Well hey everyone! It’s the end of the year, and it’s important to make sure that your payroll information is up to date. From end-of-year reporting and taxation to preparing for 2017, there are a ton of things to make sure 2016 ends smoothly and 2017 is no sweat. We’ve tossed together a few high level tips to make your life as a business owner, just a little bit easier:
- Be sure that all contact information for employees is up to date, especially mailing addresses. You can sometimes be penalized for incorrect information.
- Determine if and when your employees should have the retirement plan indicator in box 13 on their W-2
- Ensure that you have the most up to date tax documentation for all employees for the previous year.
- Verify you have all the ACA (Affordable Care Act) information required for compliance.
- Have any employees passed in the past year? (2016 was rough!) If so, deceased employees need to be coded correctly in your payroll system.
- Review employee data of those who have left the company and be sure to zero out any vacation time, sick time, and loans in the final payroll of the year.
- Remove any employees who have left the company for next years payroll
- Review tax, wage, and withholding information for items such as bonuses, business expenses, taxable fringe benefits, or other compensation.
- Schedule special payroll needs such as seasonal bonuses or annual bonuses
- Create an end of year list for reporting needs and communicate these with your payroll provider
- Ask current employees who will stick with the company to update any W-4 information
- Balance the books to ensure that any manual or voided checks are properly reflected in accounting
- Check EIC (Earned Income Credit) reporting if needed
- Be sure to check state laws to see if taxation rates have changed for things like Unemployment or disability
- Check to make sure you’re in compliance for contributions such as retirement, health savings plans, childcare plans, etc. Check for excess contributions as well.
- And finally, schedule your payroll processing and reporting dates for the incoming year.
If you get your advanced planning completed, you’re surely have a smooth end of year while preparing taxes and processing payroll. If you need help with any of the items above, and be sure to contact your payroll specialist directly. Execupay is happy to help, and as always, our White Glove Promise ensures you’ll get the best service in the industry.
Happy New Year!