Close the payroll year
- Run and reconcile the final payroll of the year
- Confirm which payments fall into which tax year
- Reconcile quarterly returns against annual totals
- Record bonuses, benefits in kind and reimbursements
Forms and filings
- Prepare W-2 forms for every employee
- Prepare 1099 forms for qualifying contractors
- File copies with the tax authority by the deadline
- Check state and local filing requirements separately
Employee data accuracy
- Verify every Social Security number
- Match legal names to Social Security cards
- Confirm mailing addresses before forms go out
- Correct prior-year errors and file amendments
Records and retention
- Store payroll registers and tax filings for the required period
- Keep proof of delivery for employee forms
- Document who approved each adjustment
- Set a calendar reminder for next years deadlines
Keep payroll tax repeatable: run the close as a checklist, require sign-off with approval flows, and keep an audit trail in version history.
