The document discusses common payroll mistakes made by employers including making unauthorized deductions from final paychecks, misunderstanding rules for garnishments and other deductions, issuing final pay in an untimely manner which can impact quarterly and annual tax reports, incorrectly handling employee W-4 forms, and failing to comply with new hire reporting requirements within 20 days of hire. It emphasizes that employees rarely forgive payroll mistakes and that employers should follow the golden rule of payroll compliance.

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iNFOGRAPHIC
100%
W-4
Single 20 Days
FICA Benefits
When employees leave your company, their last paycheck is usually
due before the next pay period, sometimes even if it is a voluntary
resignation. You may have to payout unused vacation, whether you
like it or not.
The Final Paycheck
Making unauthorized
deductions from pay
The simple rule is that only two
types of deductions are
authorized: those required by
law (e.g., FICA, taxes) and those
authorized by the employee
in writing (e.g., benefit
contributions).
Misunderstanding the
ordering rules for
garnishments
Garnishments come in all shapes
and sizes. Ordering rules and
deduction limits exist for those as
well as child support orders and
tax levies.
Issuing final pay in an
untimely manner
It starts with Form 941, but does
not end there. You have other
quarterly and annual reports to
the IRS, along with filing W-2s with
the Social Security Administration.
Incorrectly handling
employees W-4s
They are required of all
employees. The default position
is single with zero allowances.
Failing to comply with
new hire reporting
All employers must report new
hires to a State Directory of New
Hires within 20 days of hire (or
sooner in some states).
Forgetting the
Golden Rule of Payroll
For employees, 100% of mistakes
are not easily forgiven, rarely
forgotten, never ignored.
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