4.55/5 stars (208 customer reviews)

Learn how to handle: ✓ taxable v. nontaxable fringe benefits ✓ expense reimbursements, advances and allowances ✓ personal use of company vehicles ✓ deferred compensation ✓ cafeteria plans ✓ third-party sick pay ✓ voluntary v. involuntary deductions ✓ child support orders and tax levies. Double-quiz in each section assures that you master it.

ISBN:978-1-938741-25-8
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302 pages [194 self-teaching + 108 self-quizzes with detailed answers]

Section 1: FIT withholding: The wage bracket and percentage methods. How to use IRS tables and special withholding rates.

Section 2: Fringe benefits. How to tax working condition fringe benefits . . . health insurance . . . qualified employee discounts . . . transit passes and parking . . . gift certificates, and more.

Section 3: Fringe benefits. How to tax—or not tax—various fringe benefits and report each one on the W-2, 941 and 940.

Section 4: Expense reimbursements, advances and allowances. What’s taxable v. nontaxable. Required substantiation. The cents-per-mile, standard mileage and federal per diem reimbursement methods. W-2 reporting.

Section 5: Personal use of company cars. 3 safe-harbor methods for valuing personal use and 4 requirements for using them. Reporting the value on the employee’s W-2.

Section 6: Deferred compensation and “cafeteria” plans. How to withhold pretax and report contributions to 401(k) plans and SEPs on the 941 and W-2. Contribution limits.

Section 7: Disability v. third-party sick pay. Handling sick pay from the employer v. self-insured plan v. insurer. FUTA and FIT taxability. Reporting sick payments on the W-2, 941 and 940.

Section 8: Taxing and reporting life insurance benefits. Reporting group-term life on the 940, 941 and W-2.

Section 9: Imputed income and gross-up for cash payments. How to compute a bonus that includes the employee’s share of taxes or withhold taxes after a cash bonus has been given.

Section 10: Imputed income and gross-up for fringe benefits. How to compute the employee’s share of taxes on noncash fringe benefits.

Section 11: Voluntary v. involuntary deductions. Child support orders, federal/state levies, other notices. Deductions permitted from employee pay before levy. Limits on the levy.

Section 12: Basics of workers’ comp insurance. Variations by state. Classification codes, computing premiums, taxation of workers’ comp benefits.

Glossary of key terms.

Appendix of sample payroll forms with instructions: W-4, 940, 940-Sched. A, 941, 941-Sched. B, 944, 945, 945-A, W-2, W-3, W-2c, W-3c, 941-X, I-9, 1099-MISC.

Publisher: AIPB

Additional information

Book Type

Softcover WorkBook, Online e-WorkBook

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4.55 out of 5 stars

208 reviews

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2 reviews with a 3-star rating

  1. RAMONA

    I thought that book was very difficult to follow. The information thst it contained was not what I expected. Though informative it really pertained to the most uppercrust and metropolis areas of the corporate world. This is nothing that is used in most of our businesses or companies throughout the rest of the US.

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  2. JOHN

    Better proofreading needs to be done. I noted 2 examples where there was a missing Form and Table reference was incorrect. I also found that some of the examples were either misleading or simply confusing Next printing include an index showing page numbers for each key term.

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