I own a small car wash, less then 20 employees, and I'd like to go ahead and give all my employees that were scheduled to work this week, yet missed work because of the storm, the full pay check they were expecting before missing all those hours ...
My question is: is this tax deductible for me? Is this considered a gift? What is the best way to do this so I am able to help them, while minimizing my out of pocket costs?
Should I just print their checks as usual for an 80 hour, 2 week period, with all the deductions?
Or should I give them this money in a separate check with no deductions?
Please excuse me for my ignorance, I really have no idea how this works. I do have payroll software, but nothing like this is mentioned in the FAQ's. I'd normally give my tax guy a buzz and ask him, however his office took a pretty serious hit so I figured I'd see if someone here could give me a quick answer.
Thanks!