December 17, 2019 | Posted in:

Your End-of-Year Payroll Checklist

Holiday time is a perfect time to check your lists twice. If you’re an employee whose life situation has changed—such as you got married, your child turned 26, or you’ve moved—you’ll need to update your Form W-4.

If you are an employer, take note of your year-end payroll responsibilities.


Employee Data

❒ Double check demographic data including addresses, phone numbers, and name changes. You can validate social security numbers with SSA’s online verification service at

❒ Any staff members with changes will need to update their W-4s. Encourage them to do so now.

❒ Overtime rules have changed. Substantiate if employees are exempt or non-exempt.


Employee Benefits

❒ Confirm employee benefit eligibility and continuation, including health care, fringe benefits, PTO, life insurance, and retirement plans.

❒ Remind staff about unused Flexible Spending Accounts so they don’t forfeit their funds.


Salaries and Bonuses

❒ Calculate and distribute employee bonus checks. (See Abacus Payroll’s complimentary Bonus Calculators at

❒ Issue final paychecks to staff, taking into account bonuses, overtime and holiday pay through December 31.

❒ Calculate benefits such as car allowances or insurance costs for any year-end adjustments.



❒ Confirm year-end payroll deadlines, holiday processing schedules, and dates to submit federal and state deposits.

❒ Prepare information and order forms W-2 and 1099-MISC, and any others you may need, including 1095 for ACA compliance.

❒ Set up and get ready for the upcoming year with accurate payroll tax rates, wages, and compliance with any new Department of Labor (DOL) laws.


2020 Payroll Tax and Wage Rates

Alloy Silverstein and Abacus Payroll, Inc. partner each year release our Annual Payroll Tax Alert for New Jersey and Pennsylvania employers. Download the 2020 Payroll Tax Alert here →.


Empowering business owners and individuals in South Jersey and Philadelphia to feel confident through proactive accounting and advisory solutions.

About Us →    Our Solutions →    Follow @AlloyCPAs on Twitter →    

JB Financial Associates is now Alloy Silverstein.
This is default text for notification bar