It’s hard to believe, but the end of 2018 is already fast approaching. Along with all of the excitement of the holiday season comes the challenges of keeping your payroll running smoothly with the changes the new year brings. We provide a checklist here of things you should ensure you have taken care of to alleviate headaches come January 1st. We’ll also highlight how an online payroll system like PayTickr can help you make those changes much more easily.
1. Ensure your employees have all their forms up-to-date
Have employees complete updated federal and provincial TD1 forms and update their claim amounts accordingly. On January 1st of each year, PayTickr will prompt you to update the claim amounts of all of your employees, and will suggest the new amount if you are using the basic provincial or federal claims for any of your employees.
2. Be sure you are using the correct year’s CRA and Revenue Quebec deduction formulas and payroll tables
Federal and provincial tax, CPP, and EI deduction amounts are updated every year, so it is important that you are using the correct formulas for the year you are paying your employees in.
PayTickr will calculate deductions based on the pay day of your payroll run. For example, if you have a payroll run that was to be done on December 31st 2018, but you didn’t get the chance to run it until January 3rd 2019, you won’t have to worry about the wrong formulas being used. As long as the pay day is set to 2018, PayTickr uses the 2018 formulas, and vice versa.
This is one of the big advantages that cloud-based payroll systems have brought, there is no longer a need to use different desktop software based on which year you are running payroll for.
3. Zero out your year-to-date (YTD) amounts
Ensure that you reset all of the YTD amounts for all of your employees, so that if an employee has reached the maximum for their CPP and EI contributions for the previous year, they start contributing again at the start of the new year. PayTickr keeps track of YTD amounts separately for each year, so you don’t need to worry about zeroing out any YTD amount or getting the YTD amounts mixed up between two years.
4. Provide employees and the CRA with T4s for the past year
T4s must be provided to the CRA by the end of February and a completed T4 slip must also be provided to the employees and kept by the employer. PayTickr makes this extremely easy by pulling it’s payroll information, and producing a file that can be submitted to the CRA for all employees as well as the employee and employer slips.
5. Keep payrolls on schedule
The end of the year can be a busy time with new major business initiatives starting in the new calendar year and everyone coming and going during the holiday season. Make sure that payroll doesn’t get lost in that shuffle,
Many employees the end of year can be stressed financially for a number of different reasons and a delayed pay cheque can certainly add to that stress. PayTickr’s payroll schedules help to keep your payroll on track and on time by alerting you when they are due and allowing you to separate employees onto any number of different schedules. Furthermore, PayTickr’s direct integration with Telpay allows you to pay your employees via direct deposit so you don’t have to track them down to hand out cheques when everyone is coming and going to and from the office.
We hope this checklist will help you have a fantastic and painless holiday season, and propel you to a great 2019!