Review for missing or incorrect addresses & Social Security numbers. Check for any terminated employees that need to be removed. Check that terminated employees have no balances for loans, garnishments, or PTO.
Make sure that Earned Income Credit (EIC) coding is submitted correctly. Verify your new TWC rate. Test Social Security withholding = (total wages-excess wages) x 6.2%. Test Medicare withholding = total wages x 1.45%. Double-check your matching Social Security & Medicare taxes.
Verify that the reported taxes on Form W-3 equal tax deposits (total of Form 941). Check the contributions & distributions for Section 125 (cafeteria) plans for medical & childcare reimbursements. Check for excess contributions to qualified plans (such as 401(k)), especially for higher-paid employees. Verify that employee requests for benefit deduction changes for the new year are applied.
Schedule any special bonus payrolls. Verify that month-end close-out dates are accurate. Confirm that the 2023 schedule of pay dates, period ending dates, & quarter closing dates do not fall on holidays or weekends.