Payroll Louisiana, Unique Aspects of Louisiana Payroll Law and Practice

The Louisiana State Agency that oversees theThere is a $25 penalty for a late report in
collection and reporting of State income taxesLouisiana and $500 for conspiracy.The Louisiana
deducted from payroll checks is:Dept. of Revenuenew hire-reporting agency can be reached at
P.O. Box 201888-223-1461or on the web at does not allow
Baton Rouge, LA 70821-0201compulsory direct depositLouisiana has no State
(225) 219-0102Wage and Hour Law provisions concerning pay
requires that you use Louisiana form "L-4stub information.Louisiana requires that employee
(R-1300), Employee's Withholding Exemptionbe paid no less often than semimonthly or
Certificate" instead of a Federal W-4 Form forbiweekly for manufacturing, mining, or public
Louisiana State Income Tax Withholding.Not allservice corporations.Louisiana requires that the lag
states allow salary reductions made under Sectiontime between the end of the pay period and the
125 cafeteria plans or 401(k) to be treated in thepayment of wages to the employee not exceed
same manner as the IRS code allows. In Louisianaten days after pay period; 15 days for public
cafeteria plans are not taxable for income taxservice corporations.Louisiana payroll law requires
calculation; not taxable for unemploymentthat involuntarily terminated employees must be
insurance purposes. 401(k) plan deferrals are notpaid their final pay with in 15 working days and
taxable for income taxes; taxable forthat voluntarily terminated employees must be
unemployment purposes.In Louisiana supplementalpaid 15 days after they quit.Deceased employee's
wages are required to be aggregated for thewages of $6,000 must be paid to the surviving
state income tax withholding calculation.You mustspouse or adult child (in that order) if there is an
file your Louisiana state W-2s by magnetic mediainstrument indicating relationship to
if you are have at least 250 employees and aredeceased.Escheat laws in Louisiana require that
required to file your federal W-2s by magneticunclaimed wages be paid over to the state after
media.The Louisiana State Unemploymentone year.The employer is further required in
Insurance Agency is:Department of LaborLouisiana to keep a record of the wages
1001 N. 23rd St.abandoned and turned over to the state for a
P.O. Box 94094period of 10 years.There is no provision in
Baton Rouge, LA 70804-9094Louisiana law concerning tip credits against State
(225) 342-7690minimum wage.In Louisiana the payroll laws
State of Louisiana taxable wage base forcovering mandatory rest or meal breaks are only
unemployment purposes is wages up tothat minors under 16 must have 30 minutes rest
$7000.00.Louisiana requires Magnetic mediaafter five hours of work.Louisiana statute requires
reporting of quarterly wage reporting if thethat wage and hour records be kept for a period
employer has at least 250 employees that theyof not less than one year. These records will
are reporting that quarter.Unemployment recordsnormally consist of at least the information
must be retained in Louisiana for a minimumrequired under FLSA.The Louisiana agency
period of five years. This information generallycharged with enforcing Child Support Orders and
includes: name; social security number; dates oflaws is:Support Enforcement Services Program
hire, rehire and termination; wages by period;Department of Social Services
payroll pay periods and pay dates; date andP.O. Box 94065
circumstances of termination.The Louisiana State618 Main St.
Agency charged with enforcing the state wageBaton Rouge, LA 70804
and hour laws is:Department of Labor(225) 342-4780
1001 North 23rd St.has the following provisions for child support
P.O. Box 94094deductions:When to start Withholding?
Baton Rouge, LA 70804-9094Immediately after receipt of order.
(225) 342-3011When to send Payment? Within 7 days of
is no provision for minimum wage in the State ofPayday.
Louisiana.There is also no general provision inWhen to send Termination Notice? Within 10
Louisiana State Law covering paying overtime in adays of termination.
non-FLSA covered employer.Louisiana State newMaximum Administrative Fee? $5 per pay period.
hire reporting requirements are that everyWithholding Limits? 50% of disposable earnings.
employer must report every new hire and rehire.Please note that this article is not updated for
The employer must report the federally requiredchanges that can and will happen from time to
elements of:Employee's nametime.Charles J. Read, CPA has been in the payroll,
Employee's addressaccounting and tax business for 30 years, the last
Employee's social security numberfifteen in private practice. Mr. Read is the author
Employer's nameof "How to Start a New Business".For Professional
Employers addressPayroll services at a Budget Price go to a
Employer's Federal Employer IdentificationPaperless Payroll Company.Go to For a full service
Number (EIN)payroll service bureau with CPA's on staff.See an
Employee's occupationThis information must beexcerpt of Mr. Read's interviews from William
reported within 20 days of the hiring or rehiring.Shatners "Heartbeat of America" television show
The information can be sent as a W4 oron the websites linked above.
equivalent by mail, fax or electronically.