Wages and pay

These workers, if covered by election or statute, must be reported. Use the assumed minimum wage established by National Council on Compensation Insurance (NCCI) or their actual wage, whichever is larger. SAIF will notify you of the applicable assumed wage.  



Note: You are not required to pay these workers the assumed minimum wage. It is only for payroll reporting purposes:

• Volunteers
• Municipal volunteers (not including volunteers in class code 8411)
• Work experience trainees
• School-directed vocational education project trainees
• Apprentice trainees
• Inmates (both incarcerated and community service)
• Sheltered workshop trainees/clients

Salary, hourly, daily payroll, and so on

This is leave pay paid when a worker misses work due to a family member's death. It is not excludable as vacation pay.

Anticipated pay - Include: Anticipated pay means bonus payments are made:

• To offset a pay cut or reduction in wages
• Instead of a raise in wages
• As rewards for meeting or exceeding production goals
• For absenteeism or attendance
• Annually, and substantial to the extent that it is reasonable for a worker to rely on the bonus in the same way as regular wages or salary
• Made to covered corporate officers who are directors and have substantial ownership interest. These are considered subject payroll

Unanticipated pay - Exclude: Unanticipated bonus pay is excluded if it is:

• An arbitrary and gratuitous (unwarranted) disbursement made to any one worker no more than twice in a policy period
• Not part of an oral or written employment agreement  

Note: Unanticipated bonuses paid more than twice in a policy year become anticipated due to their frequency and must be included. Anticipated bonuses should be reported even though the amount may not be known in advance of payment.

Salary, hourly, daily payroll, and so on

Salary, hourly, daily payroll, and so on

Some company owners are automatically covered by a policy. Others are only covered when the insurer (such as SAIF) endorses the policy to include the coverage. See "owners and elected coverage."

If coverage is endorsed on the policy, or if paid by an entity that is not a sole proprietorship or a partnership.

Include the value of the labor being exchanged.

Verified expenses: Exclude from payroll expense reimbursements and flat expense allowances paid to employees only when all of the following conditions are met:  

• The employer's verifiable records confirm that the expenses or allowances are incurred as a valid business expense;
• The amount of each employee's expense or allowance is shown separately in the employer records;
• The amount of the expense or allowance approximates the actual expense incurred by the employee in the conduct of their work;
• The expense reimbursements and/or flat expense allowances paid to the employee must be in addition to, not in lieu of, the wages earned by the employee.

Nonverified expenses: Exclude from payroll a maximum expense allowance of up to $75 per day when: 

• it can be verified that the employee was away from home overnight on business for the employer;
• the employer did not maintain verifiable records for the employee’s daily incurred business expenses;

and  

• the daily expense allowance paid to the employee is in addition to, not in lieu of, the wages earned by the employee. 

Include the remaining nonverified daily business expenses in excess of $75 per day in payroll. 

Exclude if they are payments by the employer directly into these plans and not made through employee-authorized salary reduction from the worker's gross pay.

Includes any personal holidays, birthdays, and anniversaries.

Fair market value including housing allowance/payments.

Also when it's called a bonus.

Include payments by the employer to a worker's IRA.

Include if paid by the employer.

Include unless it meets the exclusions in subcontractor information.

Include if they are listed as covered in the "Who to report" section

Include if they are listed as covered in the "Who to report" section

Provided to the extent shown in your records. This does not include houses or apartments.

Straight time - Include: The straight-time portion is always included. For example:

• If straight time is $6 per hour - and overtime is $9 per hour for each hour worked over 8 hours in a day or 40 hours in a week - use the $6 straight-time portion for each hour of overtime paid. Include both the straight-time and overtime portions for payroll assigned to a stevedoring, freight handling, or tallier classification followed by the letter "F."

Excess time - Exclude: Exclude the portion of the traditional overtime rate which is in excess of the straight-time rate. For example:

• If straight-time rate is $6 per hour, and overtime rate is $9 for each hour worked over eight hours in a day or 40 hours in a week, exclude the extra $3 per hour paid for overtime.

PTO plans replace traditional vacation and sick pay plans. 



Be aware that by replacing a traditional vacation plan with a PTO plan, most employers will give up the workers' comp vacation pay exclusion. However, some PTO wages may be excludable if the employer develops a tracking system to record prearranged time off for purposes of vacation. This would not include prearranged medical exams or procedures.

Include if they are listed as covered in the "Who to report" section.

Made by the employer to raise workers' wages to federal, state, or local minimum wage, whichever is higher.

Exclude if provided by the employer and may be taxable to the worker

Examples:

• Personal use of a company-provided automobile
• Airplane flights
• Incentive vacations (for example, contest winners)
• Discounts on goods or services
• Club memberships
• Life insurance
• Owner's medical insurance
• Educational assistance
• Relocation and moving expenses

Excluded for those employed under the Preferred Worker Program.

Employee pretax contributions to group benefit plans or cafeteria plans. Also called "salary reduction plans" where pretax dollars are deducted from workers' gross payroll for payment towards these benefits:

• Retirement savings
• Health insurance
• Life insurance
• FSAs
• HSAs

(Davis-Bacon Act or similar state statute)

Except for fringe benefit amounts paid directly into a third-party pension plan qualified under IRC Sections 401(a) and 501(a) or into a group insurance plan.

Exclusion applies to payments that are anticipated by the worker as outlined in a written plan and that create a legal obligation to make payments distributed from net realized profits.

Exclude the value of special rewards for individual invention or discovery.

Include if paid to offset pay cuts or a reduction of wages.  

Also reported if the requirement that bonuses be distributed in accordance with a written plan tied strictly to safe working practices is not met.  

For details, see the SAIF guide on safety bonuses and safety bonus plans.

Exclude only for falling, bucking, or lumbering work done under class code 2702 when workers furnish their own power equipment, such as chain saws. If there is an agreement that the rental value of the equipment is included in the amount paid to the worker, you may exclude the rental value not to exceed 20% of the total amount paid.

Include service charges and automatic gratuities received by employees in payroll. Only the amount of the service charge or automatic gratuity received by employees is included in payroll.

Exclude unless it's for time worked.

Includes maternity leave.

Include if they are listed as covered in the "Who to report" section.

Stock bonus plans - Include: Include if employees get company stock as part of their pay.

Stock options - Exclude: Exclude the difference between the employee purchase price and sale price

Exclude if paid by a third party or insurance company.

Exclude from payroll tips or other gratuities received by employees in a manner consistent with Oregon Law.

Travel pay - Include: Include wages paid to cover travel time to or from the worksite.

Travel expenses - Exclude: Permitted by federal, state, or local government contract, in lieu of verifiable receipts for incurred expenses.

Exclude uniforms required for the job.

Exclude when paid. Does not include holiday pay or sick leave. 

By replacing a traditional vacation plan with a paid time off (PTO) plan, most employers will forgo the workers' comp vacation pay exclusion. However, some PTO wages may be excludable if the employer develops a tracking system to record prearranged time off for purposes of vacation. This would not include prearranged medical exams or procedures.