Year-end payroll isn’t only about generating a paycheck – it’s an important time to verify forms, employee information, tax changes, your accounting, and all payments, including anything your employees earned that wasn’t part of your regular pay schedule.
For a company with one or two salaried employees, it can be a pretty straight forward process. The more complex your compensation, the more complex your year-end tasks may be. For example, bonus pay, handwritten checks, and paid time off can complicate your accounting. Especially if you haven’t processed payroll regularly, because of COVID.
This year, the COVID pandemic created more payroll changes than usual that may impact your small business, including:
- The CARES Act
- A new Form W-4
- FFCRA-qualified leave
- Social Security tax deferral
- State and local changes
- And more!
Experts recommend starting year-end payroll in October to process changes, get up to date on new laws, and give yourself extra time meet deadlines. If you’re already behind, Amador Accounting can get you caught up.
Learn more on our website or call Lisa Amador at 734-330-0907.