With employees come payroll, there is no doubt about that. However, employee payroll processing is a tedious and time-consuming task that allows little time for mistakes and is usually well outside most companies’ area of expertise. Payroll processing is one HR administrative burden that most companies are quick to outsource without knowing that when you outsource with some payroll service providers, you spend just as much time and effort preparing reports as you would administering payroll itself.We pair a team of highly-trained payroll specialists with best-in-class systems to expertly manage the entire payroll process from start to finish. Employees get their pay checks in a reasonable time while you get to focus on your people and the success of your business. Happy employees equals better business, make sure pay checks are always on time!
As an integrated HR service provider, SG Inc. C.P.A can bundle payroll services with our exclusive time and labor tracking system. The two compatible systems limit errors and speed up the payroll process by eliminating the need to input several pages of data.
- Automated payroll system linked directly to time tracking system to enhance payroll timeliness and accuracy
- Option of paper pay checks, direct deposit or pay cards
- Manager and employee self-service application
- Ability to allocate dollars by department, project or job
- Monitor and manage paid-time-off (PTO)
- Process garnishments
- Assume responsibility and liability for remitting taxes & tax returns
- Prepare W2 & W3 reconciliation
- Generate and submit certified payroll
The Internal Revenue Service (IRS) requires employers to report wage and salary information for employees on a W-2 Form at the end of the year. This form also reports the amount of federal, state, and other taxes withheld from the employee's paycheck. As an employee, this form is very important when preparing for your tax return.
A W-9 form, also known as a Request for Taxpayer Identification Number and Certification form, is used to confirm a person’s taxpayer identification number (TIN). This confirmation can be requested for either an individual defined as a U.S. citizen or a person defined as a resident alien.
Form 1099-Misc is a tax form that reports the year-end summary of all non-employee compensation. The 1099-Misc form covers rent, royalties, self-employment and independent contractor income, crop insurance proceeds, and several other kinds of miscellaneous income.
IRS tax payments: Form 941The 941 reports wages your company has paid and federal income tax withheld. It also lists social security and Medicare taxes withheld, and your company’s share of those social security and Medicare taxes. Of course, your quarterly tax payments are due with the form.
A new Form 941 is filed each quarter. The form, and any payments due, must be filed by the last day of the month after the end of the quarter. For example, the 941 Form for the third quarter (July/August/September) must be filed by October 31. If the due date falls on a Saturday, Sunday or holiday, the filing date becomes the next business day.
If you’re wondering where to mail form 941 without payment or with payment, check IRS locations here, because businesses in different states file 941 quarterly to different IRS locations. You can also file form 941 online.
941 Payroll Tax PenaltiesAs you might have guessed, 941 payroll tax penalties for not filing on a timely basis and for not making the payments due can be severe.
- Failing to File. If you file late, your company can be penalized by the IRS. The fines start at 5% of the tax due, but can escalate to 25%.
- Failing to Pay. You can also be penalized for late payments, at a rate of .05% per month, but this fine can also increase to 25% of the tax owed.
In addition to the 941 payroll tax penalties – and this is where the damage to your company can really add up – the IRS can impose interest charges on the taxes owed. The interest is calculated at the federal short-term interest rate, plus 3 percentage points, and the interest is compounded daily. The meter starts running the day the taxes are due, so you’re better off paying the debt as soon as you can.
Penalty calculator: determine the cost of not paying up!
- Your payment is 1 to 5 days late: 2% of the amount due
- Your payment is 6 to 15 days late: 5% of the amount due
- Your payment is 16 or more days late: 10% of the amount due
- If you are notified of your delinquency and you do pay within 10 days: 15% of the amount due
We can help you processing your payrollJoin us and have your payrolls more organized and on time.
Avoid Tax penalties, Pay on time.
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