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What Three Types of Issues Are Not Covered by Workers Compensation?

The Growing Challenge of Multi-State Payroll

Business owners, CFOs, and HR professionals know how complex the payroll process can be. When your company hires employees that live across multiple states, however, it becomes even more challenging.

 

Varying tax regulations and location-specific wage laws make it difficult to remain compliant. The rise of remote work means these complexities are becoming even more prevalent, ultimately costing companies time and money.

 

The administrative burden of multi-state payroll can lead to costly errors—particularly for small businesses. Professional employer organizations (PEOs) step in to alleviate some of that pressure by handling administrative tasks like payroll management. This means growing companies can stay focused solely on running their business.

 

Let’s take a closer look at multi-state payroll compliance, why traditional payroll may not be the right choice for your company, and how PEOs help simplify the payroll process.

 

Understanding Payroll Compliance Across State Borders

If you’re a small business owner, hiring remote workers means having the ability to access a larger pool of talent beyond your specific area. This can be incredibly beneficial for your business, but it also comes with challenges.

 

One of the biggest challenges companies should consider when hiring talent across state borders is remaining compliant with rules and regulations regarding payroll. Not only do these laws evolve constantly, but they also tend to vary from state-to-state. If your company falls out of compliance, you could be faced with hefty fines and penalties.

 

When hiring workers across multiple states, it’s important to keep in mind that state income tax rates, unemployment insurance requirements, wage and hour laws, and benefits mandates will vary depending on where your new employees are located. Keeping up with those regulations can be especially difficult for smaller businesses or companies without a human resources team.

 

Why Traditional Payroll Systems Fall Short

Traditional payroll systems typically handle one-size-fits-all scenarios. While they may process paychecks efficiently, they may not take multi-state payroll compliance into account.

 

In many cases, generalized payroll processing can lead to miscalculated tax withholdings, late or inaccurate state filings, or noncompliance with state wage laws.

 

How PEOPayGo Makes Multi-State Payroll Easy and Accurate

From streamlining payroll and ensuring compliance to flexible pay-as-you-go programs and expert support at your fingertips, PEOPayGo makes multi-state payroll easy and accurate.

 

1. Payroll Compliance

PEOPayGo specializes in understanding and keeping up with state and federal rules and regulations when it comes to payroll. No matter where in the United States your workers are located, PEOPayGo ensures that your business will remain in compliance with those laws.

 

2. Streamlined Payroll Processes

Beyond remaining compliant with state and federal regulations, a streamlined payroll process is essential to keep employees happy and your company thriving. PEOPayGo’s platform simplifies the entire process, from onboarding new employees and time tracking to tax filings and benefits management. Automating your payroll processes with the help of PEOPayGo also ensures that it’s done accurately and on time.

 

3. Expert Support

The team of experts at PEOPayGo is always available to help with what you need—whether you’re unsure of how to handle an employee moving to another state or you’re trying to understand varying wage laws. When you partner with PEOPayGo, you’ll receive the support you need as a small or medium-sized business.

 

Simplify Payroll with PEOPayGo’s Multi-State Expertise

Managing payroll across multiple states can be complicated, and as a small business owner, you likely have a lot on your plate already. It can be difficult to keep track of varying wage laws by state, especially when rules and regulations are constantly changing.

 

When you work with PEOPayGo, you can rest assured that your business will remain compliant with state and federal regulations when it comes to payroll. Not only will you receive compliance support, but you’ll have streamlined payroll processes to help your organization simplify and thrive.

 

If you’re a business owner or HR manager with multi-state or remote employees, reach out to PEOPayGo today to get the payroll support you need.

 

Contact us today to get the coverage and support you need!

What Three Types of Issues Are Not Covered by Workers Compensation?

Most businesses have some degree of risk associated with them, and workers compensation is a way for employers to protect their employees in the event of an on-the-job injury. But what happens when an employee gets injured outside of their normal job duties? 

Are they still eligible for workers’ compensation benefits? Let’s take a look at some of the scenarios that may arise and how they could affect workers comp claims.

1 - Does Workers Comp Cover Traveling Employees?​

If an employee is traveling for work, they are typically still covered by workers comp even if they don’t sustain a work-related injury while on the trip.

 

This goes back to the idea that anytime an employee is performing any kind of duty in service to their employer, they should be covered. However, this also depends on the laws of your state or jurisdiction.

Here are some typical questions pertaining to employees who travel with regards to being covered by workers compensation insurance.

This goes back to the idea that anytime an employee is performing any kind of duty in service to their employer, they should be covered. However, this also depends on the laws of your state or jurisdiction.

 

Here are some typical questions pertaining to employees who travel with regards to being covered by workers compensation insurance.

Traveling employees who contract an illness or suffer from an injury while on the job must always follow specific guidelines for Florida workers comp. 

 

From ensuring that the injury doesn’t go unreported to notifying the employer as soon as possible and obtaining medical treatment, there are certain regulations that have been established in order to protect both the employee and employer. 

 

Although injuries sustained while traveling can be treated similar to other work-related incidents, there are differences in how they must be reported according to state laws and regulations. 

 

Knowing these is essential when navigating a workers comp claim if an illness or injury is contracted on the job.

Injured workers can be reimbursed for more than just medical expenses. From the comfort of their homes, they’re eligible to receive mileage compensation if they need to commute between home and doctor visits or physical therapy sessions. 

 

On top of that, trips to a local pharmacy will also be covered – providing extra relief in an already difficult situation!

Business travelers are often exposed to unexpected risks, from illnesses and weather events to pickpockets. 

 

To ensure the safety of your employees no matter where their work takes them, it’s important that you prioritize creating travel safety guidelines for all staff members on business trips. 

 

Invest in keeping them safe – they’re worth it!

In the unfortunate event of an accident or injury while on a business trip, it’s important to take swift action by notifying your employer and filing for workers’ compensation. 

 

Doing so will ensure you get the right care – both medical and financial – that is available in such cases.

2 - Does Workers Comp Cover Overtime Hours?

This one can be tricky because often times overtime hours require employees to perform jobs outside their typical scope.

 

If an employee is injured while working overtime hours, there might not be a case to be made for workers comp since this isn’t considered part of their normal job duties. 

It’s important for employers to clearly define what counts as overtime in order to protect themselves from workers comp claims when something like this arises.

In most cases, yes! Workers compensation does cover overtime hours. This means that if an employee experiences an accident or injury while working overtime, they may be eligible for workers comp benefits. 

It is important to note, however, that some states have different laws regarding whether overtime hours are covered by workers comp. Be sure to look into your state’s specific regulations before making any decisions about how your business handles workers compensation and overtime pay. 

It is also important to remember that while workers comp covers medical bills related to workplace injuries or illnesses, it does not cover all medical costs associated with an incident. 

For example, if an employee requires surgery as a result of their injury or illness but the surgery is unrelated to their workplace incident (i.e., they needed the surgery regardless of the incident), then those expenses will not be covered by workers comp insurance.

3 - Does Workers Comp Cover Employee Errands?

The answer is yes, but with some caveats. If an employee has been instructed by their employer to run an errand or perform a task as part of their job duties, then they may be covered by Worker’s Compensation if they are injured while doing so.

 

However, if an employee is running a personal errand on their own time and not at the direction of their employer, then they would not be eligible for Worker’s Compensation. 

For example, if an employee has been sent out by their employer to run some errands during work hours, then that would qualify as part of their normal job duties and any resulting injuries would be covered under workers comp. 

Again, it all comes down to whether or not the activity qualifies as part of the employee’s regular job duties and responsibilities.

Worker’s Compensation does not cover every instance where an employee runs an errand for their employer. 

To qualify for coverage under Worker’s Compensation, the following criteria must be met:  The employee must have been instructed by the employer to run the errand; The errand must be related directly to work duties; The injury must have occurred while performing the task; The injury must have been caused by a direct result of performing the task.  

Additionally, it is important to note that Worker’s Compensation only covers physical injuries or illnesses—it does not cover any other type of damage or loss sustained in connection with an errand. 

What Are Some Examples Of Tasks That May Qualify For Coverage Under Worker’s Comp?

While what qualifies as a “work-related task” can vary from state-to-state, below are some examples of tasks that may qualify for coverage under Worker’s Comp: Delivering documents or packages; Going to pick up supplies for the office; Making bank deposits on behalf of the company; Attending meetings offsite; Traveling out-of-state for work purposes.   



In general, anytime an employee is performing any kind of duty in service to their employer – regardless if it’s during regular working hours or not – they should be covered by workers comp if they get injured as a result. 

 

Employers must tread carefully when sending employees off-site or having them work outside of regular working hours so that they do not find themselves liable for any injuries sustained during these activities. 

 

Understanding your state and local laws regarding workers’ compensation will help you make sure you’re doing everything you can to protect yourself and your employees from any potential harm or injury that may occur while on the job.

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