IRS Tax Tips
February 1st, 2012Now that all your W-2 and 1099 processing is out of the way, it’s time to focus on taxes. The IRS has shared a brief video describing the common tax return errors and how to avoid them.
Revised Employer’s Tax Guide Now Available
January 25th, 2012Publication 15, (Circular E) Employer’s Tax Guide has been updated to reflect the recent legislative changes including extending the payroll tax cut for employees.
Year End Processing is in full swing at ASAP.
January 6th, 2012ASAP has already processed employee W-2s for 2011 and we hope to have the majority mailed in the next few days. Employees should expect to receive copies in the next 5-10 business days. The deadline for mailing W2’s is January 31st.
W2 copies will be distributed to our payroll clients along with other quarterly returns via the new Web Payroll product. If you have not logged into this product before, be on the lookout for initial set up instructions and “how to” tutorials. If you would prefer an offline method for distributions, please contact us at payroll@businessASAP.com or give us a call.
New Form W-4s – The IRS has released a new Form W-4 for 2012. It is not required to have new forms submitted each calendar year. A Form W-4 remains in effect until the employee gives you a new one. However, if an employee claims exemption from income tax withholding, they must give you a new Form W-4 each year.
>> Review IRS Guidelines for Hiring Employees
Happy New Year
December 30th, 2011
What an adventurous year! ASAP opened our Denver office, we received our SSAE (SAS70) certification, Richard Betts was appointed to Vice Chair of the Colorado Health Benefits Exchange Board, and ASAP was named a Colorado Companies to Watch Finalist.
We owe much of our success to our clients, contacts, and friends for their continued support. May we continue to share success in the coming year.
Happy New Year from all of us at ASAP.
Payroll Tax Cut Temporarily Extended into 2012
December 23rd, 2011Payroll Tax Cut Temporarily Extended into 2012
IR-2011-124, Dec. 23, 2011 WASHINGTON — Nearly 160 million workers will benefit from the extension of the reduced payroll tax rate that has been in effect for 2011. The Temporary Payroll Tax Cut Continuation Act of 2011 temporarily extends the two percentage point payroll tax cut for employees, continuing the reduction of their Social Security tax withholding rate from 6.2 percent to 4.2 percent of wages paid through Feb. 29, 2012. This reduced Social Security withholding will have no effect on employees’ future Social Security benefits. Employers should implement the new payroll tax rate as soon as possible in 2012 but not later than Jan. 31, 2012. >>Full Article: IRS Press Release, 12.23.2011
New Form W-4 for 2012
December 20th, 2011The IRS has release the new Form W-4 for 2012. Visit “Downloads/Forms” to download.
Employers should ask employees to fill out a new W-4 each year if they want to change their allowances so you can withhold the correct amount of tax from their paychecks.
Year End -10 key payroll items to review before 12/31
December 16th, 2011It’s that time of year when business owners and managers are either celebrating or tending to their wounds. Rest easier this holiday season by reviewing some simple year end recommendations.
Recap and Review
Verify all current and former employee addresses and SSN’s for typos*.- Review 1099 contractor payments: confirm W-9’s are on file and accurate.
- Update your 2012 State Unemployment and State Disability Insurance rates*.
- Adjust your 2012 Federal 941 and State payment frequency based on look-back history*.
- Any special payrolls (bonus or special owner runs) should be dated before Dec. 31st.
- Consult with your CPA for any year end strategies (i.e. taxes or pension plans).
- Health and accident insurance premiums paid on behalf of an S-Corporation owners are deductible and should be reported for income tax purposes on the owner’s W-2.
- Taxable Auto: Taxing and reporting the Personal Use of a company owned vehicle.
- Verify and review benefit information for your employees.
- Review employee wages, sick time, and vacation hours.
>>Review more on our special Year End web page.
Payroll Clients, *Download ASAP Year End Reminder Letter which includes information on W-2 Prelist and Tax Letters from State and IRS. We begin W-2 processing on January 3rd, please have updated information to us by 12/31.
Richard Betts named Vice Chairman of the Board for Colo. Health Benefit Exchange
December 2nd, 2011
The Colorado Health Benefit Exchange Board of Directors elected officers during its meeting Monday and ASAP’s Richard Betts was elected Vice Chairman of the Board.
As Vice Chairman, Betts will be working with Chairman Gretchen Hammer and the soon to be chosen Executive Director in carrying out the mission of the Exchange.
Betts has been working with the exchange as Chairman of the Executive Search and Personnel Committee as well as the Board Governance Committee. He was appointed by governor Hickenlooper in July of this year.
The goal of the exchange is to increase competition and allow small business and people in the individual insurance markets to pool their interests to obtain more competitive premiums.
Colorado is one of 10 states that have passed enabling legislation (SB200) to create the exchange. The nine-member Board is independent of any existing state agencies or department and will be a key component of national healthcare reform. The exchange is scheduled to open for business in October 2013.
Daylight Savings | ASAP Timeclocks
November 3rd, 2011This Sunday, November 6th, is the end of the Daylight Savings Time and the majority of North America will be moving their clocks back one hour.
Just a reminder to our Time & Labor users:
This always causes concern for employers & employees who are using an automatic tracking system for tracking hours worked. We have been reassured by the development team that the Time & Labor system automatically accounts for the Daylight Savings Time change and manual adjustments are unnecessary. If your employees work through the time change, you will notice a new column in their timesheet to show the Daylight Savings Time adjustment that is automatically made.
If you are using a physical clock to punch in/out, do not be concerned if the time on the display is not accurate at the time of an employee’s punch. These physical clocks usually will have a delay in the time change, as many will not receive the updated time information until they transmit overnight. The time entered into the employee’s timesheet will NOT be the incorrect time displayed on the clock, but rather the system will properly adjust as it receives the data.
Please feel free to call ASAP with any questions.
NLRB Poster Requirement.
October 20th, 2011
12/23/2011 The National Labor Relations Board (NLRB) has again postponed the date by which employers are required to post the new notice.
Employee Rights Notice Posting Postponed to April 20, 2012
As of April 30, 2012, most private sector employers will be required to post a notice advising employees of their rights under the National Labor Relations Act. (The original effective date was postponed.) The notice should be posted in a conspicuous place, where other notifications of workplace rights and employer rules and policies are posted. Employers also should publish a link to the notice on an internal or external website if other personnel policies or workplace notices are posted there.
NLRA Fact Sheet>>https://www.nlrb.gov/poster
Current State and Federal Labor Law posters (including the new notice) are available with your eHR subscription. You may place an order within your eHR account or you may download the poster below and print from your location, FREE.
DOWNLOAD FREE 8.5×11 Notice (2 pages, print and connect)
