top HR compliance challenges and how to avoid turning small missteps into expensive lessons. Read More

🔶New Research Shows Why More Small Businesses Are Turning to PEOs. The data is in! And it shows how partnering with a PEO will be the smartest move for small businesses in 2026. Recently released research from the National Association of Professional Employer Organizations (NAPEO) shows that PEO partnerships are helping small businesses scale. It’s smarter, more efficient, and a game-changer. Here’s what the latest data shows. Read More

IT’S HERE!

Your FREE HR Checklist

Here’s your checklist of important tasks related to payroll, benefits, compliance, and general HR.

About Propel HR. Propel HR is an IRS-certified PEO that has been a leading provider of human resources and payroll solutions for more than 25 years. Propel partners with small to mid-sized businesses to manage payroll, employee benefits, compliance and risks, and other HR functions in a way that maximizes efficiency and reduces costs. For more information, visit www.propelhr.com

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6 Ways to Protect Your Payroll

My husband recently experienced identity theft. Our mail was stolen, and tax information was gathered. In the course of a few weeks, over 12 credit cards were opened as well as a bank account. My husband has been on the phone constantly with credit card companies, credit bureaus, and the police to resolve the matter, but we know that this will be a long process and we will have to be vigilant. Everyone must be vigilant to protect their information and assets. Criminals are more sophisticated now and more creative.

Most Common Types of Payroll Fraud
In the payroll business, I see attempted fraud on a regular basis. Employers are the victims of these crimes and protective measures need to be in place. Payroll fraud comes in many guises and is often hard to identify. Here are a few methods that are used to defraud a company through payroll:

Timesheet Fraud. Often referred to as “Buddy punching,” this type of fraud involves an employee adding unauthorized hours to their timesheet. This type of fraud may go unnoticed for a long time because it may be done in small increments, a few hours here and there.

Ghost Employees. This type of scam is usually committed by an employee who is trusted and has access to payroll. A “ghost” employee is set up in the system to receive direct deposits.

Payroll Diversion Scam. This is the most common scam that we are seeing now. Typically, the HR representative receives an email which appears to be from an employee of the company requesting to change their direct deposit for the current pay period. Once payroll processes, the pay for the employee is diverted to this wrong account. Propel HR recently stopped such a transaction which included a large year-end bonus that was routed to a pay card that our system recognized as fraudulent. The FBI reports that the average dollar loss reported in direct deposit change request is $7,904.

6 Ways to Protect Your Payroll

In today’s modern world, we are more at risk to become victims of crime. What can businesses do to protect payroll?

Keep staff informed. Whether formal cyber training or regular communication on scams and security measures, employees need to be able to recognize phishing and spoofing emails as well as other potential threats.

Review and constantly update. It is important that cyber security is a focal point of IT needs. If the company is too small to maintain their own IT department, consider outsourcing and have the firm provide regular security assessments.

Embrace protective technology. Yes, it may be a pain to open an encrypted email, but it is worth the trouble. Email encryption is a simple way to protect employee data. Other tools that are simple and can greatly reduce fraud are multi-factor authentication for payroll access and using positive pay, fraud-prevention system offered by most commercial banks, to verify all checks presented. Also, require employees to regularly change their passwords.

Implement controls. Set up proper security measures for employees with payroll access. There needs to be a system of checks and balances, and permission levels should be regularly reviewed.

Scrutinize payroll reports. This is the most important step of the process and should be performed by both the HR representative tasked with payroll as well as a senior person in the company. Review the final payroll register for accuracy. Look for ghost employees, padded hours, and any unauthorized advances or changes. This not only reduces your risk for payroll fraud but also gives you time to catch any honest mistakes.

Pick up the phone. This sounds too simple, but it may be the most effective way to prevent payroll diversion. If you receive an email request to change a direct deposit account, pick up the phone and confirm with the employee. However, call the number in the company directory, not the phone number on the email signature line.

Payroll fraud is real. The victims are both hard working employees and the companies that employ them. But fraud can be prevented. It is important that we are all more aware and are more vigilant around email, internet, and payroll processes. There are simple things we can all do to make our data safer. As for my family, we installed a locking mailbox and placed a credit freeze on our accounts. It may seem a little excessive, but it gives us piece of mind that we can take steps to protect our data and assets. Wouldn’t you have a greater piece of mind if you knew you were taking all steps to protect payroll?

About Propel HR. Propel HR is an IRS-certified PEO that has been a leading provider of human resources and payroll solutions for more than 20 years. Propel partners with small to midsized businesses to manage payroll, employee benefits, compliance and risks, and other HR functions in a way that maximizes efficiency and reduces costs. For more information, visit www.propelhr.com.

Prepare Your Business for COVID-19

To date, the Coronavirus Disease 2019 (COVID-19) has spread throughout China and is now in 60 other international locations. In the U.S., 43 cases have been diagnosed in 10 states. While the situation is still in its early stages, it’s important to have a plan in place to prevent potential workplace exposure, as well as a strategy in the event the outbreak becomes more widespread.

Here are a few key steps to protect your employees and your business.

Review your company sick leave policies. Ensure that your sick leave policies are flexible and consistent with public health guidance and that employees are aware of these policies.

In addition, make sure there are provisions in place that allow employees to stay home to care for a sick family member.

Encourage sick employees to stay home. There is much we still do not know about the virus. Employees who have symptoms of acute respiratory illness should remain home until they are free of fever for at least 24 hours. Do not require employees to validate their illness with a healthcare provider note. Physicians and medical facilities may be extremely busy and may not able to provide documentation.

Designate a separate space for a sick employee. Plan ahead and prepare an office or space to separate an employee who appears to have symptoms, such as coughing and shortness of breath, until an arrangement can be made for them to get home.

Review the ADA requirements for confidentiality. If an employee is confirmed to have COVID-19, employers should inform their employees but must maintain confidentiality as required by the Americans with Disabilities Act (ADA).

Educate Employees on Prevention Strategies. Place posters and distribute information that encourages employees to stay home when sick, and educates employees about coughing and sneezing etiquette, as well as effective hand hygiene.

Make hygiene products convenient and available. Stock up on additional supplies of tissue, hand sanitizer that contains at least 60-95 percent alcohol, and add no-touch disposal receptacles.

Perform routine cleaning. Make sure that work surfaces are frequently cleaned, such as desks, workstations, and countertops. Provide disposable wipes to clean frequently used areas, like computer keyboards, stair rails, and doorknobs.

Review company travel policies. Check the CDC site for the latest guidance and recommendations for travel. If traveling outside the U.S., sick employees should follow your company’s policy for obtaining medical care.

Develop a response plan. All employers should be ready to implement strategies to protect their workforce from COVID-19 while still continuing day-to-day business.

Develop a plan that addresses different levels of severity and then review it with your employees to determine gaps and/or areas that need to be addressed.

Define messages and communication procedures. Businesses communicate with many different audiences. Employees will want to know about job security, benefits, and conducting work responsibilities. Customers will want to know about their orders. Suppliers will want to know about changes in delivery schedules. A company-wide plan should address audience-specific messages and different methods for delivering information.

Plan Ahead

A crisis can happen at any time. No business is immune to product recalls, natural disasters or an outbreak, such as COVID-19. But planning ahead ensures the safety of your employees and a smooth return to business.

For the latest updates and more information, visit www.cdc.gov.

About Propel HR. An IRS-certified PEO, Propel HR has been a leading provider of human resources and payroll solutions for more than 20 years. Propel partners with small to mid-sized businesses to manage payroll, employee benefits, compliance and risks, and other HR functions in a way that maximizes efficiency and reduces costs.

A Seat at the Table

As a female business owner, I have always been aware of the need to secure a “seat at the table.” In a business that historically has been male-dominated, it is important that I assert myself, make my voice heard, and be a part of the group that makes decisions. As I have gotten older and more established in my career, I recognize that it is not only important that I advocate for my own seat at the table, but I must also invite others to join me.

In business, we often talk about the need for a diverse workplace. A diverse workforce encourages innovation, creativity, and productivity. Data shows that diversity increases the bottom line and gives you better insight into your customers. Business leaders also have the opportunity to create equitable opportunities and dismantle historical systems that may discriminate. Focusing on diversity is simply the right thing to do.

But creating a diversity program is just one piece of the puzzle. A diverse workplace only thrives if there is true inclusion. Diversity refers to the similarities and differences among people, such as gender, race, sexual orientation, socio-economic status, and religion. Inclusion unleashes the power of diversity through a culture where people are comfortable to be themselves. People want to feel that they are treated with respect and that they are valuable members of the group. Diversity is inviting people to the table, and inclusion is involving everyone in the conversation.

Deloitte conducted research on the effect of diversity and inclusion on three factors of business performance: customer service, innovation, and team collaboration. When both diversity and inclusion were high, Deloitte identified an 80% increase in business performance. Even when there was high diversity and low inclusion or high inclusion and low diversity, the business outcomes were not as impressive. Both factors were necessary for creating such remarkable results.

Another study by Deloitte focused on how different generations view inclusion in the workplace. Out of 1,300 surveyed, 80% of all respondents reported that inclusion was important in choosing an employer. 39% stated they would leave their current employer for a more inclusive organization. Inclusivity is even more valued by millennials, with over 50% reporting they would leave their current organization for a more inclusive one. Millennials are more likely to job hop, and their turnover costs the U.S. economy approximately $30.5 billion annually. Numbers like that are enough incentive for all businesses to focus on diversity and inclusivity.

Creating an environment where everyone feels welcome, respected, and valued is a morally sound and financially smart business decision. It encourages space for people to be heard and new ideas to be fostered. Diversity and inclusion are good for business.

READ MORE: COVID-19 HR Checklist

Senior business leaders must make this a priority and establish diverse hiring practices, training programs, and a climate where all voices are heard. It is time for everyone to not only join the table but to also be an important part of the conversation.

Propel HR is an IRS-certified PEO that has been a leading provider of human resources and payroll solutions for more than 20 years. Propel partners with small to midsized businesses to manage payroll, employee benefits, compliance and risks, and other HR functions in a way that maximizes efficiency and reduces costs.

Stay Ahead of Changing Labor Laws

Staying on top of new regulations and changes in employment laws is no easy task. On the federal level, the Department of Labor (DOL) administers and enforces more than 180 laws. Add to that, many state and local governments have their own laws. And then there are laws governing health plans and benefits.

According to a recent survey, only one in four businesses are confident about their knowledge of current employment laws and regulations at the federal (23%), state (26%) and city/county (29%) levels. While not all laws apply to all employers, HR managers should be familiar with the laws that do. To help, here are a few that may affect your business in 2020.

Changes that May Impact Your Business

More States Increase Minimum Wage. Currently, the federal minimum wage for covered non-exempt employees is $7.25 per hour. Many states, cities and counties also have minimum wage laws. As of Jan. 1, the minimum wage increased in 21 states with additional states to follow. In cases where an employee is subject to both the state and federal minimum wage laws, the employee is entitled to the higher of the two wages.

H-2B Final Rule. The DOL’s H-2B program allows employers to hire non-immigrants on a temporary, seasonal basis for certain non-agricultural jobs (the H-2A program is similar, but for agricultural jobs). Effective December 16, 2019, a final rule removed the old requirement that employers post H-2B job openings in local print newspapers. Instead, the DOL now posts these opportunities on its website.

FSLA Overtime Rules. Employees covered by the Fair Labor and Standards Act (FSLA) must receive overtime pay of at least one and one-half times the regular rate of pay over 40 hours in a workweek. Effective Jan. 1, 2020, the minimum salary for exempt employees increased to $35,568 and $107, 432 for highly-compensated employees. Employees who earn less than the new thresholds are eligible for overtime pay. With some exceptions, the regular rate includes all compensation for employment, including up to 10 percent of commissions and non-discretionary bonuses. Employers will need to audit their employees’ regular rate of pay to determine if pay adjustments are necessary or if certain employees need to be reclassified as non-exempt.

New SECURE Act changes. The Setting Every Community up for Retirement Enhancement Act, or SECURE Act, helps small businesses by providing incentives for setting up an employer-sponsored retirement plan. This new legislation contains a number of changes and requirements to applicable retirement plans rules, including the design of the plans, administration, and compliance.

Work Opportunity Tax Credit extension. Available through the end of 2020,the Work Opportunity Tax Credit provides an incentive to employers who hire employees from disadvantaged groups, such as ex-felons, public assistance recipients, and veterans.

Paid Family & Medical Leave Act Tax Credit. Eligible employers earn a tax credit for providing paid family and medical leave to their employees. The tax credit is now available through 2020.

The Cadillac Tax has been repealed. A tax on high-cost health coverage, known as the Cadillac Tax, was eliminated at the end of 2019. The Cadillac tax would have imposed a 40 percent tax hike on the cost of employer-sponsored health benefits that exceed mandated thresholds.

OSHA’s Final Rule. OSHA published a Final Rule amending its record-keeping regulation. Applicable employers are only required to electronically submit information from the OSHA Form 300A (Summary of Work-Related Injuries and Illnesses). The Final Rule does not change the requirement to keep and maintain OSHA Forms 300, 300A, and 301 for five years. The deadline for electronically reporting OSHA Form 300A data for calendar year 2019 is March 2. Employers with 10 or fewer employees and employers in certain industries are exempt from OSHA’s injury and illness record-keeping and posting requirements.

The Shield Act on data security. Effective March 21, 2020 employers must adopt more stringent data security safeguards. More expansive data breach notification requirements went into effect in 2019.

Looking Ahead…

Proposed Federal Legislation. Be on the watch for updates about the following legislation that’s in the works on the federal level. As always, it’s important to also check current state laws that are applicable to your business.

Protecting the Right to Organize (PRO) Act. Recently passed by the U.S. House of Representatives, the Protecting the Right to Organize Act, or PRO Act, includes provisions that could change current labor laws. Provisions include:

Secret-ballot union elections could be more easily bypassed by signing union authorization cards.
Classifying workers as independent contractors would be more difficult.
An expanded definition of “joint employer” could potentially impact small businesses, particularly franchises.

Medicare Part D premiums to decrease. Each year, applicable employers must provide a notice of creditable or non-creditable coverage to all Medicare-eligible employees who are covered under a prescription drug plan. The Centers for Medicare and Medicaid expect premiums for Medicare Part D prescription drug plans to decrease in 2020.

Learn More

Does your HR team have the experience in employment law to keep your business in compliance? Not all do and not all employers have access to counsel from a labor attorney. At minimum, it’s important for your HR team to determine which federal and state employment laws apply to your business and understand the requirements of each law.

PLEASE NOTE: This information is for general reference purposes only. Because laws and regulations are constantly changing, please check with the appropriate organizations or government agencies for the latest information and consult your employment attorney and/or benefits advisor regarding your responsibilities. In addition, your company may be exempt from certain requirements and/or be subject to different requirements under the laws of your state.

Propel HR is an IRS-certified PEO that has been a leading provider of human resources and payroll solutions for more than 20 years. Propel partners with small to mid-sized businesses to manage payroll, employee benefits, compliance and risks, and other HR functions in a way that maximizes efficiency and reduces costs.

ACA for Small Businesses

While the majority of provisions under the Affordable Care Act (ACA) apply to applicable large employers (ALEs), there are requirements, as well as benefits, that apply to small employers, those with fewer than 50 full-time employees, including full-time equivalents (FTEs).

READ MORE: What You Need to Know about ACA

Health Coverage Options Program (SHOP)

ACA established the Small Business Health Options Program (SHOP) marketplace to help small businesses provide health coverage to their employees.

Requirements. In order to offer a SHOP health plan, the small businesses must meet the following criteria:

Have fewer than 50 full-time employees or full-time equivalents
Offer coverage to all full-time employees
Enroll at least 70 percent of employees
Have an office or worksite located in the same state as their SHOP marketplace

Some states have different participation requirements, so it’s important to check with the program in your state.

Healthcare Tax Credit

By offering a SHOP plan to employees, eligible employers can offset a portion of premium costs through the Small Business Healthcare Tax Credit.

Requirements: To qualify, a small business must:

Have fewer than 25 full-time employees, including full-time equivalents (FTEs)
Have an average of annual employee wages less than $50,000* (*wage thresholds change based on the rate of inflation).
Contribute at least 50 percent of the health insurance premiums purchased through the SHOP marketplace.

For certain businesses, this tax advantage can mean significant savings in health plan premiums. Here’s an example of how it works. A small employer, with 10 employees, pays a total of $250,000 a year in wages (or $25,000 per employee) and contributes a total of $70,000 toward health plan premiums, would qualify for a tax credit of $35,000 (50 percent of the employer’s contribution).

Workplace Wellness Incentives

Under the health care law, small businesses can receive a reward for providing an employee wellness program and activities that support a healthier workplace.

ACA Reporting Requirements

Small employers are not subject to the requirements under the employer shared responsibility provisions, but do have reporting obligations as a provider of minimum essential coverage through a self-insured health plan.

Filing requirements for the 2019 tax year include:

Form 1094-B: Employers must provide this summary of health coverage to employees by March 2, which is a 30-day extension from the original deadline of January 31.
Form 1095-B: Form 1095-B includes information about health coverage for full-time employees. For the 2019 taxes, the deadline for filing both forms with the IRS is February 28, or March 31, if filing electronically.
W-2 Reporting of Health Coverage Costs. Applicable employers are required to report the total cost of each employee’s health coverage on their W-2.

Is your small business considered an ALE? Reporting rules depend on the size of your workforce during the prior year, so it’s important to understand how to calculate your total number of full-time employees, including full-time equivalents.

READ MORE: Complying with ACA in 2020

In certain circumstances, a small business may be considered an Applicable Large Employer (ALE) and subject to the same shared responsibility requirements. For example, this can happen if the business meets the threshold guidelines when it’s combined with other companies under common ownership. Small businesses should seek professional advice to ensure it is meeting ACA reporting requirements. For a complete list of specific ACA tax provisions, visit www.irs.gov.

More Help for Small Businesses

Access to affordable and comprehensive health plans tops the list as one of the most important benefits for employees. But due to costs, compliance risks, and complex reporting requirements, health insurance in an ongoing challenge for small employers to provide.

An IRS-certified PEO, like Propel HR, can help. From time-consuming administrative HR tasks, identifying health plans, our team of HR experts can help you stay in compliance with the changing rules of ACA that can affect your small business.

PLEASE NOTE: This information is for general reference purposes only. Because laws and regulations are constantly changing, please check with the appropriate organizations or government agencies for the latest information and consult your employment attorney and/or benefits advisor regarding your responsibilities. In addition, your company or health plan may be exempt from certain requirements and/or be subject to different requirements under the laws of your state.

An IRS-certified PEO, Propel HR has been a leading provider of human resources and payroll solutions for more than 20 years. Propel partners with small to mid-sized businesses to manage payroll, employee benefits, compliance and risks, and other HR functions in a way that maximizes efficiency and reduces costs.

Complying with ACA in 2020

How will new Affordable Care Act (ACA) requirements affect your business in 2020? The New Year delivered many regulatory changes and new mandates that could impact employers and their employee benefits.

Regulatory Changes & New Mandates

Employer Mandate for Affordability Decreases. As of Jan. 1st, employers that provide health insurance will need to contribute more to their employees’ health plan in order to comply with changes in ACA’s guidelines. Under ACA’s employer mandate, the rate decreased this year to 9.78 percent from 9.86 percent in 2019. According to the IRS, Section 4980H(b), employer health plans failing to meet the affordability and minimum value requirements can face a penalty of $3,750* per employee.

Distribute Healthcare Notices to Employees. Under ACA, employers, covered by the Fair Labor Standards Act (FLSA), must provide employees with a notice about the availability of health insurance through the marketplace exchanges in the state(s) where the employer operates, and employer-sponsored health insurance. Applicable employers, those with 50 or more full-time equivalent employees, can face a $2,500* penalty per employee if it fails to offer full-time employees the opportunity to enroll in minimum essential health coverage sponsored by the employer, and if one full-time employee obtains a tax credit for insurance purchased through an ACA marketplace.

Reporting Requirements. Under ACA, employers that provide health coverage to their employees are subject to annual reporting and must comply with additional rules depending on the number of full-time employees, or full-time equivalents, during the current year.

Applicable Large Employers (ALEs), employers with more than 50 full-time employees or full-time equivalents, are required to report information about their employee health coverage plan and information about the offer of coverage.

Filing requirements for the 2019 tax year include:

Form 1094-C: Form 1094-C is a summary of information for each ALE employer.

Form 1095-C: Form 1095-C includes information about health coverage for full-time employees and information about enrollment in health coverage for employers that sponsor self-insured health plans. In addition, ALEs are required to distribute Form 1095-C to all full-time employees by March 2, a 30-day extension from Jan. 31 deadline.

Mistakes, errors in calculating the number of FTEs, or failure to file both forms by Feb. 28, if filing by paper, or March 31, if filing electronically, can mean a fine of $540* per return.

* Penalty amounts are subject to change for each filing year.

More States Require Individual Health Insurance. While the individual mandate penalty for not having health coverage has been eliminated, many states have separate laws requiring health insurance. On Jan. 1, California and Rhode Island joined a growing roster of states which have enacted new legislation.

To Learn More. ACA compliance requires years of experience in employee benefits and extensive knowledge of ACA legislation. Changes are inevitable, and a certified PEO, like Propel HR, can help by assessing your current employee benefits program and recommend ways to reduce risks, save money, and stay ACA compliant.

Please Note: This information is for general reference purposes only. Because laws and regulations are constantly changing, please check with the appropriate organizations or government agencies for the latest information and consult your employment attorney and/or benefits advisor regarding your responsibilities. In addition, your company or health plan may be exempt from certain requirements and/or be subject to different requirements under the laws of your state.

What You Need To Know About ACA

Love it or hate it, the Affordable Care Act (ACA) was a major step in providing access to affordable healthcare insurance options and controlling health care costs.

According to the CDC, in 2010, when ACA became law, more than 16 percent of Americans, more than 48.6 million people, were uninsured. In 2018, 9.2 percent of the population, more than 29.7 million, were uninsured.

The ACA was intended to improve our health care system by expanding health insurance coverage to more people, however, there has been much controversy surrounding the requirements and the results. Initially, the law required that all Americans have health insurance or pay a penalty. Those who qualified received subsidies for health insurance. Those who did not qualify could purchase health plans through a marketplace or through an independent health insurance broker. There have been some changes in the original law.

ACA Goals

Whether ACA has been successful is up for debate, however the original law focused on the following goals:

Provide access to affordable health insurance to more people. Low income households could take advantage of subsidies or premium tax credits to lower health plan costs and a healthcare marketplace was created for those who could afford insurance.

Protect the Insured. ACA protected existing health insurance policyholders by including essential provisions, such as coverage of pre-existing conditions, such as pregnancy.
Expand Medicaid. ACA expanded the Medicaid program to cover all adults with incomes below the federal poverty level.
Lower Costs. The law was designed to improve the method of our health care delivery system and to contain health care costs.
Help Small Businesses Insure Employees. It also included provisions to help small businesses insure its employees.

REQUIREMENTS FOR EMPLOYERS

The ACA meant changes for employers. Under the health care law, employers that provide health coverage to their employees are subject to annual reporting, and must comply with additional requirements depending on the number of full-time employees (FTEs), or full-time equivalents, during the current year.

Employers with 50+ employees

Applicable Large Employers (ALE), employers with 50 or more FTEs, including equivalents, are required to offer affordable coverage or make a payment to the IRS to subsidize government health plans.

Determining FTEs and ALE status. According to the IRS, a full-time employee, or FTE, is one who has worked a minimum of 30 hours a week, or at least 130 hours in a calendar month. To determine the number of FTE equivalent employees, combine all of the hours worked each month and divide by 120. Your company is considered an ALE if the result of the total number of FTEs and equivalents combined, divided by 12, is 50 or more.

Shared Responsibility Payment Provision. In general, ALEs are subject to ACA’s shared responsibility payment provision and required to offer affordable minimum essential coverage that provides minimum value to its full-time employees and their dependents, or potentially pay an employer shared responsibility payment to the IRS.

Minimum value means that the plan covers at least 60 percent of the total allowed cost of benefits that are expected to be incurred under the health plan. Since employers do not have access to an employee’s income statements, employers are allowed to use Form W-2 wages, an employee’s rate of pay, or the federal poverty line, to determine if a plan meets ACA’s guidelines for affordability.

Employers with fewer than 50 employees

Small employers, those with fewer than 50 FTEs or equivalents, are not subject to the requirements under the employer shared responsibility provisions, but do have reporting obligations as a provider of minimum essential coverage through a self-insured health plan. For a list of specific ACA tax provisions, visit the IRS page on ACA.

ACA REPORTING FOR 2019

Each year, ALEs are required to report information about their employee health coverage plan and information about the offer of coverage. This information helps the IRS determine whether an ALE owes a payment under the employer shared responsibility provision and if an employee is eligible for the premium tax credit.

Filing requirements include:

Form 1094-C: Transmittal of Employer-Provided Health Insurance Offer and Coverage Information Returns, Form 1094-C, is used to report the summary of information for each ALE employer.

Form 1095-C: Employer-Provided Health Insurance Offer and Coverage, Form 1095-C, includes information about health coverage for full-time employees and information about enrollment in health coverage for employers that sponsor self-insured health plans. ALEs are also required to distribute Form 1095-C for each full-time employee.

Deadlines for both forms:

Feb. 28. If filing by paper.

March 31. If filing electronically. Employers filing 250 or more information returns must file electronically.

March 2 (Extended from Jan. 31). Employers must distribute Form 1095-C to full-time employees, including former employees, by March 2, which was recently extended 30 days.

State Requirements. Some states have enacted specific requirements for individual coverage and reporting. Employers should always check with the reporting and filing requirements for their state.

NEED HELP?

Given the complexity of ACA reporting, employers should stay on top of their workforce data and understand how the regulations and reporting requirements for health care coverage can impact their business.

PLEASE NOTE: This information is for general reference purposes only. Because laws and regulations are constantly changing, please check with the appropriate organizations or government agencies for the latest information and consult your employment attorney and/or benefits advisor regarding your responsibilities. In addition, your company or health plan may be exempt from certain requirements and/or be subject to different requirements under the laws of your state.

2020 Goals

I love January! Instead of making broad resolutions each year, such as exercise more, I focus on attainable goals. A few days before the New Year begins, I find some time to reflect on the current year and then write down a list of what I will accomplish in the upcoming year. Goals may be for a home improvement project, a financial objective, or travel plans. My husband is a “live in the moment” type of person, so he gets a little anxious when I share with him the year’s list, but he does love it when I am able to check off the items on my list once complete.

As you prepare your personal 2020 goals, take time to prepare your company goals as well. Your annual objectives should be financial as well as operational. Think through the different aspects of your business and make goals specific for each area. As you focus on each department, don’t forget human resources. Whether your business is large or small, your people are your most important asset. Here are some suggestions on ways to elevate HR in 2020:

Review Policies. It is important to review your handbook and employee policies annually for any legal adjustments. Also, read your policies carefully and make sure that you are practicing what is written. Pay attention to the Paid Time Off policy; many times, there is a disconnect between the written policy and how PTO is practiced.

Rethink Performance Evaluations. Mention employee reviews to supervisors, and you will hear a collective groan. The process often feels time-consuming and ineffective. It is time to rethink the process. Tie goals to the process, consider self-evaluations, separate compensation review from performance, or scrap the annual process altogether and implement weekly check-ins.

Implement More Training. Education is the key to improving performance. Add more to your training budget, and it will be a positive return on investment.

Audit Payroll. 2020 is bringing some changes that may affect your employees’ pay. Many states have new minimum wage requirements, and the salary threshold for exempt employees increases to $648 per week. Make sure your company’s pay processes are up to date.

Evaluate Employee Benefits . Don’t let your renewal date sneak up on you, start the conversation with your benefits broker at least 60 days in advance. Review renewals and consider options to get the best coverage for your employees at the best price.

Consider Using a PEO. By partnering with a Professional Employer Organization (PEO), your company can able alleviate much of the HR burden, offer top tier benefits, and propel your business forward by freeing you up to focus on business growth. Plus, companies that use a PEO have 15 percent lower employee turnover.

2020 is a new year with new opportunities. Take time to reflect and plan all that you can accomplish this year. Now, get to work! Start checking off those tasks and make this year the best ever!

About Propel HR

Propel HR is an IRS-certified PEO that has been a leading provider of human resources and payroll solutions for more than 20 years. Propel partners with small to midsized businesses to manage payroll, employee benefits, compliance and risks, and other HR functions in a way that maximizes efficiency and reduces costs.

Managing Remote Workers. The pandemic forced many employees to work remotely from home. From productivity to liability, a PEO can help employers with a range of new issues associated with managing a remote workforce.

The 2020 Workplace: Trends Impacting the Role of HR

Is your HR strategy ready for 2020?Is your HR strategy ready for 2020? According to the World Economic Forum report, Shaping People Strategies in the Fourth Industrial Revolution, the future of work is being redefined. And the next decade will demand change in the workplace in order to remain relevant. From new technologies, innovative training methods, to new ways of boosting employee benefits, emerging trends are reshaping the workplace and impacting the role of HR. Here are a few HR trends to watch.

HR Trends

A Shift from Managing to Tending Employees. According to a recent study, Global HR Technology Survey 2019, finding and keeping top talent leads as the most significant human capital challenge facing employers. In 2020, managing employees is out and tending is in. Tending is about building relationships with employees that focus on well-being. To help employees function better, employers will step up their game with enhanced benefits that include mental health benefits, time-off, and incentives for reaching personal goals.

In Deloitte’s 2019 Human Capital Trends report, 84% say the employee experience is a top issue. Employers will need to create an organization where workers want to engage. New generations entering the workforce want to be treated as humans – not employees and want to work for organizations that value trust, transparency, and causes.

A Focus on Professional Development. One-off training is out. Professional development is in. While traditional training tools like lectures, webinars, lunch-and-learns, or online courses are essential in upskilling, today’s workers want more. According to a recent LinkedIn report on Workforce Learning, 93 percent of employees would remain at their current job longer if their employer invested in their professional development.

A Personalized Approach to Benefits. According to SHRM, benefits will become more personalized to meet the needs of a diverse multi-generational audience. Options will go beyond traditional healthcare plans and will include specific lifestyle and financial benefits.

A Strong Focus on HR Technology and Analytics. Analyzing how employees spend their time no longer works. What’s does is analyzing productivity. New HR technologies and hard data will help employers make more informed business decisions. For example, data and analytics can be used to determine the cause of high turnover rates.

HR will Become More Specialized. The role of HR is more than managing people. It’s an multi-faceted role that requires a high level of expertise in a number of different areas, such as compliance, tax, benefits, healthcare, recruitment, marketing, payroll, and more. As employment laws become more complex, and the demands of HR administrative tasks continues to grow, employers will need to hire or outsource specialized HR support.

Looking Ahead

We hope your year is both productive and successful. To get your 2020 off to the right start, download your FREE HR Checklist of some of the most important HR tasks related to Compliance, Benefits, Payroll and general HR.

Propel HR is an IRS-certified PEO that has been a leading provider of human resources and payroll solutions for more than 20 years. Propel partners with small to mid-sized businesses to manage payroll, employee benefits, compliance and risks, and other HR functions in a way that maximizes efficiency and reduces costs.

Q1 2020 CHECKLIST OF TOP HR-RELATED TASKS

New regulations and frequently changing labor laws on national, state, and local levels make managing Human Resources more challenging than ever before. We’ve made it easy with a checklist including some of the most important HR tasks, related to payroll, benefits, and compliance to help small to midsized businesses prepare for Q1 in the New Year.

PAYROLL

Verify Minimum Wage Requirements. Federal law requires non-exempt employees to be paid a minimum wage of $7.25 per hour but this wage rate can vary as many states have passed higher minimum wage laws. In cases where an employee is subject to both the state and federal minimum wage laws, the employee is entitled to the higher of the two minimum wages. Check the wage requirements of the states where you have workers.
Check New Thresholds for FLSA Overtime Rule. On Sept. 24, 2019, the U.S. Department of Labor announced a final rule to make 1.3 million American workers newly eligible for overtime pay. Effective Jan. 1, 2020, the new rule increases the minimum earnings threshold to $35,568 per year to maintain the exempt status for executive, administrative, and professional employees under the Fair Labor Standards Act (FLSA) minimum wage and overtime pay requirements. It allows employers to count a portion of specific bonuses and commissions towards meeting the salary level. Clarify what perks and benefits may be offered to employees without additional overtime risk or liability.

Identify employees impacted by the new rule and make necessary adjustments to future hiring plans. Update job descriptions and educate managers about the risks of Wage and Hour violations. Also, keep in mind that some states have higher salary thresholds and different tests for exempt employees. In addition to new overtime thresholds, review all city, county, and state employment laws, including filing requirements for contract workers, freelancers, and remote employees located in other states.

Prepare Wage Statements and Independent Contractor Forms. Review employee records and prepare W-2 and W-3 forms. If you paid freelancers or independent contractors in 2019, you must file Forms 1096 and 1099 MISC. All forms are due Jan. 31, 2020.

Prepare Corporate Tax Returns and Extensions. The deadline for filing corporate tax returns, Forms 1120, 1120-A, and 1120-S, and to request a six-month extension, Form 7004, is March 15, 2020.

File FICA and FUTA. FUTA, Form 940, is for reporting and paying unemployment taxes annually. The filing deadline is Jan. 31, 2020. FICA, Form 941, is for reporting payroll taxes quarterly. The payroll taxes included are for federal income tax withholding and withholding of FICA taxes for Social Security and Medicare. The filing deadline is Jan. 31, 2020, for Q4.

COMPLIANCE

Check OSHA Record-Keeping Requirements. Qualified businesses with 10 or more employees are required to post a completed OSHA Form 300A,summary of workplace injuries and illnesses every year from Feb. 1 until April 1. The information is used to help OSHA identify and reduce injuries and illnesses. Note that the employee count includes employees at all business locations combined.

Update Federal and State Labor Posters. Make sure your labor posters and notices are current and prominently displayed in your workplace. Labor laws vary by state, and not all businesses are required to post the same notices. For example, some small businesses may not be covered by the Family and Medical Leave Act (FMLA) and would not be subject to its posting requirements. To determine the specific federal posters required for your workplace, visit the Department of Labor’s free online tool, the FirstStep Poster Advisor, at www.dol.gov.

Evaluate Your Family and Medical Leave Program. Audit your full-time employees (FTEs) to determine if you are required to comply with FMLA in 2020. The Family and Medical Leave Act (FMLA) entitles eligible employees of covered employers to take unpaid, job-protected leave for specified family, medical and military reasons.

A covered employer is a private-sector employer, with 50 or more employees, within a 75-mile radius, for 20 or more workweeks in the current or preceding calendar year; public agencies, regardless of the number of employees; and public and private elementary and secondary schools, regardless of the number of employees.
Only eligible employees are entitled to take FMLA leave. An eligible employee is one who works for a covered employer for at least 12 months – which do not have to be consecutive. The employee must have worked at least 1,250 hours during the 12 months immediately preceding the leave at a location where the employer has at least 50 employees within 75 miles.

Review Laws on Salary History Ban. More states, counties, and cities are enacting bans that prohibit employers from requiring an applicant’s wage history, as a part of the application process, and from retaliating against applicants who refuse to provide wage history. Review your hiring process for new candidate applications, guidelines for interviewing, and reference check practices to ensure that you are complying with applicable local laws and regulations.

BENEFITS

Prepare ACA Reporting. Under the Affordable Care Act (ACA), the responsibility for affordable healthcare coverage is on the employer and reporting requirements depend on the number of full-time employees (FTEs) or equivalent. Employers with 50 or more FTEs last year are considered an Applicable Large Employer (ALE) for the current year. If your company is an ALE, verify that your health plan meets ACA requirements for coverage and affordability.

The deadline for applicable employers to distribute Form 1095-C to employees for the 2019 tax year has been extended to March 2, 2020. Forms 1094-C and 1095-C must be filed by Feb. 28, 2020, if filing by paper, and March 31, 2020, if filing electronically. Also, check with your benefits broker for any changes in reporting, and that required annual notices are distributed to employees, such as Medicare Part D, HIPPA, and CHIPRA.

Prepare ERISA Plan Report. Applicable employers are required to file an employee benefits plan report, Form 5500, with the Department of Labor (DOL) if, on the first day of an ERISA plan year (which is different than the policy year), 100 or more participants are enrolled in coverage. In addition, health and life insurance and retirement plans require employers to provide enrollment figures and balances before the end of the year.

GENERAL HR

Review and Update your Employee Handbook. Conduct an annual review of your company policies and procedures to ensure your employee handbook is current and in compliance with new regulations. Make sure it includes standards for conduct, policies for communication and privacy, compensation and performance reviews, social media, attendance, break periods, benefits, company-observed holidays for 2020, and procedures for termination, discipline, workplace safety, sexual harassment, and workplace emergencies.

Need Help? Depending on your business and industry, your HR checklist for Q1 2020 may be a little different and even more complex. As an IRS-certified Professional Employer Organization (PEO), Propel HR has been a leading provider of Human Resources and payroll solutions for more than 20 years. We partner with small to mid-sized businesses to manage payroll, employee benefits, compliance and risks, and other HR functions in a way that maximizes efficiency and reduces costs. To learn more, visit www.propelhr.com, and to download a helpful one-page Q1 2020 HR Checklist, visit www.mypropelpro.com/checklist.

Outsourcing HR: You Don’t Know What You Don’t Know

Consider for a moment that, as a small business, you don’t know most things about growing your business. But you wish you knew, especially before it costs you time and money.

For decades, business was steady for a small manufacturing company until new competition entered with lower pricing and faster delivery times. To protect its marketshare, the small manufacturer had to move quickly with a plan, which included leveraging brand equity, increasing efficiencies, enhancing customer service and streamlining processes – all of which required training its current workforce and hiring new employees with completely different skills.

READ MORE: Top 5 HR Blogs of 2019

As the game changed, the owners of the small manufacturer couldn’t keep up. Suddenly, they found themselves spending much of their time chasing paperwork, dealing with employee issues, training staff, and searching better employee benefits to attract the right type of talent needed to compete. What they didn’t know was that their business needed HR help, and fast.

It’s a familiar story. Although most small business owners acknowledge the importance of Human Resources, they almost always bow to the mounting pressures of day-to-day HR demands, especially during growth. Outsourcing Human Resources can help.

What you should know.

By outsourcing HR, your business has access to an entire team of experts who can help protect your company with compliance and HR issues. With the complexity of employment laws today, a single HR employee may not be equipped to handle the growing demands of HR.

Outsourcing HR helps to fill the gaps. HR services can be tailored to meet the unique needs of a business – an important benefit, particularly to the growing small manufacturer who considered their employees like family. In addition to payroll, benefits administration, and employee health plans, many small businesses benefit from a wide range of HR services, including:

HR Assessments. An evaluation of current HR policies, procedures, and practices to determine areas to address.
Employee Relations Support. Guidance on the most effective methods for handling workplace issues and complaints.
HR Policies and Practices. Ensuring company policies and procedures comply with federal and state requirements.
Training and Development. Training on soft skills, customer service supervisory leadership, and team-building.
Compensation Policies. Development of competitive market compensation policies to help attract and retain top talent.
Employee Onboarding. Guidance for creating an engaging onboarding process, orientation, and required employee documents.
General HR Administration Guidance. Advice on handling unemployment claims, employment verification, background checks, drug tests, I-9 records, and E-Verify.

Navigating Risk Management. As changing labor laws become more complex and the burden of HR compliance continues to grow, outsourcing HR can help reduce risks and prevent costly compliance violations. This includes complying with the labor laws and regulations governed by the state where all of your employees are working, not just where your business is based. Outsourcing HR assures compliance with the labor laws in all 50 states. Common areas include the Fair Labor Standards Act (FLSA) workforce classifications, overtime pay, and work-time record-keeping, Family Medical Leave Act (FMLA) eligibility and administration, and responding to EEOC complaints.

Cutting Costs and Saving Time. According to a NAPEO study, businesses that outsource HR can save $450 per employee per year compared to companies with HR in-house. Like many businesses, the small manufacturer thought they had it covered until learning just how much time and money could be save. Outsourcing helped by reducing the HR administration workload, cutting out the inefficiencies in HR, and streamlining the processes.

Now, you know.

When aligning HR services with your company goals, employers can access new tools, innovative workforce strategies, and expertise to positively impact company performance. Propel HR offers a wide range of Human Resource services, either as a standalone outsource service or as part of our IRS-certified PEO arrangement.

Is your business growing? Are you looking for ways to save money, reduce liability, offer better benefits to attract and keep great employees? Then you may benefit from outsourcing Human Resources. To learn more, contact us or download our new FREE Quick Guide to HR Services.

About Propel HR. Propel HR is an IRS-certified PEO that has been a leading provider of human resources and payroll solutions for more than 20 years. Propel partners with small to mid-sized businesses to manage payroll, employee benefits, compliance and risks, and other HR functions in a way that maximizes efficiency and reduces costs.

Top 5 HR Blogs of 2019

Each week we publish an article with the goal of educating our readers about the complex field of Human Resources. We take on topics like Workers’ Comp premiums, the cost of benefits, and even provide a free quarterly HR checklist to help you stay compliant. We’re always looking for new issues to cover and welcome your feedback. What topics would be most helpful to you in 2020? Here are your 5 favorite blog posts written in 2019.

2019 Year-End Checklist

Our quarterly HR checklist really took off at the end of this year when SHRM promoted it on their website. The Society for Human Resource Management is the largest HR industry professional association and provides education, certification and other services for its members. We’re happy that so many HR professionals have found our checklist useful. Thank you for passing it along, SHRM!

If you haven’t downloaded this valuable tool yet, there’s still time to make sure you meet all of the deadlines before the end of the year. But remember, the deadlines don’t stop there. The 2020 First Quarter HR Checklist will be out soon so you can get a jump on the New Year.

“The end of the year is a good time assess your HR game, not only to prevent costly compliance issues but also to realign strategies and strengthen your workforce practices. To help, we’ve made it easy with a checklist of some of the most important HR-related task to take care of now.”

How to Calculate Workers’ Comp Premiums

Ever wonder how your Workers’ Comp premiums are calculated? It’s not just some random computer algorithm. We break down how to calculate WC premiums so you can be better prepared when you shop around for the best rates.

“Safety and human resources professionals are often charged with analyzing the many factors that influence Workers’ Comp Insurance costs. Job classification codes, experience Mods, risks factors, industry rating systems and other variables – determining your premium can seem complex and expensive. Once you understand the basics of how premiums are calculated, it’s easier to identify areas where costs can be reduced.”

Workers’ Comp for Telecommuters

The workplace is ever-evolving, and one trend has been towards home. More workers are working remotely than ever, but what happens if they have an accident? This article by our President, Lee Yarborough, provides examples of what may or may not be Workers’ Comp claims for telecommuters. She also gives recommendations for the best way a business can reduce their liability for remote workers.

“More people than ever work remotely. Telecommuting has many benefits for employees including higher morale, flexible hours, and work-life balance. For employers, it can be a wonderful way to retain top talent. The number of people working from home has dramatically increased over the years, but there are still unknowns when it comes to handling certain aspects of human resources and remote employees. Workers’ Compensation coverage is one area that can certainly be confusing.”

The Cost of Benefits

All savvy business owners know that benefits are second only to salary when it comes to attracting and retaining top talent. With unemployment so low, the best employees often have several offers, and providing enterprise-level benefits, even as a small business, can make all the difference. But at what cost? In this post, we dig into the costs of providing benefits, so you can make sure you’re making the best business decision.

“According to a study conducted by the Society for Human Resource Management, businesses that use benefits as a strategy to recruit and retain talent experience better overall company performance and above-average effectiveness in recruitment and retention compared to businesses that did not.

“But at what cost? If you are thinking about putting together a benefits package or considering improvements to an existing plan, let’s take a look at how benefits are broken down as part of an employee’s overall compensation package.”

4 Rules for Record Keeping

Record-keeping may not be the most exciting subject, but it is very important for any business. There are federal and state record retention laws that your business must comply with. In this blog we help you establish an employment record policy, develop a record retention schedule, understand termination record requirements, and safely dispose of employment records.

“Keep and destroy employee records under your company’s record retention policies , as well as federal and state laws governing record retention. If you don’t have a system, it’s essential to seek advice from your legal and tax adviser to address areas specific to your business. Generally, your record policy should include a definition of types of records, a retention schedule, storage location, security and privacy guidelines, and destruction and audit procedures.”