Every year, Cast & Crew highlights some of the key changes facing our industry in What’s New. While this spotlight does not provide legal advice, it does seek to alert our clients to the myriad of issues and challenges arising in our industry.
The updated 2024 edition of What’s New includes things like minimum wage increases, federal tax and retirement limits, and state loan-out withholding rates. If you have any questions or would like to learn more, connect with us at compliance@castandcrew.com.
What's new across the United States
New minimum wage increases
IRS issues standard mileage rates for 2024
Notice 2023-239, December 14, 2023 - Today, the Internal Revenue Service issued the 2024 optional standard mileage rates used to calculate the deductible costs of operating an automobile for business, charitable, medical, or moving purposes.
Beginning on January 1, 2024, the standard mileage rates for the use of a car (also vans, pickups, and panel trucks) will be:
The standard mileage rate for business use is based on an annual study of the fixed and variable costs of operating an automobile. The rate for medical and moving purposes is based on variable costs.
Social Security Tax limits for 2024
Starting January 1, 2024, the maximum earnings subject to the Social Security payroll tax will increase by $8,400—up to $168,600—from 2023’s $160,200 max. The Social Security Administration (SSA) made the announcement on October 12. The SSA also posted a fact sheet summarizing the 2024 changes.
The taxable wage cap is subject to an automatic cost-of-living adjustment (COLA) each year based on increases in the national average wage index, calculated annually by the SSA.
401(k) limits for 2024
The IRS has just revealed that the contribution limit for 401(k) plans in 2024 will experience a $500 uptick, rising to $23,000 from the previous year's $22,500.
Loan-Out withholding tax rate updates for 2024
Colorado Loan-Out Withholding Rate
Colorado loan-out rate will be 4.40% in 2024.
Georgia Loan-Out Withholding Rate
Georgia loan-out rate will decrease to 5.49% for 2024.
Kentucky Loan-Out Withholding Rate
Kentucky loan-out rate will decrease to 4.00% in 2024.
Montana Loan-Out Withholding Rate
Montana loan-out rate will decrease to 5.90% in 2024.
Hawaii Loan-Out Withholding Rate
Maui County, HI loan-out rate will increase to 4.50% in 2024.
What's new across Canada
Claims codes
CPP / EI Limits and more
Provincial minimum wages
WCB maximum assessable earnings