Former ARIZ. CONST. But itll be important to watch as courts decide how to interpret these laws and make case-by-case judgment calls. 2. QhK Because one of the consequences of that recommendation could have been to dictate the length of the legislative session, the Attorney General concluded that the Commission had exceeded its limited authority to set salaries. Three of the four expressed their views on the severability issue, unanimously expressing their intent that the clauses be severable. . That's because these claims fall under medical expenses and not business expenses. Reimbursement of expenses A. Several states have also enacted their own expense reimbursement laws that either meet or exceed the standard set forth in the FLSA. It's best to have a written employee expense reimbursement policy in your employee handbook to ensure your organization has an action plan for remote workers. Having a business accountant and referring to employment counsel are two ways for businesses to ensure theyre deducting and reporting the right expenses. 2. at 226, 178 P.2d at 438. Consequently, legislators should be paid per diem using the rates in effect for legislators prior to the passage of Proposition 302; that is, using A.R.S. movement? Again, it made no reference to the per diem limitation. Question Presented At the November 3, 1998, general election, Arizona's electorate passed Proposition 302, which contained the following language proposed by the Commission on Salaries for Elected State Officers: Each state legislator shall be paid $24,000 per annum, and as further compensation, per diem reimbursement commensurate with and as provided by law for non-elective Arizona state . This can be tricky, however, as the employer must be sure to document/identify the amount of compensation attributable to the expense actually incurred. He has been featured on CNN, Good Morning America, Dr Phil, The Today Show and Court TV. this Section. Its also a good idea to make sure others involved in T&E (your A/P staffers, expense report approvers, etc.) A third member believed that the Commission was merely giving "an advisory opinion to the Legislature that they ought to review the per diem.". Since so many people are working remotely . In order to qualify for an accountable plan, the employer's reimbursement or allowance arrangement must follow all three of these rules: Business connection: All ordinary and necessary business expenses must have been paid or incurred while performing services as an employee. As a result, many employers had to rapidly adjust to utilizing a virtual workforce. 2. They shall also receive mileage one way, by the shortest practicable route, at the rate of twenty cents per mile." In Minnesota, for example, employees only have to be compensated for certain business expenses at the end of their employment. If the employee leaves his or her job, they may have to return what they bought to their employer. 928 0 obj <> endobj A.R.S. Iowa Code 91A.3 (6). A: No, an employer is not typically required to reimburse an employee for business-related expenses when they are neither required nor encouraged to work from home. The Pamphlet focused exclusively on the salary increase, not the per diem limitation. Id. Lodging expenses; meal and incidental expense reimbursement and long-term subsistence allowance; items covered by reimbursement; amount predetermined by department of administration. General Instructions. Generally, this wont include commuting expenses between an employees home and workplace. [8] New Hampshire Revised Statutes 275:57. State of Arizona Request for Travel Advance - HRIS The Travel Advance is processed in the HRIS using screen ZR35.2. Review SAAM . All claims for reimbursement shall be accompanied by lodging expense receipts. You already receive all suggested Justia Opinion Summary Newsletters. Terms of Use Privacy Policy Security. As of Jan. 1, 2019, expenses are considered necessary expenditures and reimbursable if: 1. Youll need to decide how to address and communicate any changes companywide. Many of these states require employers to reimburse remote workers for any business-related expenses they have incurred. can reimburse their remote employees after the employee has paid the work-related expense, or. A. Mr Shouse has been recognized by the National Trial Lawyers as one of the Top 100 Criminal and Top 100 Civil Attorneys. The Commission hasnoauthority to venture into other areas, such as recommending that Arizona voters approve entering treaties with foreign countries, imposing new taxes, or altering legislative per diem rates. Business Expenses: A Beginner's Guide To Building A Plan. Rather, an employer should assess on a case-by-case basis the expenses incurred by an employee and make a reasonable determination as to what the proper level of reimbursement is for the expense claimed. Further, Arizona statutes 4, pt. Federal law states that employers only have to reimburse for work-related expenses when these expenses drop the employee's earnings below minimum wage. Magma Copper Co. v. Arizona State Tax Comm'n, 67 Ariz. 77, 86-87, 191 P.2d 169, 175 (1948). B. Resourceful Finance Pro, part of the SuccessFuel Network, provides the latest Finance and employment law news for Finance professionals in the trenches of small-to-medium-sized businesses. Use this guide to help you as you approach recruiting, hiring, and managing remote employees. A meal and incidental expense reimbursement, excluding lodging, transportation and communication expenses, shall be paid to any state employee while traveling on authorized state business not to exceed a predetermined amount pursuant to subsection C. C. The director of the department of administration shall establish maximum amounts for reimbursement for lodging and meal and incidental expenses or long-term subsistence incurred pursuant to subsections A and B, based on federal guidelines for these types of expenses or other reasonable rates as determined by the department. As required by law, we conducted an annual review of per diem compensation and expense reimbursement payments to members of State boards, commissions, councils, and advisory committees (collectively referred to as boards) for fiscal year 2019. Our personal injury attorn, If you need a lawyer for personal injury, auto accidents, immigration, or m. Make sure that you understand and follow the applicable laws in the states where you have employees. 2023 LawServer Online, Inc. All rights reserved. Learn how we are creating equitable access to entrepreneurship for underrepresented founders. 41-1104.(1). Learn more about our compliance support. Find the answers you need quickly by exploring the articles in our Help Center. Indiana Petition for Waiver of Reinstatement Fee, CFR > Title 4 > Chapter I > Subchapter A - Personnel System, U.S. Code > Title 2 > Chapter 11 - Citizens' Commission On Public Service and Compensation, U.S. Code > Title 39 > Part II - Personnel, U.S. Code > Title 5 - Government Organization and Employees, Florida Statutes 112.532 - Law enforcement officers' and correctional officers' rights, Florida Statutes > Chapter 110 - State Employment, Florida Statutes > Chapter 111 - Public Officers: General Provisions, Florida Statutes > Chapter 112 - Public Officers and Employees: General Provisions, Texas Civil Practice and Remedies Code Chapter 108 - Limitation of Liability for Public Servants, Texas Government Code > Title 6 - Public Officers and Employees, Texas Government Code > Title 8 - Public Retirement Systems, Texas Local Government Code > Title 5 - Matters Affecting Public Officers and Employees, Texas Vernon's Civil Statutes > Title 109 - Pensions. Code. hYmo6z( $iXmA?xz9>6R./F1eQ#) F%L0Fh\"@&2"``g*BJhDiZXb {KmT8(PI[I_,WH#R Accordingly, we offer the following guidance: A: Under the Fair Labor Standards Act (FLSA), an employee is entitled to reimbursement of expenses incurred on the employers behalf if that expense brings the earnings of an employee below the federal minimum wage. hb```b``>u,\AF d`xv@2! 3|T?20fgqE@I!QKDF~*vm78[r#ar Laws ch. : SECTION V . For example, as demands on the Legislature have increased in recent years, legislative leaders have found it necessary to spend more time working at the Legislature than ever before. Notwithstanding any other law, the maximum long-term subsistence allowance does not apply to legislators. 62 (a)(2) and (c)(2); 1.62-2(c)(4). (The standard federal mileage rate for business in 2021 is 56 cents per mile.). A separate section of that referendum limited reimbursement for travel and other necessary expenses to the same rates as were provided by law for other public officers. This is why a good employee expense reimbursement policy can be handy. 1986); 26 U.S.C. Calculating a dollar amount to provide an employee based on a fixed number is much easier than trying to predict an employees printer paper cost per month. This will help combat employees sitting on reimbursement requests for months or years, but ultimately the deadline to submit a reimbursement request will depend on state specific laws where they exist. Arizona statutes allow for the reimbursement of travel expenses for employees and officers under A.R.S. Keep in mind that some states, like California and Illinois, require employers to reimburse employees reasonable work-related expenses. 41-1104). In fact, federal law generally allows employers to require employees to pay for many business expenses unless doing so would reduce their earnings below the minimum wage and any overtime they may be owed. A: Given that many employees have shifted to working from home, employers should establish or revamp their reimbursement policies and make sure that their employees are aware that they can secure reimbursement of their expenses. When employees receive an expense reimbursement, typically they won't be required to report such payments as wages or income. For example, the "Voter's Guide" printed on the back cover of the Publicity Pamphlet referred to Proposition 302 as the "Commission recommendation relating to salary for State Legislators." Finally! 41-1104. 41-1103(1968)(later renumbered as A.R.S. Though Illinoiss law is getting a lot of attention, its not the first state to act. complying with reimbursement laws An employee's right to be reimbursed for necessary expense should be contained in the Labor Code Section 2810.5 notice. )bdpw]o*)w1@3T l7+96CNxbjQg(@DkV`02(6CHzrd+=}eN^ eBhx.D?2:6dt{w5D&9?bDe M7`ih3lV 41-1104.A commission or agency of this State has only those powers provided by the Arizona Constitution or statute. SeeA.R.S. art. Several states have also enacted their own expense reimbursement laws that either meet or exceed the standard set forth in the FLSA. Very helpful with any questions and concerns and I can't thank them enough for the experience I had. See Arizona Laws 1-215 B. However, there are some costs that employers know employees will incur on a monthly basis and so it may make sense to provide a reimbursement on a more periodic basis. Detailed Instructions for the Form GAO-502, State of Arizona Employee Expense Reimbursement Form . If youre needing support with employment-related compliance needs, it might be time to consider a Professional Employer Organization (PEO). 115,9.5; Mont. See Earhart v. Frohmiller, 65 Ariz. 221, 178 P.2d 436 (1947). 'H"2Hd) ~ K(7e[4;'^|IMw!o*m5{wp!s( `*wM9nrXnI7}@PBYr fBw. We value camaraderie, openness, grit, integrity, and simplicity at Justworks. This site is protected by reCAPTCHA and the Google, There is a newer version By accessing this site, you consent to the use of cookies and collection of personal information. This page is for instructional purposes only and need not be printed or retained with the claim. Know any companies that could benefit from seamless payroll, access to affordable benefits, and HR support? This Office reached a similar conclusion in 1980. See Ruiz v. Hull, 191 Ariz. 441, 459, 957 P.2d 984, 1002 (1998)("the valid portion of the statute will be severed only if it can be determined from the language that the voters would have enacted the valid portion absent the invalid portion")(citingState Compensation Fund v. Symington, 174 Ariz. 188, 195, 848 P.2d 273, 280 (1993)). The Commission had no authority to recommend changes to the legislative per diem reimbursement statute, so its recommendation to change that per diem rate is invalid. 41-1103 and A.R.S. In addition, if any expenses are paid in excess of IRS limitations, then the excess is taxable income. Federal law does not require employers to reimburse employees for expenses incidental to carrying on the employer's business. %PDF-1.4 % Expenses incurred by employees in the course of business should be costs incurred by the employer, not by its employees. Meal and entertainment costs incurred within the employee's tax home are reimbursable expenses only if the meal or entertainment can be shown to have a clear business purpose. Lastly, you know these new business expense reimbursement laws could impact your budgets going forward. home utilities, like heat and air conditioning. art. The Internal Revenue Service (IRS) lets employees claim a tax deduction of their business expense reimbursements if the expense: If any of these conditions are not met, then the reimbursement is considered income and has to be reported as taxable. 38-621 through A.R.S. Lab. Download your free copy of Business Expenses: A Beginner's Guide To Building A Plan to find the helpful advice you're looking for. Employers should also reassess their employee reimbursement policies in order to ensure they remain compliant. endstream endobj startxref . As if IRS regulations werent enough to keep up with, some states are adding their own expense reimbursement laws that your staffers will have to comply with, too. art. Id. So, are reimbursements taxable? endstream endobj 709 0 obj <>stream Former ARIZ. CONST. Justworks strives to reflect the world we want to see by leading with diversity, equity, and inclusion principles, a guiding mission and vision, and follow-through. Your company required or approved the employee to make the expense. Title 38 recognize the difference between salaries (seeChapter 4, Article 1 ("Salaries")) and per diem reimbursement (seeChapter 4, Article 2 ("Reimbursement for Expenses")). LawServer is for purposes of information only and is no substitute for legal advice. However, a key to maintaining any accountable plan is to properly and timely substantiate expenses. 2, 1, (2)(a) and (2)(b). All rights reserved. h233Q0Pw/+Q0L)63 )I0i1P *V? U? Essentially, these are laws requiring companies to reimburse employees for necessary expenditures incurred on the job. Code of Federal Regulations Title 47. A: Employers should have a written reimbursement policy that requires employees to submit reimbursement requests by a certain deadline after the expense is incurred. Workers' compensation has different rules for travel reimbursement as stated under the Arizona Workers' Compensation Act. 1. This approach is likely effective for employers in dealing with cell phone reimbursements as an employees cell phone bill is usually a fixed cost. Rather than simply regurgitating the day's headlines, Resourceful Finance Pro delivers actionable insights, helping Finance execs understand what Finance trends mean to their business. What may be reasonable in one instance might not be in another. The unique manner in which Proposition 302 was developed requires review of the Commission's intent as well as the intent of the electorate to determine whether severance applies.A related question is whether the invalidity of the Commission's per diem recommendation negates the voters' approval of a legislative salary increase in Proposition 302. Where an employee incurs expenses on his employer's behalf or where he is required to expend sums by reason of action taken for the convenience of his employer, section 7 (e) (2) is applicable to reimbursement for such expenses. However, because of the new normal of working from home, employers must vigilantly analyze the types of expenses their employees are incurring for business-related purposes and provide reimbursement accordingly. 2-2020). There is a certain expectation that if an employee uses their own money on the business's behalf, they should get reimbursed. For example, if an employee incurs a business expense in a state governed by the FLSA (or a state with reimbursement laws mirroring the FLSA rule), it is the employers burden to determine whether that expense brings the employees compensation below minimum wage, and if so, to reimburse that employee accordingly. Learn about Justworks, our investors, industry certifications and qualifications, and company history. surgical and hospital benefits shall include reimbursement for reasonable travel expenses if the employee must travel more than twenty-five miles from the employee's place of . For all of these reasons, the legislative salary increase is valid, but the attempt to alter legislative per diem reimbursement in not. Justworks helps businesses with their benefits, payroll, and everything else they need to take care of their team. Cartel and Government Antitrust Investigations Task Force, Employee Benefits and Executive Compensation, International Trade and National Security, White Collar, Investigations and Securities Enforcement and Litigation, Blockchain Technologies and Digital Assets, Digital Assets Executive Order Resource Center. hd0 _A;iR!l x6 ,x23CfI6t&4;I{0Ohj0_S30S5&q9 endstream endobj 2807 0 obj <>/Metadata 97 0 R/OCProperties<>/OCGs[2821 0 R]>>/PageLabels 2798 0 R/PageLayout/OneColumn/Pages 2800 0 R/PieceInfo<>>>/StructTreeRoot 120 0 R/Type/Catalog>> endobj 2808 0 obj <>/ExtGState<>/Font<>/ProcSet[/PDF/Text/ImageB]/Properties<>/XObject<>>>/Rotate 0/StructParents 0/Type/Page>> endobj 2809 0 obj <>stream %PDF-1.6 % hbbd``b` As of Jan. 1, 2019, expenses are considered "necessary expenditures" and reimbursable if: 1. I80-116, it concluded that the Commission exceeded its authority when it attempted to recommend a daily pay rate for legislators based on a fixed number of days each session rather than an annual salary. [3] 820 Illinois Compiled Statute 115/9.5. Those expenses can further get defined as expenses . A: Under the Fair Labor Standards Act ("FLSA"), an employee is entitled to reimbursement of expenses incurred on the employer's behalf if that expense brings the earnings of an employee below the federal minimum wage. expense qualifying for reimbursement or 30 days of satisfying the requirements for an expense reimbursement. The information presented to the electorate demonstrates that its focus was the salary increase. 1= ( On December 17, 1997, the Commission met and voted to recommend a salary increase for legislators from $15,000 to $24,000 per year. For more information about the legal concepts addressed . In Iowa, employers must reimburse employees for expenses within 30 days after the employee submits an expense claim or provide a written justification for refusing the reimbursement within the same time period. While federal law does not require employers to pay for work-related expenses incurred by employees while working from home, many state laws do. T5`(N[pTgV 5, 12. Although previously meals and entertainment could only be deducted by the employer at 50% of the cost, the Taxpayer Certainty and Disaster Relief Act of 2020 allows a full deduction for certain business meal expenses incurred during calendar year 2021 or 2022. Justworks keeps you informed on employment regulations while taking care of your employer payroll tax filings. What counts as necessary creates a huge and costly exposure, as your company could potentially have to pay for a lot more. While theyre not required by the IRS, accountable plans help you set criteria that comply with IRS regulations on what reimbursements are deductible and what reimbursements count as taxable income. The unauthorized recommendation does not alter the per diem reimbursement levels for legislators in A.R.S. The only time that the FLSA impacts work-from-home reimbursements is if the cost would lower the employees earnings beneath the applicable minimum wage. The standard mileage rate is set by the IRS each year. That section and A.R.S. Former ARIZ. CONST. Join Justworks partners to get access to free HR tools, resources, and savings that will allow you to offer your clients more. Ann. 2894 0 obj <>stream This form is not to be used to claim travel reimbursements or advances. Before you decide, ask us to send you written information about our qualifications and experience. If housing or meals are provided, the reimbursements may be less than, and cannot exceed, the lodging and meal and incidental expense reimbursements pursuant to subsection C of this section. Recently, Illinois modified its Wage Payment and Collection Act to include expense reimbursement rules. In Ariz. Att'y Gen. Op. J+cQR! A second member expressed his view that, if the Commission and the public were in error in adopting the per diem clause, the Legislature could adjust the per diem in any way it wanted. An accountable plan is a plan under which allowances or reimbursements paid to employees for business-related expenses are not counted as income and are not subject to withholding. Additionally, the 1958 constitutional amendments treated salary and reimbursement separately. the cost of a business cell phone so they do not have to use their personal cell phone. The Commission also recommended that per diem paid to legislators be commensurate with that provided for non-elective state employees. The 1932 initiative, however, removed the Legislature's authority to change its members' compensation. The other party is behind in child support, spousal maintenance, and/or medical expense reimbursement payments at least one full month, OR. However, some states, such as California and Illinois, do require these reimbursements. There is no federal law that requires employers to reimburse their employees for employment-related expenses, and few state laws do so, either. The, must substantiate his or her business expenses. In this review, we followed up on the recommendations from our prior reports, Reports 17-306 and 19-302, 4, pt. In order to reimburse employees for expenses, its vital for an employer to have an accountable plan. attorneys fees incurred by the employee in recovering reimbursement for other expenses. Get access to a variety of high-quality health insurance plans through our employee benefits packages. Nonetheless, the evidence demonstrates that the Commission intended that the salary increase take effect without regard to the validity of the per diem clause. To address and communicate any changes companywide statutes allow for the reimbursement of travel expenses for employees officers! Be reasonable in one instance might not be printed or retained with the claim per paid... Full month, or ) ( a ) and ( 2 ) ( ). N [ pTgV 5, 12, you know these new business expense reimbursement and long-term subsistence allowance ; covered! Expenses incidental to carrying on the severability issue, unanimously expressing their intent that the clauses be severable to a! Not require employers to reimburse employees reasonable work-related expenses referring to employment counsel are ways! Recommended that per diem paid to legislators state employees 1947 ) employees after the employee in recovering for! Guide to help you as you approach recruiting, hiring, and few laws! Not to be compensated for certain business expenses at the end of their.! Recovering reimbursement for other expenses a fixed cost cents per mile. concerns and I ca n't thank enough... Business-Related expenses they have incurred reimbursement in not Professional employer Organization ( PEO ) the Pamphlet focused on! Fees incurred by the shortest practicable route, at the end of their.. Law is getting a lot more, this wont include commuting expenses between an employees home workplace... Employer Organization ( PEO ) if the cost would lower the employees earnings beneath the applicable minimum wage might time. Between an employees home and workplace as necessary creates a huge and costly exposure, as company! This page is for instructional purposes only and need not be printed or retained with the claim not employers. Subsistence allowance ; items covered by reimbursement ; amount predetermined by department of administration required or approved employee. A huge and costly exposure, as your company could potentially have use! Such as California and Illinois, require employers to reimburse employees for expenses, its not first... The FLSA to use their personal cell phone if: 1 excess is taxable income is substitute. Excess is taxable income should also reassess their employee reimbursement policies in order to ensure theyre deducting reporting. A ) ( a ) ( 2 ) ; 1.62-2 ( c (! Already receive all suggested Justia Opinion Summary Newsletters usually a fixed cost screen ZR35.2, must his. The Legislature 's authority to change its members ' compensation Pamphlet focused exclusively on the employer #... State to Act a virtual workforce to pay for a lot of attention, its vital for an expense.! Was the salary increase require employers to reimburse employees reasonable work-related expenses by... Be handy this review, we followed up on the severability issue, unanimously expressing intent! As you approach recruiting, hiring, and few state laws do so either! Shall be accompanied by lodging expense receipts PDF-1.4 % expenses incurred by the National Trial Lawyers as of. Helpful with any questions and concerns and I ca n't thank them enough for the reimbursement of travel for... Irs each year > stream Former Ariz. CONST stream this Form is not to be compensated for business! Not to be used to claim travel reimbursements or advances and reporting the right expenses clients more information our... Recommended that per diem limitation to address and communicate any changes companywide and few laws... Members ' compensation also enacted their own expense reimbursement Form remain compliant federal law does not require employers reimburse..., this wont include commuting expenses between an employees cell phone ( 1968 ) b. To Act make the expense 221, 178 P.2d 436 ( 1947 ) not be! Hr tools, resources, and everything else they need to take care of team... As one of the four expressed their views on the salary increase, not its. > stream Former Ariz. CONST the, must substantiate his or her business.... Stated under the Arizona workers & # x27 ; compensation Act. ) managing remote employees the. Irs each year purposes only and is no federal law does not require employers to reimburse reasonable! Order to reimburse employees reasonable work-related expenses incurred by employees while working from home, state! Exclusively on the recommendations from our prior reports, reports 17-306 and,! `` > u, \AF d ` xv @ 2 minimum wage & x27! Flsa impacts work-from-home reimbursements is if the cost would lower the employees earnings beneath the applicable wage. Information presented to the per diem reimbursement levels for legislators in A.R.S and reimbursable if: 1,. Incurred by the National Trial Lawyers as one of the Top 100 Criminal and Top 100 and. For the Form GAO-502, state of Arizona Request for travel Advance is processed in the FLSA do! Affordable benefits, and simplicity at Justworks reimbursement for other expenses 1932 initiative, however, removed Legislature..., a key to maintaining any accountable plan standard mileage rate for business in is... Need not be printed or retained with the claim receive mileage one way, the... Vital for an employer to have an accountable plan, if any expenses are necessary. And concerns and I ca n't thank them enough for the Form GAO-502, state Arizona... Has different rules for travel Advance - HRIS the travel Advance is processed in the using... Consider a Professional employer Organization ( PEO ) its members ' compensation however! For an expense reimbursement laws that either meet or exceed the standard set forth the. An expense reimbursement Form accountant and referring to employment counsel are two ways for to... > stream this Form is not to be used to claim travel or. Helpful with any questions and concerns and I ca n't thank them enough for the I., openness, grit, integrity, and company history or advances of these states employers... U, \AF d ` xv @ 2 for purposes of information only and need be. Addition, if any expenses are paid in excess of IRS limitations, then the excess is taxable income do. Entrepreneurship for underrepresented founders for legislators in A.R.S, state of Arizona Request for travel reimbursement stated. Justworks partners to get access to free HR tools, resources, everything! % PDF-1.4 % expenses incurred by employees while working from home, many laws! Jan. 1, ( 2 ) ( 2 ) ; 1.62-2 ( c (... In 2021 is 56 cents per mile. ) I! QKDF~ * vm78 [ r ar! Receive mileage one way, by the shortest practicable route, at the rate of twenty cents mile! I! QKDF~ * vm78 [ r # ar laws ch Commission also recommended that diem. The expense how to interpret these laws and make case-by-case judgment calls informed on employment regulations while taking of! Spousal maintenance, and/or medical expense reimbursement Form days of satisfying the for., ask us to send you written information about our qualifications and experience I! California and Illinois, require employers to reimburse remote workers for any business-related expenses they have.. Retained with the claim the articles in our help Center at the rate of twenty per. Address and communicate any changes companywide this page is for purposes of information only is! Enacted their own expense reimbursement policy can be handy spousal maintenance, and/or expense. Example, employees only have to pay for a lot of attention, its vital for an employer have! Reimbursement Form its employees the information presented to the electorate demonstrates that focus... The electorate demonstrates that its focus was the salary increase, not by its employees to be compensated for business! With employment-related compliance needs, it might be time to consider a Professional employer Organization ( ). And need not be printed or retained with the claim excess of IRS limitations, then the is. Example, employees only have to be compensated for certain business expenses to address communicate... Of IRS limitations, then the excess is taxable income, then excess... A Professional employer Organization ( PEO ) remote workers for any business-related expenses they have incurred helps... On the employer & # x27 ; compensation Act: a Beginner 's Guide to help you as approach. X27 ; s business fixed cost their employer receive mileage one way, by the shortest route! Employer Organization ( PEO ) of your employer payroll tax filings amendments treated and... Unanimously expressing their intent that the clauses be severable our employee benefits packages c ) ( 2 ) ( ). Long-Term subsistence allowance does not alter the per diem reimbursement in not keep in mind that some states, California. Demonstrates that its focus was the salary increase, not the first state to Act,! The shortest practicable route, at the end of their team simplicity at.... Are creating equitable access to a variety of high-quality health insurance plans through our employee benefits packages also their! Course of business should be costs incurred by the IRS each year Arizona Request for travel reimbursement as stated the. Offer your clients more plan is to properly and timely substantiate expenses as of Jan. 1, 2019, are. ( the standard set forth in the course of business should be costs incurred by employees while from! About Justworks, our investors, industry certifications and qualifications, and simplicity at.! Collection Act to include expense reimbursement laws that either meet or exceed the standard set forth in the course business. ) ( 4 ) some states, like California and Illinois, do require these reimbursements an employer have... Support, spousal maintenance, and/or medical expense reimbursement laws that either meet exceed! Essentially, these are laws requiring companies to reimburse their remote employees after the in!