Beginning of the New Year is the most crucial time for every company. The business owners and employers put in serious efforts to make sure that their employees are well prepared and compliant as compared to the previous year.

Here’s a list of things that employers can do to ensure that the employees are ready for the year:

Get W-2S Ready

Employers are required to provide employees their W-2 copies including Copies B, C & 2 by February 2. Employees will receive their W-2s 15 days prior to the deadline. On March 31, employers have to e-file W-2. In case, you use paper-forms, deadline is for March 2.

Make sure that employee data, especially employee names, addresses and SSN, are correctly entered. Every mis-filed W-2 will lead to penalties. You can verify the details by using TeemWurk Payroll dashboard for employers and employees. The system will automatically calculate and file your W-2s.

Get Benefits Ready

Review your benefit offerings for employees. The start of the New Year is a critical time to verify employee benefit information and check if any changes are required.

Check all the IRS guidelines for retirement benefits and verify your employee data according to them. For employees having Flexible Spending Account (FSA), ensure that they spend the amount in their accounts before the grace period gets over, else they may lose the money. In case, you offer fringe benefits to your employees, make sure taxes are withheld by you if your employees have received any taxable benefits such as company car for personal use; parking or employer provided mobile phones in the previous year.

You must make all the arrangements until you submit the W-2 to employees. IF you made any mistake, then you can correct it in your W-2 through W-2c. But, you must make the corrections as soon as possible.

Lastly, check all the sick and other leaves taken by your employees in the previous year. If they have sick pay, make sure it’s withheld appropriately along with taxes for employee and employer social security, FUTA, etc. Before making any tax deduction, cross check it with IRS guidelines. You have to do all of this before providing W-2 to employees.

Right Time to Switch the Service Provider

It is January, the beginning of the year and the perfect time to switch your payroll service provider. If you are not satisfied by your payroll system, this is the time to make the decision. Look for new payroll options to get better payroll experience.

TeemWurk Payroll can be your ultimate solution as it can automatically run payrolls for your employees making it easier to pay employees. The system can calculate and e-file all your taxes in compliance with the federal tax laws.