Withholding increase in California?
suzanne perry
1 Post
The new withholding takes effect Nov 1 - does anyone think it will change?
suzanne perry
1 Post
Comments
First of all, welcome to the Forum! I hope you find it to be a great resource for you, and hopefully you will have lots to add yourself!
Now, regarding you question... I'm not sure if we have anyone here from California anymore. Typically, an HR professional can only practice in California for about a year before they either move, retire, or commit suicide. Sorry to be the bearer of that bad news!
Suzanne,
Welcome to the forum. We're glad you could join us.
Sharon :welcome:
Since no one from California chimed in, I presented your question to Cathleen S. Yonahara of our Employers Council Network (these are the attorneys that write our state employment law letters; you can read more about them at [URL]http://www.employerscounsel.net/[/URL]). She specializes in labor and employment law at Freeland Cooper & Foreman in San Francisco and is an Associate Editor for [URL="http://www.hrhero.com/caemp.shtml"]California Employment Law Letter.[/URL]
Here's her response:
We do not believe that the effective date of the increased withholdings will change.
ABX4 17 was approved by the Governor on July 28, 2009. For wages paid on or after November 1, 2009, this new bill increases the applicable withholding rate on employee wages by 10% more than the sum currently specified on the wage withholding tables prepared by the Franchise Tax Board. This bill also increases the withholding rates to 6.6% (formerly 6%) for supplemental wages and to 10.23% (formerly 9.3%) for stock options and bonus payments paid on or after November 1, 2009.
Hope this helps. We look forward to having you as a member of the forum!
Celeste