Break from the Grind November 14, 2017

When the Boss Is Younger

Employees cited some challenges to working for a younger boss or managing an employee who is older.
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Employees polled by OfficeTeam cited some challenges to working for a younger boss or managing an employee who is older.

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Respondents identified dissimilar work ethics or values (26%) and leadership or learning styles (22%) as the biggest challenges with having a younger boss. Using technology in different ways (25%) was cited as the top struggle when managing someone who’s older.

Yet, the research found more than eight in 10 professionals (82%) polled said they would be comfortable reporting to a manager who’s younger than they are; 91% wouldn’t mind supervising employees older than themselves.

Workers ages 55 and older are the most comfortable having a younger boss (93%) and managing someone older (95%). They were also most likely to state there are no challenges in reporting to a younger supervisor (28%) and managing someone older (37%).

Nearly nine in 10 professionals ages 18 to 34 (89%) don’t have an issue with overseeing individuals older than they are. Those ages 18 to 34 (26%) and 35 to 54 (27%) were more likely to cite technology as a concern in overseeing an older employee. 

Data tables with breakdowns of the results by age can be found here.
Compliance November 14, 2017

IRS Releases Covered Compensation Tables

The tables are to be used for determining contributions to DB plans and permitted disparity in DC plan contributions.

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The Internal Revenue Service has issued Revenue Ruling 2017-22 with the table of covered compensation for the 2018 plan year.

The revenue ruling provides tables of covered compensation under Section 401(l)(5)(E) of the Internal Revenue Code to be used for determining contributions to defined benefit (DB) plans and permitted disparity in defined contribution (DC) plan contributions.

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To determine 2018 plan year covered compensation, the taxable wage base is $128,700. Permitted disparity allows for larger contributions or benefits with respect to compensation in excess of the Social Security wage base.

In determining an employee’s covered compensation for a plan year, the taxable wage base for the plan year is the taxable wage base in effect as of the beginning of the period.

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