It's year end - time for your business review and payroll check up!
Year End Business Review
Don't Avoid your Payroll Check Up
NOV 18, 2019 by TRICIA PETTEYS
As a business owner, the end of the year is an ideal time to look at your payroll activity for the year to make sure you are set for the creation of your employees' W2 forms.
The following list is not exhaustive, but these are most of the common items that our clients communicate to us in order to make sure the year-end process is as smooth and accurate as it can be.
It's a good idea to double check if:
- you have the correct business mailing address on file with your payroll company (this will be where your W2 forms are sent - did your office move this year?)
- all employee names are spelled correctly.
- employee social security numbers and addresses are accurate.
- all employees who have worked this year are showing on your year-to-date employee list report.
- you did, or did not, receive a new state unemployment rate for 2020.
- all your retirement account deduction amount totals are accurate for the year (business owners often are left off of this list, so it's a good idea to have a second look to be sure).
- you will, or will not, be running any additional bonus, commission, reimbursement, fringe, or owner medical payrolls.
- you have issued any manual checks over the course of the year outside of payroll.
- you need to pay out any unused PTO/vacation/sick time.
- there are any 3rd Party Sick Pay or Group Term Life Insurances over $50,000 that needs to go through payroll.
- you have personal use of auto or other fringe pay items that need to be reported.
- you have independent contractors who will need a 1099 instead of a W2.
- you scheduled your payroll reporting dates to allow for the holiday banking schedule.
- you will have new deduction items after open enrollment for benefits for next year.
- you need 1095 forms for your employees to comply with the Affordable Care Act.
Considering the items that are applicable to you will help you prepare for a successful year end. Payroll Vault wishes you a safe and happy holiday season.
COO/Co-founder, Payroll Vault