Posts Tagged ‘W-2s’

Preparing for Year-End

Wednesday, October 30th, 2013

In an effort to help your 2013 year-end process run smoothly, we have prepared a number of important resources that can be accessed at:  
http://www.pcspayroll.com/client-resources/year-end.

There you will find helpful forms, checklists and reminders to aid you in preparing for year-end. We strongly encourage you to download and use these resources to help you manage your year-end payroll process. Important resources available on the site include:

  • Year-End “To Do” Checklist (important steps to take to ensure an error free year-end)
  • Bonus/Unscheduled Payroll Request Form
  • Complete 2013 Year-End Packet
  • 2014 Federal Reserve Holidays
  • 2014 CBIZ Payroll Holiday Schedule and Processing Guidelines
  • Employee FAQ – How Do I Read My W-2?
  • Fringe Benefit & Third Party Sick Pay Reporting Guidelines

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Preparing for Year-End

Sunday, October 28th, 2012

In an effort to help your 2012 year-end process run smoothly, we have prepared a number of important resources that can be accessed at:

http://www.pcspayroll.com/client-resources/year-end

Here you will find helpful forms, checklists and reminders to aid you in preparing for year-end.  We strongly encourage you to download and use these resources to help you manage your year-end payroll process.  Important resources available on the site include:

  • Year-End “To Do” Checklist (important steps to take to ensure an error free year-end)
  • Bonus/Unscheduled Payroll Request Form
  • 2013 Federal Reserve Holidays
  • 2013 PCS Holiday Schedule and Processing Guidelines
  • Fringe Benefit & Third Party Sick Pay Reporting Guidelines
  • Millennium Software Tax Update Information

Preparing for Year EndYEAR-END TAX RETURNS AND W-2s

PCS will begin processing all quarter-end and annual returns on the first of January and expects to have all packages completed and delivered by January 25, 2013.  This is a very busy time of year for all of us so please remember that extra phone calls will only slow us down.  If you don’t receive your package by January 25, please call to let us know.  Thank you in advance for your patience.

PCS TAX RETURN\W-2 CORRECTION POLICY

Any requested changes or corrections made after December 31, 2012 may require the re-processing of your year-end returns and W-2 information.  This cost will be the same as your original billing, plus the cost of the additional payroll run.  This may also result in delivery of your final year-end information later than expected.  Any changes made after year-end forms have been filed may require amended forms.  These amended forms will not be completed until after the month of February and at a cost of $50 per form.

IMPORTANT!!  IT IS CRUCIAL THAT YOU NOTIFY YOUR CLIENT ACCOUNT MANAGER OF ALL ADJUSTMENTS NEEDED FOR 2012 BEFORE SUBMITTING YOUR FINAL PAYROLL TO AVOID ADDITIONAL PROCESSING CHARGES AND DELAYS.

 Thank you for helping to make this year-end process run smoothly!

Payroll Control Systems

W-2 Reporting of Employer Paid Insurance

Sunday, October 28th, 2012

W-2 ReportingThe Affordable Care Act requires many employers to report the cost of coverage under an employer-sponsored group health plan on employees’ 2012 W-2s.  If you need an earning code for this, please contact your Client Account Manager before processing your final payroll dated in 2012.

All employers that provide “applicable employer-sponsored coverage” under a group health plan are subject to the reporting requirement, except as provided in the transition relief described below.  This includes federal, state and local government entities (except with respect to plans maintained primarily for members of the military and their families), churches and other religious organizations, and employers that are not subject to the COBRA continuation coverage requirements, but does not include federally recognized Indian tribal governments or, until further guidance, any tribally chartered corporation wholly owned by a federally recognized Indian tribal government.  Those not required in 2012 may choose to voluntarily comply this year and could be required in future years but the IRS will give at least six months of advance notice of any changes to the transition relief.

In general, the amount reported should include both the portion paid by the employer and the portion paid by the employee whether or not it was pre-tax.  In the case of a health FSA, the amount reported should not include the amount of any salary reduction contributions.

The cost of these health care benefits will be reported in Box 12 of the Form W-2, with Code DD.  It is listed for informational purposes only, and is not taxable.

The transition relief applies to the following:

  1. Employers who filed fewer than 250 Forms W-2 for the previous calendar year (employers who filed fewer than 250 W-2s for 2011 tax year) will not be required to report the cost of coverage on the 2012 W-2s.
  2. Multi-employer plans.
  3. Health Reimbursement Arrangements.
  4. Dental and vision plans that are not integrated into another group health plan or that give participants the choice of declining the coverage or electing it and paying an additional premium.
  5. Self-insured plans of employers not subject to COBRA continuation coverage or similar requirements.
  6. Employee assistance programs, on-site medical clinics, or wellness programs for which the employer does not charge a premium under COBRA continuation coverage or similar requirements; and
  7. Employers furnishing W-2s to employees who terminate before the end of a calendar year and request their W-2 before the end of that year.

Employers are not required to create a W-2 for the sole purpose of reporting health coverage.

Click Here for more detailed information on this topic.

 Legal Disclaimer: This article is intended for informational purposes only and by no means should replace or substitute other legal documents (governmental or non-governmental) reflecting similar content or advice. If you have any questions concerning your situation or the information provided, please consult with an attorney, CPA or HR Professional.

Employee Names on Form W-2

Saturday, December 31st, 2011

Employee Names on W-2sIt’s important to understand how employee names will be displayed on the W-2 forms so you can make sure they are entered correctly in the payroll system.  W-2’s provide information to your employees, the SSA, IRS and state and local governments so it’s important to try to correct any entry errors, which cause processing delays, before the end of December each year.

One way you can take preventative measures at year-end is by running the Employee Profile report.   This report gives detailed employee information and page breaks by employee so it can be distributed to your employees so they can make sure their W-2 information including social security number, spelling of full name and home address are correct.

An employee’s name should be entered exactly as it is displayed on their social security card.  If an employee has a name change, you should use the name on the original card until you see a corrected card.  Do not show titles or academic degrees, such as “Dr.,” “RN,” or “Rev.,” as those are not included on the social security card.  Generally, do not enter “Jr.,” “Sr.,” or any numerical suffixes unless the suffix appears on the card, and in that case, it should be entered after the last name in the “last name” field.  If the employee has a middle name or middle initial on their SSN card, it should be entered in the middle name field but no punctuation should be included since it needs to be entered exactly as it is on their social security card.

Legal Disclaimer: This article is intended for informational purposes only and by no means should replace or substitute other legal documents (governmental or non-governmental) reflecting similar content or advice. If you have any questions concerning your situation or the information provided, please consult with an attorney, CPA or HR Professional.

Prepping for Year End

Wednesday, November 30th, 2011

PCS Year End ProcessIn an effort to help your 2011 year-end process run smoothly, we have prepared a number of important resources that can be accessed by clicking here.  Here you will find helpful forms, checklists and reminders to aid you in preparing for year-end.  We strongly encourage you to download and use these resources to help you manage your year-end payroll process.  Important resources available on the site include:

  • Year-End “To Do” Checklist (important steps to take to ensure an error free year-end)
  • Exception Payroll Request Form
  • Bonus/Unscheduled Payroll Request Form
  • Complete List of 2012 Federal Reserve Holidays
  • 2012 PCS Holiday Schedule and Processing Guidelines
  • Fringe Benefit & Third Party Sick Pay Reporting Guidelines
  • Millennium Software Tax Update Information

YEAR-END TAX RETURNS AND W2’s
PCS will begin processing all quarter-end and annual returns on the first of January and expects to have all packages completed and delivered by January 25, 2012.  This is a very busy time of year for all of us, and extra phone calls will only slow us down.  If you don’t receive your package by January 25, please call then to let us know.  Thank you in advance for your patience.

PCS TAX RETURN\W2 CORRECTION POLICY
Any requested changes or corrections made after December 30, 2011 will require the re-processing of your year-end returns and W2 information. This cost will be the same as your original billing, plus the cost of an additional payroll run. This may also result in you receiving your final year-end information later than expected. Any changes made after January 31st will require amended forms to be produced. These amended forms will not be completed until after the month of February at a cost of $50 per form.

IMPORTANT!!  IT IS CRUCIAL THAT YOU NOTIFY YOUR CLIENT ACCOUNT MANAGER OF ALL ADJUSTMENTS FOR 2011 BEFORE SUBMITTING YOUR LAST PAYROLL TO AVOID ADDITIONAL PROCESS CHARGES AND DELAYS.

Thank you for helping to make this year-end process run smoothly!

Payroll Control Systems

Joe’s Jottings – Happy Holidays!

Tuesday, November 30th, 2010

Now that we’ve had a chance to give thanks last week, it’s time to get down to business again.  We all recognize that the holidays are fast approaching, and that we have plenty of work to do in preparation for those holidays, regardless of how each of us celebrates them.  And yet, the much dreaded “year-end” is also upon us!!!

Although there are many facets to the “year-end blues”, Payroll Control Systems can help with several of those facets.  Please plan on using the recommendations for year-end preparation that PCS provides on our website.  We are here to help minimize/eliminate the pain associated with payroll and payroll tax aspects of closing out the year.  We currently assist over 1,400 companies nationwide, and know what we’re doing!  For those of you who’ve gone through year end with us in the past, you know how easy and convenient it is.  For our newer customers, you’ll enjoy the convenience of our hassle-free year-end process!

I would be remiss if I didn’t remind you to think about giving the “gift that keeps on giving” to your business colleagues…a referral to Payroll Control Systems’ payroll services.  Our Client Referral Program can help you with some holiday cash as we send you a $50 gift card for every Client you refer to PCS that runs a payroll with us.  You can rest assured that we’ll take care of your referral since we’re the only A+ rated payroll service in Minnesota by the Better Business Bureau.  We are also SAS 70 Type II certified and we have a 97+% customer satisfaction rating, which will provide your referral relief from their current processing methods and a “present” that will last indefinitely.

Finally, we thank you for your present to us…your continued business and friendship!!

As always, if you have any comments or questions for which I might be of help, please call me, either at the office, 763-513-5951, or on my cell phone, 763-567-8387.

Best wishes for happy holiday season!!

Joe Reilly

CEO

Payroll Control Systems