Your year-end payroll doesn’t have to be a crunch.
Most Payroll and accounting departments are overwhelmed at year-end — there’s so much to get done and your team might already be stressed going into the holiday season. We think approaching your year-end early can help you be sure that you complete all of the important tasks, leading to a great Payroll close out. Here are our quick tips for a year-end Payroll that doesn’t stress everyone out:
1. Make sure you have all the right information.
A good start is to review all of your employees, and make sure that you have every thing needed for year and filing – addresses updated as well.
2. Keep the right things on your radar.
There is a host of issues you want to consider before year end including but not limited to:
- Bonuses
- Sick pay PTO payout
- Personal use a company cars
- Group term insurance in excess of 50,000
- Maximums for retirement plans
- consider any other taxable fringe benefits
- Transportation, or moving expenses that are taxable
3. Get retirement plan discussions out of the way early.
Don’t forget partner and owners. Many of them may want to take salaries in order to max out retirement plans opportunities. Be sure to discuss this with your CPA or administrator early to avoid any confusion.
4. Get started now.
A well thought through year-end plan that starts in early December will help you avoid the payroll crunch of the last week of the year when most payroll companies are overwhelmed and many are on vacation.
Need more tips? Check out our blog post:
7 Tips for Smooth Year-End Payroll Processing 2022:
If you need help with your year-end Payroll, give us a call. We’d love to help.