If you’d like to present your employees with a physical check, Direct Deposits can be shut off for the Bonus Run…
As the end of the year rapidly approaches, it is common for employers to process year-end Bonuses in addition to their regular payroll. Here are a few things to consider before processing a Bonus Run.
Will you be processing a Bonus separate from your regular payroll? Notify your Payroll Processor if you will be processing a Bonus separate from your regularly scheduled payroll. A Special Run will need to be added to your Payroll Calendar.
How would you like to present the Bonus to your employees? If you’d like to present your employees with a physical check, Direct Deposits can be shut off for the Bonus Run.
Be sure to specify your preferences for Retirement Plan withholding. Should Retirement Plan Deferrals (401(k), Simple IRA, etc.) be calculated and withheld from Bonus Payments?
When supplying Bonus Figures to Ahola, be sure to specify amounts. Are you submitting Gross Figures (before taxes) or Net Figures (the amount you wish employees to “take home”).
When will you process your Bonus? Processing a Bonus Run right after your regularly scheduled payroll is a perfect time to ensure Bonus Figures aren’t revealed early on the Employee Pay Stub or through Employee Self-Service.
How will you tax your Bonus Run?
Have questions on Bonus run best practices? Contact us today.
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