5 ways to ease payroll complexities from the NRA's Manage My Restaurant

The National Restaurant Association Manage My Restaurant online resource center, provides a variety of informational articles containing the industry's best practices. From topics about operational efficiencies to creating customer loyalty, Manage My Restaurant is a great resource for restaurant owners, managers and even those aspiring to move up the career ladder in hospitality. 

Recent legislation and regulatory changes make it more important than ever to keep payroll top of mind. Although payroll is complex, it doesn’t have to be a source of constant stress. Take these steps to stay on top of your payroll program and keep payroll headaches at bay.

1.     Note important payroll deadlines. Timeliness is vital for employee relations, as well as deadlines for depositing payroll taxes to federal, state and local agencies. Late tax deposits can result in penalties and interest charges.

2.     Classify employees appropriately. Classify your employees into categories such as temporary employees, consultants and independent contractors to ensure your payroll reporting is accurate for tax purposes. That will help you avoid common pitfalls if your business undergoes a payroll audit.

3.     Report and calculate overtime pay. An incorrect classification could be costly if your restaurant be audited. According to the Department of Labor, litigation is increasing over “non-exempt” employees treated as “exempt” who didn’t receive overtime pay. Take time to review employees exempt and non-exempt status to save money in the long run.

4.     Double check data entries. An incorrectly entered hourly wage and the wrong number of employee hours per pay period can cost operators millions of dollars annually. To avoid these mistakes, ask your processor if a “double check” is part of its process for payroll completion. If it’s not, ask to add it.

5.     Save payroll records. Your business must maintain a comprehensive record for each employee, including time sheets, cancelled checks and W-4 forms. Keep them in a safe and accessible location for four to six years. Failure to do so could lead to criminal penalties and/or civil actions. Remember, the Wage and Hour Division of the Department of Labor must be able to inspect your records within 72 hours of notifying you.

If you ensure your in-house or outsourced payroll processor follows efficient, accurate processing procedures, you can improve government compliance and employee relations.

Get more payroll best practices here.

This content was provided by Heartland Payment Systems, the National Restaurant Association and Louisiana Restaurant Association's endorsed provider of secure payment processing, payroll solutions and marketing solutions. It is the developer of Freshtxt, a front-of-the house management system for restaurants.

Restaurant Neighbor and Faces of Diversity Awards call for nominations

The National Restaurant Association Educational Foundation (NRAEF) is now accepting nominations for the two awards and will name Restaurant Neighbor and Faces of Diversity winners at a gala during the NRA’s Public Affairs Conference next April. Applications and nomination forms will be accepted online until November 18.

Restaurant Neighbor award, co-founded and sponsored by American Express, honors winners in four categories: small business, mid-size business, large business/national chain and Cornerstone Humanitarian. The award recognizes the outstanding charitable service performed by restaurant members. Each winner receives $5,000 to support their charitable giving efforts. Participating state restaurant associations select winners in their respective states who then go on to compete for the national award.
Louisiana has had two winners in recent years of the Restaurant Neighbor award--Tommy Cvitanovich of Drago's Seafood Restaurant in 2006 and Greg Reggio of Taste Buds in 2012. Cvitanovich was recognized for his efforts following Hurricane Katrina to feed relief workers in the New Orleans area. Reggio was recognized for his relief work following the tornados in Tuscaloosa and Joplin.

The Faces of Diversity award, co-founded and sponsored by PepsiCo Foodservice, recognizes three individuals as national winners. The award celebrates members of the restaurant industry who, through hard work and perseverance, have achieved the American Dream. Each winner will have a $2,500 NRAEF student scholarship presented in his or her name. Read more.

New Orleans Queen of Creole Cuisine Leah Chase was honored with the Faces of Diversity award in 2012. Her famed restaurant Dooky Chase is known the world over and was considered "neutral ground" during the Civil Rights Movement.

The Louisiana Restaurant Association encourages members to apply.

Restaurant Performance Index edged down in August amid fading operator expectations

Same-store sales and customer traffic levels rose: Operator outlook for sales growth and the economy softened

Due to a softer outlook among restaurant operators for sales growth and the economy, the National Restaurant Association’s Restaurant Performance Index (RPI) declined for the third consecutive month.  The RPI – a monthly composite index that tracks the health of and outlook for the U.S. restaurant industry – stood at 100.5 in August, down 0.2 percent from July’s level of 100.7.  Despite the recent declines, the RPI remained above 100 for the sixth consecutive month, which signifies expansion in the index of key industry indicators.

NRA Restaurant Performance Index
Values Greater than 100=Expansion
Values Less than 100=Contraction

“The August decline in the RPI was due almost entirely to a dip in the expectations indicators, with restaurant operators becoming less bullish about sales growth and the economy in the months ahead,” said Hudson Riehle, senior vice president of the Research and Knowledge Group for the Association. 

“In contrast, operators reported positive same-store sales and customer traffic levels in August, and a majority of operators reported capital expenditures for the fourth consecutive month,” Riehle added.

The RPI is constructed so that the health of the restaurant industry is measured in relation to a steady-state level of 100. Index values above 100 indicate that key industry indicators are in a period of expansion, while index values below 100 represent a period of contraction for key industry indicators. The Index consists of two components – the Current Situation Index and the Expectations Index.

The Current Situation Index, which measures current trends in four industry indicators (same-store sales, traffic, labor and capital expenditures), stood at 100.7 in August – up 0.6 percent from July and the first increase in three months.  In addition, the Current Situation Index stood above 100 for the fifth consecutive month, which signifies expansion in the current situation indicators. 

Final lesson of National Food Safety Month

Each week during the month of September, the Louisiana Restaurant Association has brought you different aspects of serving guests safely with food allergens. Based on the newly-released National Restaurant Association online training course—ServSafe Allergens—we’ve learned about the Big 8 and cross-contact, reading labels, preventing cross-contact in the front of the house, purchasing and transportation and finally, separation in equipment and storage.

One of the main ways to prevent cross-contact is to keep food and equipment separate. Use separate equipment and utensils when preparing food for people with food allergies, and store food containing food allergens separately from other food.

Equipment and utensils that have touched a food allergen can spread that allergen to other food. So it’s important to always wash, rinse and sanitize all equipment and utensils correctly. One extra step that can be taken is having designated equipment for food that contains allergens. This equipment should be stored separately and it should be labeled in some way to signify that it is only to be used on food allergens.

One common designation is to use purple-colored equipment and utensils for food containing allergens.

When storing food that contains food allergens, keep it separate from other food. A good way to do this is to store the allergen-containing food in separate, sealed containers. It should then be kept in a completely separate area from other food that does not contain allergens.

Visit www.foodsafetymonth.com for downloadable activities to help you and your staff understand the tenants of serving guests with food allergies safely.

SCAM ALERT! Entergy disconnection threats

A scam originally targeting residents earlier this spring was making the rounds through the New Orleans area restaurant industry Friday. The Louisiana Restaurant Association received a phone call this afternoon from a member who unfortunately fell victim to the Entergy disconnection scam.

As they have since late spring, con arts give you a call and say that your electric bill payment is past due and that your service will be disconnected within the hour if you don’t pay up. Then you are directed to transfer funds electronically, sometimes through the system known as “MoneyPack.”

LRA member Keith Dusko, owner of Chiba restaurant in the Riverbend neighborhood, was immediately suspicious and avoided getting duped by scammers. He shares his encounter will Nola.com readers here.

Entergy doesn't want you to fall victim to this scam and reminds you:

• While the company does place courtesy calls if you are at risk for disconnection, these are recorded calls, and are not calls from live customer service representatives. Entergy NEVER demands immediate payment.
• While you may pay your Entergy bill by phone or credit card, it is ONLY through BillMatrix, a third-party vendor we use for this purpose.
• You shouldn't give your personal information to strangers. If a call sounds suspicious, call 1-800-ENTERGY (1-800-368-3749) to speak with an Entergy customer service representative.

You should only use authorized methods and legitimate banking information to pay your Entergy bill. 

If you believe you're a victim of this scam, you should notify the proper authorities, such as the local police or the state attorney general's office. If you believe your Entergy account has been affected, call 1-800-ENTERGY (1-800-368-3749) to speak with an Entergy customer service representative.

Gulf Coast Seafood Finder, a new mobile app

The Gulf & South Atlantic Fisheries Foundation recently launched the Gulf Coast Seafood Finder, a mobile app for Apple and Android, to give restaurant owners a competitive advantage with today’s savvy customers. Make it easy for them to find locate your restaurant by signing up for your free listing as a dealer of premium Gulf Coast Seafood today. Along with easy to use search options, the app also serves up great tips and original recipes.

Let more about the customer retail and restaurant promotions at www.eatgulfseafood.com/buyers

More than 1,000 restaurateurs take advantage of NRA notification tool ahead of Oct. 1 deadline

More than 1,000 restaurateurs have taken advantage of the National Restaurant Association’s Notification Tool, an online resource designed to help employers meet the Oct. 1 deadline to notify employees about government-run health insurance exchanges.

“The National Restaurant Association’s Notification Tool guides an employer through the law’s required information process and creates a company-specific landing page that can be used to properly notify employees,” said Phil Kafarakis, Chief Innovation and Member Advancement Officer, National Restaurant Association. “This is new ground for a trade association and the response from our members tells us we are providing a valuable resource.”

Among other provisions, the health care law creates a new section of the Fair Labor Standards Act that requires employers to provide existing employees with basic information about exchanges by Oct. 1, including letting employees know they may be eligible for federal tax subsidies to buy health plans through exchanges. The mandate applies to all employers covered by the FLSA. Starting in 2014, employers will be required to provide employees with the FLSA notice within 14 days of hiring.

The NRA Notification Tool, which is an exclusive member benefit, helps employers inform employees of new requirements around health care coverage; track and report which employees received the notice; and create records to verify compliance.

“Turnkey solutions like the Notification Tool are typical of the ways the NRA supports our members,” Kafarakis added. 

The Notification Tool, available at Restaurant.org/Notify, is part of the National Restaurant Association’s Health Care Reform Headquarters. The one-stop shop offers NRA members information about how the law affects restaurant businesses, including a Health Care Law Primer that covers key aspects of the law for restaurant employers. The Health Care Reform Headquarters will later offer a marketplace to help restaurant employers and employees shop for Affordable Care Act-compliant health plans.