Payroll Glossary

Medical Savings Account

An MSA is an arrangement through which an employer or an employee (but not both) can put tax-deferred contributions into an account for the payment of health care deductibles under a high deductible health insurance plan.

Medicare

Medicare is a federal health insurance program for people aged 65 or older and certain disabled people, and is financed by the Hospital Insurance portion of FICA.

Megnetic Media Reporting

This is an alternative method to filing paper returns and forms for employers with computerized payroll systems. The information is filed on magnetic tape or diskette.

Minimum Wage

This is the lowest amount that an employer can pay its employees per hour under federal or state law.

Miscellaneous Income

Form 1099-MISC states how much a contractor was paid for services rendered during the previous calendar year.

Multiple Worksite Reporting

All states are required to collect employment and wage data from certain multiple worksite companies on a Bureau of Labor Statistics standardized form called the Multiple Worksite Report.