Bank Change
American Automated Payroll is changing banking institutes in January to Bank of America. All American Automated Payroll net checks will be drafted from Bank of America. The change will not have any effect on those receiving their pay via direct deposit.
SUI Rate Changes
In the new year all employers should receive their revised state unemployment rates (SUI). These rates are often directly increased or decreased based on an employer’s claims from the prior year. The unemployment conditions for each state as a whole will also determine the scale which new employer rates are determined. As always, please be sure to forward your new SUI rate along with any tax notices promptly to your Customer Service Representative or to Support@aappayroll.com. This information helps us continue to provide accurate and timely adjustments to your rate. Failure to alert us of any wage or rate changes could result in additional agency fees and penalties.
Electronic Newsletter
In order to keep up with client demand and our high circulation volume, AAP will be updating our newsletter’s distribution process. Beginning in February of 2012 we will be distributing an exclusively electronic newsletter. If you are currently receiving a hard copy of the newsletter please contact your Customer Service Representative or our Customer Care Team to make arrangements for receiving an electronic newsletter. All you will need to supply is your email address in order to not miss out on products, services, and all things related to payroll.
EVOLUTION Tip of The Month
Did you know…
By pressing CTRL + E you are able to save the data on your screen. The information can then be viewed and manipulated in an excel spreadsheet, a word document, or note pad. You will have the ability to quickly pull large amounts of information such as an employee roster, employee data, or a snap shot of a payroll batch.
Postal Service Confirms Slow Down
Starting in January the United States Postal Service will be doing something that hasn’t been done since 1971: slowing down first class mail delivery. Being able to place a stamp on an envelope and expecting it to arrive the next day will be a thing of the past. First class mail will now be taking anywhere from two to three days for delivery. Not only will this affect you personally, it has the ability to affect you professionally. If your company has checks delivered through the US Postal Service this may effect your delivery. Please contact your Customer Service Representative for more information. Just a friendly reminder that on January 22nd 2012 the price of stamps will be raising to 45 cents per stamp.
ESS: 24 Hour Access
AAP’s Employee Self-Serve (ESS) allows you 24 hour access to your pay information with the capability to view your personal information, such as withholding status, address, name, marital status, etc. You also have the ability to:
Access, review, and print current and past pay history.
Receive, view and print current and past W-2 history.
View your Time Off Balances and Accruals.
Receive company bulletins and reminders.
Please contact your Business Development Manager or email sales@aappayroll.com for more information on how to get started with ESS.
Payroll Tax Cut Extended into 2012
The reduced payroll tax rate has been extended! The 2 percentage point tax cut benefits employees and reduces their Social Security tax withholding rate from 6.2 percent to 4.2 percent of wages paid through February 29th, 2012. Employees who receive more than $18,350 in wages during the two-month period will have an additional income tax in the amount of 2 percent. Please feel free to contact your Customer Service Representative with any questions.
Employee of the Month
November
Sommer Judy
Employee of the Year
Ashley Bond
E-Verify
U.S. law requires companies to employ only individuals who may legally work in the United States – either U.S. citizens, or foreign citizens who have the necessary authorization. E-Verify is used to determine the eligibility of employees to work in the United States by verifying their social security number. Beginning January 1st, 2012, all South Carolina employers must E-Verify all new hires. Similarly, North Carolina is requiring E-Verify for their new hires with multiple applicable dates. AAP is ready and willing to make sure our clients stay compliant by becoming your designated E-Verify Agent and will perform the employment verification for you! For AAP to become your designated agent or for more information please contact us at: 1-888-871-9028.
FUTA Credit Reduction
Heading into the New Year AAP wants to make sure that all of our clients are aware of the states that will be affected by the FUTA Credit Reduction. Arizona, California, Connecticut, Florida, Georgia, Illinois, Kentucky, Minnesota, Missouri, North Carolina, New Jersey, Nevada, Ohio, Pennsylvania, Rhode Island, Virginia, Wisconsin, and the Virgin Islands will be required to pay an additional .3% which is approximately $21 for every employee earning $7,000 or more. For example, if your company had 100 employees that earned over $7000 you would owe an additional $2,100 in taxes. Indiana will be required to pay an additional .6 % which is approximately $42 for every employee earning $7,000 or more. Lastly, Michigan will be required to pay an additional .9% which is approximately $63 for every employee earning $7,000.
The FUTA make up tax will be due on or before January 31, 2012 to avoid penalties and/or fees. The amount due will be calculated after final 2011 payrolls are processed and your 940 is generated. If you have any questions regarding the FUTA credit reduction please contact your customer service representative or our support department at: 1-888-871-9028.
Evolution Tip of the Month
Looking for a shortcut…
To post changes press F10.
To cancel changes press F2.
To commit data changes to database on server press CTRL + S.
Avoid Penalties: Validate W-2 Information
With the end of the year quickly approaching, now is the time for employers and employees to validate their personal filing information for accuracy. The IRS can assess fines of $50 per incorrect W-2 with a maximum fine of $250,000. Please ask all employees to check the spelling of their legal name, address, and social security number on their check to ensure that they are correct. 1099 contractors should validate their legal name, address, and proper Federal ID number. The aforementioned information can also be verified on the check register.
AAP will be happy to make any changes “free-of-charge” as long as we receive the request prior to December 26th. Changes received after this date will incur reprinting and/or correction charges.
Take Advantage of the Tip Credit
If you employ tipped employees, you are entitled to a credit against income taxes. It has been reported that up to 75% of the restaurants covered by tip reporting rules don’t file their 8027 Report. As a free service, AAP can provide you with your tip credit report for use on your tax return. After determining your eligibility with your accountant, please contact our support department to request your tip credit report: support@aappayroll.com.
W-2′s: Box 12 DD Becoming Mandatory
Beginning in 2012, it will be mandatory in Box 12 DD on all W-2’s to report the aggregate cost of an employer sponsored health care plan, not including dental and vision. Employers with less than 250 W-2’s in the prior year will be eligible for relief. Please contact your Customer Service Representative or our Support department with any questions at: 1-888-871-9028.
Employee of the Month
November
Jennifer Smart
Submit right on the WEB with AAP EXPRESS!
AAP is excited to offer our clients a web based solution for submitting their payroll: AAP EXPRESS ONLINE PAYROLL. With AAP EXPRESS phoning in payroll on someone else’s schedule is a thing of the past. Our web based service lets you choose when and where to process. The extra online convenience comes with complete customer support available by phone, or email. Your business can also expect the same Tax Filing and Direct Deposit features. AAP EXPRESS ONLINE PAYROLL supports basic payroll submission, functions, and reporting and is the elite product for small/medium sized businesses.
If you would like to schedule a demonstration of AAP EXPRESS or learn more about this exceptional product please contact our support department at 843-851-2289 or by email at Support@aappayroll.com.
National Criminal Searches: Instantly and Affordably
Through our partnership with National Crime Search, we now offer instant and affordable background searches. Our partnership provides you with secure and instant access to a web-based national criminal and sex offender directory. This directory includes over 507 million criminal records covering all 50 states plus the District of Columbia. Our partnership also allows us to work with National Criminal Search in order to customize a package just for you.
SC offers FREE OSHA Training
Addressing safety needs of your company can be difficult, but with the South Carolina Office of OSHA Voluntary Programs you can find some relief. SC OSHA’s training programs and presentations are designed to reduce, or eliminate, safety and health hazards in the workplace. Training is available to employers and employees of both the public and private sector upon request. Their staff offers comprehensive, hands-on help for employers at no cost to your company. You are able to participate in one of the Regional Training Programs or training may occur right on-site if you have the participation of 12 or more employees. For more information please visit SC OSHA’s website at: www.scosha.llronline.com.
The next scheduled training : November 16th and 17th of 2011.
What to do with Uncollected Checks?
With the end of the year coming you may notice that you have uncollected checks that were not picked up or were returned as “address unknown”. In deciding how to handle this situation consider the following:
Aside from sending the check certified-mail to the employee/former employee, call the employee to give notification that their paycheck was uncollected. Always remember to document your actions.
Forward the check to the State Bureau of Unclaimed Property. Remember, the check is NOT property of the employer. The state will hold the item until a claim is filed helping the employer to satisfy their fiduciary responsibilities.
Report the wages on the W-2 form and pay all taxes due as if the payroll check had been cashed in a timely manner. Also, file and pay associated state unemployment and taxes pertaining to the uncollected check in order to avoid penalties.
Employee of the Quarter
Katie Preslar
Employee of the Month
Rosanna Cricks
AAP– Offering a pain free solution to Workers Compensation
AAP strives to help our clients reduce costs and to stay competitive in today’s market by offering integrated payroll solutions. While Worker’s Compensation can be a pain for anyone, AAP has trusted partners to offer just the pain reliever you may not have been aware of: Pay-As-You-Go Worker’s Compensation. The greatest value to Pay-As-You-Go is that the benefits are tangible: improved cash flow to focus more resources on running your business! Other advantages include:
Improved efficiency.
Automatic payments through payroll deduction.
Minimization of year-end audit surprises.
No premium down-payment.
*Not all businesses qualify-please contact AAP to inquire about your eligibility.
Requirement for Employers: New NLRA Notice
As of November 14, 2011, most private sector employers are required to post a notice advising employees of their rights under the National Labor Relations Act in the same fashion as other notifications of workplace rights and employer rules and policies. For a complete list of posting requirements and a complete description of which employers are covered please see the National Labor Relations Board’s website and FAQ’s section.
Wage and Labor posters are a free service that AAP can provide your company. Please contact our support department for your complimentary posters.
Down, Down, Down: Unemployment Goes Down for SC!
Thousands of employers in the state of SC have been breathing a sigh of relief since the announcement that the unemployment rate was going down. Heading into the month of October, all employers should have received their revised unemployment rates. As always, please forward your revised tax rate and any tax notices promptly to your Customer Service Representative or to Support@aappayroll.com to ensure timely and appropriate adjustment to your third quarter tax rate.
Take a “Tip” from AAP
Legislation requires companies hiring tipped employees to part-take in and report accurate tipping and wage make-up policies. By doing so many companies who track tips have the potential to receive a “tip credit” at the end of the year. Keep in mind that eligibility and forms vary upon the set up of your company. Your accountant can advise you as to your eligibility status. Upon request AAP is able to provide a tip credit report for use on your tax return. If eligible, please contact our support department: support@aappayroll.com .
Quarterly Reports right to your Inbox!
AAP is going to be utilizing our VMR: Virtual Mail Room in order to better serve our clients and keep up with the rapid technological progression of our times. VMR gives our clients the advantage of receiving their quarterly reports in an instant to their email inboxes and password protected, with the added opportunity to send a copy on to others such as another member of the team, CPA, and/or bookkeeper. Setting our clients up is an on-going process. If you would like to participate and have not been contacted please feel free to notify our Customer Care Team!
Employee of the Month
August
DC Hedleston
Unemployment Tax Relief for SC and In Employers
Finally, some good news in the payroll tax column of your general ledgers! South Carolina and Indiana has released new legislation reducing the state unemployment rates for thousands of employers.
South Carolina employers were distributed a preliminary revised Tax Table for 2011 and should have their recalculated rate notices issued on or before September 16th thanks to a $146 million appropriation made by state legislation. The wage base remains unchanged at $10,000. Employers can track updates and receive more information by going to www.dew.sc.gov/emp-land.asp or www.scbos.gov.
Indiana also reduced the premium rate schedule , retroactive to January 1, 2011. They have lowered the rate from Schedule B to Schedule E through the year 2020. The wage base remains at $9500, but the new law creates a solvency surcharge of 13% of your premium that is paid directly to the federal government trust fund loan. Employers should see their revised rates by around mid-September.
AAP cannot estimate your revised rate based on the preliminary outlines. As always, please forward any tax notices promptly to your Customer Service Representative or to Support@aappayroll.com to ensure timely and appropriate adjustment to your third quarter tax rate.
E-Notify: Automated Unemployment Claims For SC
In an effort to accelerate the employer reply process, SC has implemented E-Notify, an automated system for receiving and responding to unemployment claims. Accessible through the South Carolina Business One Stop (SCBOS) website, employers paying unemployment insurance taxes will be required to respond to all unemployment claims using the online access by July 28, 2011.
Each employer should receive or should have previously received an official notification from the SC Department of Employment and Workforce detailing common questions and setup instructions.
Employers will need to determine and register your E-Nofity contacts at www.scbos.sc.gov/EmployerReply.aspx in order to begin utilizing the service.
Paycards—No Cost Employer Solutions For Employees
AAP has recently partnered with Global Cash Card to offer our clients a no cost solution for employees who do not have traditional banking options or find the direct deposit account fees too high at standard banking institutions. AAP will set up participating employees and they see funds in their accounts on pay day! No time distributing paper checks for you! No worries or time spent for employees to get to their deposited on pay day!
Participation can be free to employers. Employees reap the benefits of financial freedom! Our experts at Global will train your staff on how to receive their balances via text, track their spending, pay bills, and minimize fees. Employees can even choose to have multiple cards.
Call or email us at Support @aappayroll.com to receive more information!
New Pending Tax Liability Report Now Available
Our IT Department has developed a quick and simple report for identifying any outstanding tax responsibilities. Each payroll, you should receive your Liabilities By Period Report, which calculates all tax liabilities per quarter, with details on dates paid and dates pending payments.
In an effort to answer increasing client request for a more simplified version of this report, our IT Department constructed a straightforward version of the previous report. The new Pending Tax Liabilities Report allows you to see any upcoming, unpaid tax totals and due dates quickly and easily.
Ask your Customer Service Representative to send you a sample report today!
Employee of the Month
July
Lynn Marshall
Employee of the Quarter
Ashley Bond
Corporate Payroll Office
703 N. Main St., Ste. C
Summerville, SC 29483
sales@aappayroll.com
North Carolina Payroll Office
148 Wind Chime Ct.
Raleigh, NC 27615
sales@aappayroll.com
