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Article #243: Payroll Idaho, Unique Aspects of Idaho Payroll Law and Practice

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The Idaho State Agency that oversees the Employer's Federal Employer
collection and reporting of State income Identification Number (EIN)
taxes deducted from payroll checks is: This information must be reported within
State Tax Commission 20 days of the hiring or rehiring.
Income Tax Division The information can be sent as a W4 or
800 Park Blvd, Plaza IV, Box 36 equivalent by mail, fax or
Boise, ID 83722 electronically.
(208) 334-7500 There is no penalty for a late report in
Idaho allows you to use the Federal W-4 Idaho.
form to calculate state income tax The Idaho new hire-reporting agency can
withholding. be reached at 800-627-3880 or on the web
Not all states allow salary reductions at
made under Section 125 cafeteria plans or Idaho does not allow compulsory direct
401(k) to be treated in the same manner deposit.
as the IRS code allows. In Idaho Idaho requires the following information
cafeteria plans are: not taxable for on an employee's pay stub:itemized
income tax calculation; not taxable for deductions
unemployment insurance purposes. 401(k) Idaho requires that employee be paid no
plan deferrals are: not taxable for less often than monthly.
income taxes; taxable for unemployment Idaho requires that the lag time between
purposes. the end of the pay period and the payment
In Idaho supplemental wages are taxed at of wages to the employee not exceed
a 7.8% flat rate. fifteen days.
In Idaho supplemental wages are required Idaho payroll law requires that
to be aggregated for the state income tax involuntarily terminated employees must
withholding calculation. be paid their final pay within 10 working
You must file your Idaho state W-2s by days or next regular payday and that
magnetic media if you are have at least voluntarily terminated employees must be
50 employees and are required to file paid their final pay within 10 working
your federal W-2s by magnetic media. days or by the next regular payday or by
The Idaho State Unemployment Insurance mail if employee requests it.
Agency is: There is no provision in Idaho law
Department of Employment concerning paying deceased employees.
317 Main St. Escheat laws in Idaho require that
Boise, ID 83735-0910 unclaimed wages be paid over to the state
(208) 332-7451 after one year.
The State of Idaho taxable wage base for The employer is further required in Idaho
unemployment purposes is wages up to to keep a record of the wages abandoned
$27,600.00. and turned over to the state for a period
Idaho requires Magnetic media reporting of 7 years.
of quarterly wage reporting if the Idaho payroll law mandates no more than
employer has at least 300 employees that 35% of minimum wage may be used as a tip
they are reporting that quarter. credit.
Unemployment records must be retained in In the Idaho payroll law there is no
Idaho for a minimum period of three provision covering required rest or meal
years. This information generally periods.
includes: name; social security number; Idaho statute requires that wage and hour
dates of hire, rehire and termination; records be kept for a period of not less
wages by period; payroll pay periods and than three years. These records will
pay dates; date and circumstances of normally consist of at least the
termination. information required under FLSA.
The Idaho State Agency charged with The Idaho agency charged with enforcing
enforcing the state wage and hour laws Child Support Orders and laws is:
is: Child Support Program
Department of Labor Department of Health and Welfare
317 Main St. 450 W. State St., 5th Fl.
Boise, ID 83735-0910 Boise, ID 83720-0036
(208) 332-7451 (208) 334-2479
The minimum wage in Idaho is $5.15 per Idaho has the following provisions for
hour. child support deductions:
There is also no general provision in When to start Withholding? Immediately
Idaho State Law covering paying overtime after receipt of order.
in a non-FLSA covered employer. When to send Payment? Within 7 days of
Idaho State new hire reporting Payday.
requirements are that every employer must When to send Termination Notice?
report every new hire and rehire. The Promptly.
employer must report the federally Maximum Administrative Fee? $5 per
required elements of: payment.
Employee's name Withholding Limits? 50% of disposable
Employee's address earnings.
Employee's social security number Please note that this article is not
Employer's name updated for changes that can and will
Employers address happen from time to time.






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