emailPLease help me to answer this.

You are a staff accountant with many clients who have a variety of questions and issues. One of your clients, Sam McFarley, has emailed you the following series of questions related to his employees and some changes he is considering making. Address these questions in an email back to Sam. Include references used to research his questions. Sam's email is below:

To: @clientele.com

From: Sam McFarley

Date: Today

Subject: Employee Changes and Questions

Hello,

I have a few questions about some changes I'm considering making in my employee payroll processes, and I want to run them by you first to see if there are any consequences or issues I haven't considered.

1. I have a number of employees requesting to work 4-10 hour workdays instead of 5-8 hour workdays. Essentially, they will work the same number of hours each week, but will have a day off. Are there any overtime consequences of this decision? What about the Affordable Care Act? Are there any changes or consequences of this change to how I go about offering health insurance?
2. I have been considering the idea of a merit-based raise system rather than the standard cost of living raises I've been giving. This means that low-performers will earn 0% raise, and high-performers may earn up to an 8% increase. Are there any legal considerations I need to make before I implement this? Is there any notice requirement I need to give my employees?
3. I want to ensure I have my payroll system set correctly--can you remind me what the FICA tax rates and limits are so I can verify my system is accurate?