2020 Year-End Checklist

With year-end rapidly approaching amid the COVID-19 pandemic we would like to ease the tensions by providing a 2020 year-end payroll reference guide.

First – Has all pertinent information been reported/provided to your payroll provider?

• Verify employee names and social security numbers, addresses, and W-2 delivery address
• Form 1099 payee’s SSNs or taxpayer ID numbers
• Has all in-house payroll been reported?
• Employee pension information
• Group term life adjustments
• Tax deposits made
• Premiums for health and accident insurance paid by an S corporation on behalf of 2% shareholders
• Compensation adjustments paid to employees who need to be included on employee Form W-2 including other amounts for Box 14
• Taxable cash and non-cash fringe benefits (e.g. personal use of company car)
• Third-party sick pay insurance benefits
• Educational assistance reimbursements
• Proper tax agency identification numbers

Second – Have COVID-19 related items been reported?

• All wages for qualified sick leave and family leave wages
• All qualified health plan expenses on qualified sick and family leave wages
• All qualified wages for employee retention credit
• All qualified health plan expenses on wages reported for the employee retention credit
• Any employer/employee Social Security tax deferred
• Any advances received from filing form(s) 7200

Contributed by: Kim Grote | Payroll Manager | DWD CPAs & Advisors