Getting your year-end payroll information in order can be a daunting task, but it’s essential that you do! Here’s a handy checklist on the basics you need to know to file your annual taxes properly.
1. Review each employee’s personal information: Make sure all employee information is up-to-date, re-verify social security numbers names and addresses.
2. Ensure all employee paychecks are correctly recorded. This includes any bonuses, commissions, handwritten checks, and voided checks–anything outside normal payroll.
3. Double-check employee wages, benefits, and deductions: Be certain you have the right pay rate, benefits information, and deductions recorded for each employee.
4. Have all PTO, such as vacation and sick days, in order: Determine how much PTO each employee has left, noting any remaining days left to roll-over into the new year.
5. Health Insurance for S-Corp owners of 2% and above: If you have any company-paid health insurance for any S-Corp shareholders that own 2% or more of the company, it needs to be accurately taxed.
6. Order forms W-2 and W-3 from the IRS or other authorized provider: At the start of the year, you will send W-2s to your employees and the federal/state governments, along with W-3s to federal and state.
7. Check federal, state, and local taxes: These are typically updated annually so be sure to check them for any changes.
And there you have it! Basic but essential details you need to review for the New Year.
NEED A NEW YEARS’ RESOLUTION? Use Fingercheck’s all-in-one HR platform and never worry about any of these payroll or tax filing issues again – because we do it all for you!