Monday, December 29, 2008

2009 Payroll Reminders

Just a reminder of deadlines to come


Furnish 1099-MISC Forms to independent contractors and W-2 forms to employees who worked for you during 2008.

Deposit FUTA tax owed through Dec 2008 if $500 or less.

File 2008 Form 940 (Employer’s Annual Federal Unemployment (FUTA) Tax Return).

Deposit Payroll tax for January if applicable.


File Form W-3 (Transmittal of Wage and Tax Statements) with Copy A of all Forms W-2 you issued in 2008.

Deposit Payroll tax for February if applicable.


File Form 941 for the 1st quarter of 2009. Deposit FUTA tax owed through March if more than $500.

Deposit Payroll tax for March if applicable.


Deposit Payroll tax for the month before if applicable.


Deposit Payroll tax for June if applicable.

Deposit FUTA owed through June if more than $500.

File Form 941 for the 2nd quarter of 2009.


Deposit Payroll tax for the month before if applicable.


Deposit Payroll tax for September if applicable.

File Form 941 for the 3rd quarter of 2009.

Deposit FUTA owed through September if more than $500.


Ask employees whose withholding allowances will be different in 2009to fill out a new Form W-4.

Ask employees who want to receive advanced earned income credit payments during 2009 to complete Form W-5.

Deposit Payroll tax for October if applicable.


Deposit Payroll tax for November if applicable.

Verify the names and Social Security Numbers of your employees by using the Social Security Number Verification Service (SSNVS).

Place your order for W-2 forms for employees and 1099 forms for independent contractors.

Remind your employees to update their W-4 forms.

I have found useful information about payroll software and W2/1099 forms and supplies on the website

Changes for 2009 Wage Withholding

Thought this may be helpful information

As in past years the IRS issued a 2009 tax guide for employers. Below is a summary of the new changes for the new year.

1. Social security and Medicare taxes (rate and cutoff)

Employers must stop withholding social security tax after an employee reaches $106,800 in social security wages in 2009. The maximum social security withholding amount in 2008 was $102,000.

2. New employment tax adjustment and claim for refund process

The IRS is introducing two new forms for the 2009 tax year: Form 941-X, Adjusted Employer’s QUARTERLY Federal Tax Return or Claim for Refund, and Form 944-X, Adjusted Employer’s ANNUAL Federal Tax Return or Claim for Refund.

3. Credit card payments

Employers can pay the balance due on Form 943 (Employer’s Annual Federal Tax Return for Agricultural Employees) and Form 945 (Annual Return of Withheld Federal Income Tax) by credit card. Employers can't use a credit card to make federal tax deposits.

4. Social Security Administration and magnetic media

Employers requesting verification of names and social security numbers between 51 and 250,000 employees can no longer use magnetic media to submit their requests to the Social Security Administration. Employers can upload a file through the Social Security Number Verification System (SSNVS).

5. Paid preparers must sign Form 941 and Form 944

The paid preparer’s section is no longer optional and is included in Part 5 of Form 941(Employer’s QUARTERLY Federal Tax Return) and Form 944 (Employer’s QUARTERLY Federal Tax Return).

Employers using an up to date 2009 payroll software to generate payroll and calculate withholding, shouldn't have a problem dealing with any of these changes for tax year 2009.