The Retail Employer

Virginia employers are likely aware that the third of three scheduled increases in the federal minimum wage went into effect last Friday, July 24, 2009. Employers need to ensure that any employee who had been employed at an hourly rate below $7.25 had an increase to the new minimum no later than July 24th. Transition weeks are difficult from a payroll calculation standpoint, so some employers increased the wage rate early, to make it effective at the outset of the pay period which included July 24th. If other wage rates are affected by a change in hourly rate (such as shift differentials), make sure that they have been adjusted. Be particularly care to make certain that all overtime compensation has been calculated taking into consideration the employee’s new regular rate.

Employers with operations in other states are reminded that some states have minimum wage rates that are higher than the federal minimum wage. Many states’ minimum wage is tied to the federal rate, and therefore many state minimum wage rates also changed, effective July 24, 2009. State minimum wage rates now in effect are as follows: 1

Questions on this and other labor/employment law topics may be directed to David E. Nagle, a partner in the Richmond office of Jackson Lewis LLP. Jackson Lewis LLP is a national workplace law firm with over 500 attorneys in 40 offices across the nation, all dedicated to representing management in workplace law and related litigation. For 27 years, David has counseled and represented employers in Virginia. He is listed in Best Lawyers in America, and Chambers’ Leading Lawyers for Business. He can be reached at david.nagle@jacksonlewis.com or (804) 648-4077.

Calls requesting information on the Employment Law Information Program should be directed to Preston Perrin with the Retail Merchants Association at 804-662-5500.

Member News & Events

Valentine Richmond History Center Seeks Objects from Great Depression Era

Public Is Invited to Personalize Exhibit by Submitting Related Artifacts

During the Great Depression, Richmond was a city divided between those who cherished the past and those looking toward a more progressive future. On October 29, 2009, the 80th anniversary of the Stock Market Crash of 1929, the Valentine Richmond History Center will unveil, Waste Not, Want Not: The Great Depression in Richmond, 1929 – 1941, an exhibition of objects and images that will contrast significant growth in Richmond during the 1920s with the hardships of the Great Depression in the 1930s and the creative solutions that arose from that challenging time.

Waste Not, Want Not will be comprised of objects from the History Center’s collection, but the public is invited to augment the collection by submitting artifacts related to Richmond in the 1920s and 1930s. In particular, the History Center seeks objects related to local or federal relief projects, such as the Citizens’ Service Exchange or the Works Progress Administration (WPA), as well as those that tell stories of daily life in Richmond during that time. Objects that reflect the lives of African Americans and working-class whites – such as NAACP and Student Negro Youth Congress ephemera, union cards and communist party membership cards – are of particular interest, as are samples of clothing, furniture, knitted goods from the federal relief projects like the WPA, and objects specific to local businesses. To learn more about donating or loaning objects to the History Center, contact Edward D. Ragan, History Center historian, (804) 649-0711 ext. 344, eragan@richmondhistorycenter.com.

Powhatan County Fair

August 18–23

Celebrating its 90th year! (804) 598-9808 www.powhatanfair.org

The Powhatan Festival of the Grape

Saturday, October 24

A reminder to all Powhatan Chamber members, one of your Chamber benefits is your ability to have a booth at the wine festival for your business - but you must fill out an application to reserve a space. Be part of the fun! Simply contact Tina or Diane at the chamber office for an application. (804) 598-2636 info@powhatanchamberofcommerce.org

The Community Coalitions of Virginia (CCVA) Plans to put substance abuse prevention on the map

CCVA is working with local communities and their prevention coalitions to drive substance down and awareness of the dangers up. To accomplish this, they need the support of everyone who understands that our communities prosper and thrive when we keep people off drugs. “The time is now for us to assemble and support an effort to make sure that substance abuse drops a close to zero as possible. Awareness and communication is the only way to do that, and it has to start with strong community efforts,” said Rick McKeel, Founding Board Member. “The current federal administration is seeking to eliminate $290 million in support for the Safe and Drug Free Schools and Communities program. If this happens, prevention coordinators in Virginia public schools will disappear and communities will lose one of their most valuable tools in the prevention fight. We’re working to keeping the prevention front strong and to make it stronger – community by community.” For more information, contact: Rick McKeel, CCOVA Founding Board Member, 804.377.3125 804.519.2520 cell rick.mckeel@drugfreealliance.org

www.ccova.org

IRS’s Top Seven Tax Tips for Taxpayers Who Have Started or Are Thinking of Starting a New Business

Anyone starting or thinking of starting a new business should be aware of their federal tax responsibilities. Here are the top seven things the IRS wants you to know if you plan on opening a new business this year.

First, you must decide what type of business entity you are going to establish. The type your business takes will determine which tax form you have to file. The most common types of business are the sole proprietorship, partnership, corporation and S corporation.
The type of business you operate determines what taxes you must pay and how you pay them. The four general types of business taxes are income tax, self-employment tax, employment tax and excise tax.
An Employer Identification Number is used to identify a business entity. Generally, businesses need an EIN. Visit IRS.gov for more information about whether you will need an EIN. You can also apply for an EIN online at IRS.gov.
Good records will help you ensure successful operation of your new business. You may choose any recordkeeping system suited to your business that clearly shows your income and expenses. Except in a few cases, the law does not require any special kind of records. However, the business you are in affects the type of records you need to keep for federal tax purposes.
Every business taxpayer must figure taxable income on an annual accounting period called a tax year. The calendar year and the fiscal year are the most common tax years used.
Each taxpayer must also use a consistent accounting method, which is a set of rules for determining when to report income and expenses. The most commonly used accounting methods are the cash method and an accrual method. Under the cash method, you generally report income in the tax year you receive it and deduct expenses in the tax year you pay them. Under an accrual method, you generally report income in the tax year you earn it and deduct expenses in the tax year you incur them.
Visit the Business section of IRS.gov for resources to assist entrepreneurs with starting and operating a new business.

To get the latest IRS news and products and services, subscribe to e-News for Small Businesses on IRS.gov at http://www.irs.gov/businesses/small/article/0,,id=154825,00.html, click “Subscribe Now” at the bottom of the page and enter your e-mail address.

The IRS Small Business and Self-employed Tax Center at http://www.irs.gov/businesses/small/index.html has more information about starting and operating a new business.

Register NOW to attend the Retail Marketing Expo—TUESDAY August 4th

Think. Shop. Buy. Local Update:

The Retail EmployerJuly 2009

Minimum Wage Increased to $7.25/hr