Your Rights Under FMLA

Do you need to leave work for a family emergency or sickness? Are you worried you will lose your job because of this absence? The Family and Medical Leave Act, or FMLA, is a federal law that requires employers to provide employees job-protection and unpaid leave for qualified family and medical reasons.

To qualify for FMLA a worker must be;

• Employed at a place of business with more than 50 employees.
• Have worked for the employer for at least 12 months or 1250 hours within the previous 12 months.

If you qualify for FMLA, you’re eligible for unpaid, job-protected leave for up to 12 weeks in 1 year to;

• Care for a new child, including the birth of a child or the adoption or placement of a child in foster care.
•  To care for a seriously ill family member like a spouse, child under the age of 18 or a child over the age of 18 protected by the American Disabilities Act, or parent.
• To recover from serious illness.
• To care for an injured service member in the family.
• To address issues that may arise with a family member’s deployment.

Federal FMLA benefits do not apply to;

• Workers in businesses with fewer than 50 employees, part-time workers who have worked fewer than 1250 hours in the 12 months preceding the leave and a paid vacation.
• Workers who need time off to care for seriously ill elderly relatives (other than parents) or pets.
• Workers who need time off to recover from short-term/common illness such as a cold or to care for family members with similar illness.
• Workers who want time off for routine medical care like check-ups.

To learn more, go to: http://www.dol.gov/whd/fmla/

Managing Your Student Loan Debt

The United States is one of the only countries in the world that has private higher education. To compensate for the fact that college is not free for all to attend, the Government and private lenders offer student loans which many view as a great investment towards the futures. Even then graduates can have difficulty repaying those loans. Lenders offer borrowers many methods to repay their loans but one of the newest and least known about methods is the IBR (Income-Based Repayment Plan).

Available since 2009, this initiative allows borrowers who have federal student loans that have enough debt relative to their adjusted gross income to qualify. An individual would qualify if it would take more than 15% of whatever they earn above 150% of the poverty level to pay off their federal student loans on a standard 10-year payment plan. This is a way for borrowers who make a modest income but have sought for higher degrees to be able to make their monthly obligations without breaking the bank. Sometimes, IBR can seem intimidating to borrowers and the application process can seem complicated, but the complications of applying for the loan are greatly outweighed by the benefits. 

•  You pay $0 of your loans if you earn less than 150% of the U.S. Department of Health and Human Services Poverty Guideline for your family size, all the while remaining in good standing and not defaulting on your loans.Your IBR monthly payment is based on your annual Adjusted Gross Income (AGI) and the size of your family.
• The government will pay your unpaid accrued interest for up to 3 consecutive years from the date you began as a member of the IBR program on subsidized loans. If your monthly IBR payment doesn’t cover the interest that accrues monthly on your loan, the government pays the unpaid accrued interest on Direct Subsidized Loans or Subsidized Federal Stafford Loans.  You are responsible for paying the interest that accrues on unsubsidized loans during this three-year period.
•  Limits the capitalization of interest- While you have the partial financial hardship, interest that accrues but is not covered by loan payments will not be capitalized, even if the interest accrues during a deferment or forbearance.
•  After 25 years your loan is canceled- If an individual repays under the IBR for 25 years and meets certain other requirements, their remaining balance will be canceled.
• 10 year Public Service Loan Forgiveness- If an individual, while being employed full-time for a public service organization, makes 120 on-time full monthly payments under IBR or other qualifying repayment plans, they may be eligible to receive forgiveness for their remaining balance of their loan.

This formula to see if you might qualify for the IBR program is available at a variety of online websites, like www.studentaid.ed.gov and www.ibrinfo.org.  

October is Adopt-A-Shelter-Dog Month!

October is extra special month because it’s Adopt-a-Shelter-Dog Month. This is a time to pay tribute to all things canine and give some thought to helping homeless pups find homes. The ASPCA sponsors this month by hosting adoption events and has set up a special portion of their website, ASPCA.org, which is entirely devoted to shelter dogs. Whether you’re an experienced shelter dog parent or considering becoming one, this section of their site will have all the information you need to be completely informed on Shelter Dogs. You can learn how to find the right dog for you, use their nationwide search tools to find your new companion, and read about how to keep them happy and healthy. In honor of this month, the Employees of Merritt Webb have sent in pictures of their own furry, four-legged friends. Head over to http://tinyurl.com/ctr6lsa to take a look!

Remember, there are millions of wonderful, adorable shelter dogs in our country who need homes, so please consider adopting today!

Merritt Webb is Hosting a Flu Shot Clinic

Flu season is nearly upon us! Merritt Webb’s Durham office is hosting a Flu Shot Clinic on Tuesday, October 2, 2012 from 1:00 PM to 4:00 PM for all of our clients in the Raleigh-Durham area.

The Center for Disease Control and Prevention recommends that everyone who is at least 6 months of age or older should get a flu vaccine this season. This is especially important for people who have certain medical conditions including asthma, diabetes, chronic lung disease, pregnancy, or people 65 years or older. These individuals are considered high risk and should get a flu shot.

The vaccine takes up to 2 weeks to take effect so the CDC also recommends that you get vaccinated as soon as the flu vaccine becomes available in your community. 

Come out on to our Durham office on Tuesday and get yours!

Some Dogs Need Space

A new Facebook campaign may make taking your dog for a walk that much safer. The Yellow Ribbon campaign has been launched as an initiative to prevent unwanted conflicts while taking your pet out in public. 

The new campaign, which promotes attaching a yellow ribbon to the leash of a dog that needs “space” from other dogs, hopes to promote fewer public canine conflicts by warning other dogs owners, people, and small children to proceed with caution and give the dog some space.

The initiative is aimed to protect not only the dog but the people as well and is meant to focus on dogs who might be members of an “aggressive” breed. The campaign is intended for all dogs that might require space for a variety of reasons, including health, training, or even for owners who would like people (and children) to think twice before rushing up to pet their dog.

Merritt Webb Welcomes New Attorney Andrew G. Foster

Merritt Webb would like to welcome a new attorney to our Durham office.  Attorney Andrew G. Foster has joined the Merritt Webb team as our in-house tax attorney.

Andrew is from Fayetteville, North Carolina and attended the University of North Carolina at Chapel Hill, majoring in Business Administration. After taking a few years after college to work, Andrew attended N.C. Central University School of Law where he graduated first in his class. In 2011, he graduated from the University of Florida’s LLM program in Tax. 

Andrew has been working in the tax field for 2 years and when he’s not being a tax attorney he likes to play golf, play with his 15 month old white Lab, and go to the lake with his wife, whom he met in college. The last book he read was A Game of Thrones by George R.R. Martin.

Welcome to Merritt Webb, Andrew!

How to Conduct Yourself During a Traffic Stop

Traffic stops commonly occur for many reasons, like speeding, swerving, or a busted tail light. Police officers can be confronted at these stops with anything from a smile to a display of physical agitation. Because of this, officers undertake extensive training on traffic stops on a variety of topics like safe places to conduct a stop to interpreting basic human behavior. This is done because traffic stops aren’t just the bread and butter of police work; it’s also the most dangerous police work an officer can undertake. For example, in California a two-man unit activated their lights for a traffic stop of an SUV. The driver then slammed on their brakes and jumped out of the vehicle, firing through the patrol car's windshield with a laser-sighted gun, seriously wounding both officers.

• Act calm and don’t do or say anything that can be interpreted as threatening, even as a joke.
• Do not get out of the car unless the officer tells you to do so.
• Keep your hands in plain sight, like on the steering wheel.
• Do not reach for anything without letting the officer know you’re reaching for it and what it is.
• Do not argue with the officer. Although you may feel you’re right and the officer is in the wrong, it will make no difference; you’ll have your chance to argue in court. 

Officers are trained to observe and interpret motions and movements that you and I would consider innocent during a traffic stop. Sometimes these motions are seen as potentially threatening, which has the potential of escalating an innocent traffic stop into something much more dangerous. Here are some tips on how to behave during a traffic stop; it’ll make you and the officer more comfortable:

Remember to stay safe out there!

Thanks to Police Magazine.

The Cost of Winning

It’s been said death and taxes are the only things to be sure about in life. It’s easy to reason that Gabrielle Douglas wasn’t thinking of either of those things on the Olympic podium earlier this month, especially at the age of 16. But like any other American teen with a part time job (well, career) she has to pay taxes on her earnings. And how! According to yahoo.finance.com, a gold medal with a cash prize of $25,000 is taxed at 35%. This means the taxes on each gold medal is $9,000. According to Yahoo, Gabby, with her 2 gold medals, owes Uncle Sam around $18,000, while Michael Phelps, who over the course of his career has won 18 gold medals, has paid $162,000 to Uncle Sam in the past 8 years. Yahoo’s report on this matter has created uproar against taxation across the nation, with Florida Senator Marco Rubio proposing an amendment to the tax code to make Olympians, and their winnings, tax exempt.

The issue with Yahoo’s reporting is that they report the tax rate for a gold medal at 35%, which would mean that the individual being taxed would have to earn over $388,500 a year. Certainly, with the endorsement deals that follow an Olympic victory, Gabby and Michael will likely qualify for that tax bracket. But what about the winners who won’t cash in on that kind of fame?

Prize winnings, Olympics or otherwise, have to be reported on tax returns and sometimes the taxes end up costing you more than the winnings. But it’s not just cash prizes that qualify either; you’ve got to pay the taxes on the fair market value of any property you win.

Ever hear of the HGTV Dream Home giveaway? Every year, Home and Garden Television networks has a drawing where one lucky winner wins a mansion, a cash prize of over $100,000, and a new hybrid car. The sweepstakes is entered by thousands every year and can be a life changer for the winner.

What many don’t realize is that a lot of winners can’t afford to pay the taxes on their prize. Take, for example, Don and Shelley Cruz who won the 2005 HGTV Dream Home giveaway. The home they won was located in Tyler, Texas and came with 6,000 square foot lake front mansion, a guest house located on the lake, a brand new hybrid SUV, and a cash prize of $250,000. The cash value of the prize was nearly $2 million dollars. Mr. Cruz was a stay at home dad while his wife, Shelly, was an administrative assistant who had gone back to school to become an accountant. Within 2 years, the home they won and the prizes had to be sold at auction, by that time the Cruz’ were reportedly nearly bankrupt.

In an interview given with about.com columnist, Sandra Grauschopf, Don Cruz admits that, even though he and his family auctioned off the million dollar dream home, he still enters the sweepstakes every year hoping to win again. He called the experience life changing, and for many winners, Olympians included, winning a prize of such caliber can be life changing indeed.

Highway Use Tax Due

For those of you who thought taxes were done and over with April 17, think again. On August 31, the Highway Use Tax is due for truckers and owners of heavy vehicles that frequent Americas’ highways. The deadline applies to motor vehicles that weigh 55,000 pounds or more. This includes trucks, tractor trailers, buses, and other large vehicles. The required form, Form 2290, is available to be filed on paper but the IRS encourages electronically filing. Taxpayers who report 25 vehicles or more must e-file.  

This year due to facility maintenance taking place over the Labor Day weekend, the IRS asks that the electronic forms be filed before 1p.m Eastern Time on Friday, August 31. For those who miss the 1p.m. deadline, guidelines on how to e-file for an extension will be announced soon.  The August 31 deadline for paper filers remains unchanged.

Don't Be Rocked By a Hurricane

With Isaac hitting the Gulf Coast, it’s an important reminder to Carolinian that hurricane season is in full swing.  September is National Preparedness Month and in honor of that, here are some tips from FEMA on preparation for a hurricane or tropical storm;

• Stock up on plywood so you can board up windows and doors at a moments notice. The American Red Cross recommends that the plywood be 5/8 inches thick. In a pinch, duct tape or packing tape can also minimize shattering glass in the event of a strong wind.
• Make sure to bring in outside items that can be picked up and thrown around in the wind. This list includes garden decorations, tables and chairs, and other items.
• As the storm approaches, turn your refrigerator to its coldest setting in case the power goes off. Store accessible items, like sandwiches items, snacks for kids, medications or baby formula, in a cooler to reduce the necessity to open the refrigerator door.
• Fill your bathtub up with water before the storm hits. You’ll be able to use this water to cook, flush toilets, or even to drink if the power goes out.
•  Fill up your car with gas. If you or your family is forced to evacuate at the last minute, there may not be any gas stations available if the power is out.
•  Review your evacuation plan and learn alternate routes, just in case.
•  Identify the nearest shelter to evacuate to if the weather takes a turn for the worst. Most communities also offer pet-friendly shelters so the whole family can be safe.
• Make sure you have a three day supply of water (a gallon for each person in your household), dry goods and canned food. If you have a pet, make sure they have enough water for three days as well.
• Make sure that your flashlight, battery powered radio, and cell phone batteries are fully charged.  Be sure to keep extra batteries nearby as well as a first aid kit. If you opt to light your home with candles, make sure you have a fire extinguisher handy.

     With the advances in technology, there are several android and iPhone apps that allow you to stay updated on the weather conditions during a storm. Hurricane – American Red Cross is a free app available for both Android and iOS devices which allows you to not only track the hurricane but  also check on weather conditions in your area  and locate help if needed. This app also lets you notify friends and family that you are safe. This app is available on the App Store and the Google Play Android Market and is completely free.

Should I Hire a Traffic Attorney or Just pay the Fine?

 Exceeding the speed limit is a commonly shared experience by drivers, whether done on purpose or accidentally. The National Motorists Association ranks North Carolina in the top 10 for states most likely to hand out a traffic ticket.  If you have ever been issued a speeding ticket, then you might have wondered what to do next.

95% of people who receive speeding tickets just pay the fine and don’t contest the ticket in court. Although this is the easiest and most convenient method, it’s not always the best method. By paying the fine, you automatically admit guilt in the matter. The courts don’t just punish the guilty by levying fines.  You may also receive points on your driver’s license depending on the state that issued the citation, which will cause your insurance rates to rise. In some states, if you exceed 15 miles per hour over the speed limit, your license can sometimes be suspended. Despite this, many people do not hire a traffic attorney to handle speeding tickets. Often, the cost of hiring an attorney to contest your tickets can outweigh the long term costs of just paying the penalty. For example:

•    An attorney may successfully defend you from a speeding ticket and prevent points from being added to your license.  This can protect you from a sharp increase in insurance premiums that may incur if you just paid the ticket outright.
•          Most contested tickets in court are won on technical defenses, not the facts, and these technical defenses are better identified by an experienced traffic attorney. 
•          If you contest your ticket on your own and fail, you will be responsible for the court costs as well as the original fine.
•          You should be aware that different states have different ways of penalizing speeding tickets.  So, a ticket that you receive in a different state might translate differently to your state’s DMV.
•          Each county in each state has different traffic court procedures. An experienced traffic attorney that practices in that county will know the specific court procedures and use this to their advantage. 
•          Traffic laws are ever-changing and an experienced traffic attorney will know the current laws and how to obtain the best outcome for your case. 

So, if you find yourself being issued a traffic violation, you should be aware of the advantages that an experienced traffic attorney can provide you.  You don’t have to feel that the only option is to just pay the ticket. Next time you see those blue lights in your rearview mirror, prepare a strong defense by letting an experienced attorney at Merritt Webb be at your side.

Survival Tips after a Home Invasion

With break-ins and home invasions in the Brentwood, TN, area on the rise, it’s important to remember that, although you may live in a safe neighborhood, you may still be at risk for a burglary or home invasion.

Most burglaries occur during the day when residents are more likely to be at work  Protecting your home and the valuables within is a common concern for all residents and precautionary measures like installing an alarm or keeping your door locked can be effective. But what do you do if you come home and find that your home has been burglarized? Here are some steps to take if you come home to a break in:

1.      Dial 911 and exit the premises immediately. If your pets are within arms reach, grab them. Wait outside the home until the police arrive; either in a locked car or a neighbors’ house.

2.      Do not enter or search the premises. Let the police search your home before you enter. The burglar may still be in the home.

3.      Don’t touch anything inside until police have completed their investigation. Forensic evidence is almost always left behind and can be easily contaminated.

4.      Do a walk through and create a detailed list of damaged or stolen property and their value. Make sure this list is included in the police report so you have documented proof to give to your insurance company.

After the initial investigation is over, you may want to consider browsing your local pawn shops for your property every week or so. The police will check pawn shops for your property immediately following the break in but stop after a few weeks. You may also want to consider changing your locks or revaluating your current security system, even if you’ve already had one put in place. Once you’ve experienced a break in, you become six times more likely to be targeted again.

Experiencing a home invasion can leave you feeling victimized, shocked, and violated. This is a common after affect of a home invasion. The healing process can be long and not always smooth. If you’re having trouble settling with your insurance company, let our team at Merritt Webb help you.