HF 1024 proposes to exclude overtime pay from the individual income tax in Iowa. This bill directly affects individuals who earn compensation at a rate of one and a half times their regular pay by allowing them to subtract this income from their taxable earnings. The bill amends the state's tax code to implement this exclusion. If enacted, these provisions would apply to tax years beginning on or after January 1, 2026.
HF 1030 proposes to exempt certain cash tips from the individual income tax for qualifying Iowans. Individuals whose net income is less than $155,000 could subtract up to $25,000 in "qualified tips" from their taxable income. "Qualified tips" are defined as cash tips received in occupations that traditionally and customarily received cash tips before December 31, 2023. This exemption would apply to tax years beginning on or after January 1, 2026, unless the federal government enacts similar legislation.
SF 472 establishes new procedures for retention and recertification elections for public employee collective bargaining units, affecting public employers and their employees. It requires the employment appeal board to issue a notice before an election and mandates public employers to submit a list of eligible employees within ten days. The bill makes it unlawful for public employers to fail to provide this list and requires the board to publicly identify those who have not complied. Iowa residents are authorized to petition district courts to compel non-compliant public employers to submit the required employee lists. The board must also extend election timelines as needed to resolve any legal challenges related to list submission.
This bill (HF 18) changes Iowa's unemployment benefits system for workers who accept part-time or lower-paying jobs before their benefits run out. If someone takes a job paying less weekly than their unemployment benefit amount, they can receive the difference between their job pay and their benefit amount. Benefits continue until the total earnings from the job plus the received benefits equal the maximum yearly benefit amount. This directly affects unemployed Iowans who accept lower-wage employment during their benefit year.
SF 101 increases Iowa's state minimum hourly wage to $15.00 for most workers starting July 1, 2025, and sets a separate $14.10 minimum for new employees during their first 90 days of employment. The bill automatically raises both wage rates annually on July 1 beginning in 2026, using the same percentage as federal Social Security cost-of-living adjustments. It ensures the minimum wage never decreases and applies to all employers covered by Iowa's wage laws.
SF 157 changes Iowa's unemployment benefit calculation by increasing the maximum benefit amount from 16 to 26 times an individual's weekly benefit amount during a benefit year. This directly affects unemployed Iowans who qualify for benefits, as it allows them to receive more total benefits before reaching the cap. The bill also includes a special provision: workers laid off due to an employer closing their facility get the 26x maximum benefit, even if it exceeds their wage credits. Current law limits benefits to 16x the weekly amount, but this bill expands that limit. The change applies to all eligible individuals, with the exception for business closures triggering the higher cap.
SF 134 requires Iowa employers to provide reasonable accommodations to employees with medical conditions related to pregnancy or childbirth, upon request supported by a healthcare provider's advice. These accommodations include modifications like accessible workspaces, equipment adjustments, job restructuring, or flexible schedules, but cannot impose undue hardship on the employer. Employers violating this requirement face civil penalties of up to $750, with enforcement handled by the Iowa Office of Civil Rights through inspections and interviews. The bill specifies that compliance with these standards cannot be altered through collective bargaining agreements.
SF 155 prohibits Iowa employers and employment agencies from asking about an applicant's criminal record before making a conditional job offer. Exceptions apply for positions requiring specific bonds (e.g., due to state/federal law), home-based care roles, or personal services within a residence. The bill creates a task force to study criminal history employment practices and imposes penalties: a written warning for first violations, followed by fines for repeated breaches. It directly affects businesses hiring in Iowa and aims to reduce barriers for job seekers with criminal records.
SF 147 strengthens wage payment protections for Iowa employees by requiring employers to prove deductions are lawful and obtain written employee authorization for them. It mandates clear written notices about pay schedules, wage calculation methods, and changes affecting pay, plus detailed pay statements showing hours worked, sales, or miles earned. Employers face penalties for non-payment, including liquidated damages and attorney fees, while prohibiting retaliation against employees who file complaints or cooperate in investigations. The bill directly affects all Iowa employers and their workers by clarifying wage transparency and enforcement mechanisms.
This Iowa bill (HSB 114) modifies unemployment insurance tax calculations for employers. It reduces the percentage used to calculate taxable wages from 66.66% to 33.33% of the statewide average weekly wage, simplifies reciprocal wage rules with other states, and adjusts contribution rate tiers based on employer benefit ratios. Employers will pay lower taxes under the revised rate tables, with savings required to be used for employee salaries, benefits, or seasonal unemployment alternatives. The changes directly affect all Iowa employers contributing to the state's unemployment fund.
