Why Your Payroll Year-End Checklist Needs To Include SpinifexIT
It’s that time of the year again here in the US … payroll year-end! Those of us who have been involved in payroll year-ends know that this is a very hectic time. To survive, many of us create checklists of year-end tasks. These checklists get reviewed around the beginning of October (i.e., new due dates, new tasks based on tax changes, etc.) and then we run with them, making sure that all deadlines are met for a smooth year-end.
My checklist usually includes:
- Get up-to-date with all SAP Support Packs (this was typically a requirement in order to apply the SAP year-end releases).
- Apply all BSI TUBs (Tax Updates) – BSI TUBs are received throughout the year, but the great majority of them are released between November and January in order to update the new tax tables. Unfortunately, tax changes can be announced as late as the December 31st with effective dates of January 1st.
- Apply SAP year-end releases – The first release is usually available in October and subsequent ones are available in November and December.
- Continue to review all OSS notes looking for those related to taxes and limits (such as 401(k) limits). These notes need to be applied before you run the first payroll of the year.
- Generate work schedules and calendars for the upcoming year.
- Update all applicable reports with the new limits.
This requires a lot of testing on the part of the Payroll staff. Not only are they testing the system updates, but also the quarter and year-end data to ensure accurate reporting. Thankfully, my checklist now also contains SpinifexIT!
Easy Reporter contains pre-delivered reports to help our clients with Support Pack testing. These reports allow you to compare payroll results before and after the application of the Support Packs. Variance reports will highlight any issues immediately.
Easy Balance helps cut down on the time spent validating quarter and year-end data. Our Tax Wage Type Configuration report helps validate the configuration of all tax authorities in one simple report. Easy Balance also provides exception reports that allow you to validate and correct master data (such as invalid Social Security numbers, missing tax infotypes, inconsistency between tax infotypes and invalid characters on the employee’s address). There are also reports that help identify employees who have exceeded limits or whose employee/employer Social Security and Medicare taxes are out of balance.
Easy Balance also helps validate the data that will appear in W-2 boxes. If you run SAP’s Tax Reporter, Easy Balance lets you compare the data in payroll to the data in Tax Reporter (even against Tax Reporter simulation runs). I would recommend running Easy Balance exception reports after every payroll to ensure the accuracy of master data and tax data. This will dramatically reduce the time spent validating data at year-end.
Whether you use Easy Reporter Support Pack testing reports or Easy Balance year-end validation reports, I can assure you that SpinifexIT can help make your Payroll year-end stress free and will let you enjoy the holiday season.
Happy holidays from the SpinifexIT family!