Green initiatives – in Payroll? (Part 3)
Now that we’ve tackled paychecks, pay stubs, and the nitty gritty of payroll processing, it’s time to review what changes we can make on IRS, state and local reporting to enhance our green initiative ideas.
Are you aware that you can supply W-2’s to your employees electronically? Think of how much time and how many headaches you can save:
o No more lost W-2’s requiring immediate replacement (“I’m at my accountant’s right now”)
o Lowered mailing costs for fewer paper W-2 forms mailed.
o Fewer delays in getting this important information to your employees
o No problems with addresses
o Fewer issues with postal delays
o Reduced use of paper, saving trees
o Costs of printing are reduced if you are printing fewer forms, check, stubs, returns
o Payroll team saves time because they don’t need to send out hundreds of duplicate W-2’s replacing lost forms
You do need to have the employees’ approval, by having them opt in to the electronic delivery. A communications campaign reminding the employees how easy it is to access their paystubs and W-2 Forms online will help you achieve a high percentage of participation.
The Internal Revenue Service and Social Security Administration have been in the forefront of U.S. government transition to electronic transmittals and payments. Payments and refunds are all being made and accepted predominantly via ACH (direct deposit) and many payments are being made by paycard!
As employers, you already know that your 941 (Quarterly Federal Tax Return) and 940 (Annual Federal Unemployment Return) filings are electronic – no mailing, delays or missed deadlines from postal or mailroom delays. The annual W-2 filing to the Social Security Administration has been electronic for a few years now.
Many states and municipalities now require or allow electronic filing for their quarterly tax submissions. Unemployment insurance returns have also become more streamlined; many states no longer require a quarterly wage detail report. Best of all, most permit – and encourage – electronic payments. No more lost checks, penalties, interest, time spent tracking a check that literally could be anywhere….
You and your company can be good corporate citizens, help the environment, save trees, conserve fuel and save money, just by implementing one or all of these initiatives.
The result? Green Time!