Stay Ahead of Law Changes & Protect Yourself Against Being Audited: Corporate Transparency Act and Reasonable Compensation

Your Payroll Compliance Checklist

Unlocking Payroll Success with a Compliance Checklist

When setting up payroll for your business, there are a few federal and state requirements that you will need to take care of. Payroll compliance isn’t a one-time task you can easily check off and remaining compliant is a big job. You must make sure your business is compliant with all payroll laws year-round. To keep track of what you need to do, use a payroll compliance checklist.

  1. Fill out employee onboarding forms

When you hire a new employee, you’ll need to gather some info. First, they’ll need to fill out a W-4 form to tell you how much income tax they want withheld from their paychecks. Employers must withhold a mandated percentage of employee wages and pay it to the federal government. Next, they’ll need to fill out the I-9 form to prove they are allowed to work in the U.S. With the I-9 form you’ll also need to check their passport or other list of acceptable documents, as outlined in the instructions on the form. Once these are complete, make sure to store them in your records.

  1. Report your new hires to the state

When you hire a new employee, you must report to the state where they will be working. The state then uses this information to find people who owe government-mandated debts, such as child support. Then the employer is required to garnish (withhold a portion) of their wages. This report should be filed by the due date required in your state (usually within 20 days of hire). You can choose to have your payroll company file this report for you.

  1. Get Workers’ Compensation Insurance

Almost every state requires employers to have Workers’ Compensation insurance. However, requirements to obtain Workers’ Compensation vary state by state. Depending on your state rules, you can get this insurance through a commercial carrier or through your state’s workers’ compensation insurance program. Workers’ comp insurance provides benefits to employees who are involved in a work-related injury, and it covers your business in case of employee illness or injuries that occur while your employees are on the job.

  1. Get workplace posters

There are certain posters that you must post in your offices depending on the city, county and state where your business is located. The posters are designed to help employers comply with the poster requirements of several laws administered by the Department of Labor (DOL). These laws require employers to display official DOL posters where employees can readily observe them. DOL provides the posters at no cost to employers. Check out this Department of Labor’s Poster Advisor tool to find the required posters for your location and get printable versions of them. Some online companies, like the Labor Law Poster Store, also offer these posters for purchase.

  1. Follow employment and labor law requirements

It is a good idea to familiarize yourself with labor laws that may apply to you, such as minimum wage, wage garnishments, termination issues, and contractors classification. You can find a great resource for this info at the  Department of Labor’s Employer Guide.

  1. Health Insurance

If you offer health insurance to your team, make sure that you meet ACA regulations. Most payroll companies will help keep you complaint with ACA regulations by managing your pre-tax payroll deductions, offering a 1095-C to applicable companies, providing your newly hired employees with the ACA Marketplace Notice, and keeping you aligned with your current policies and insurance carrier.

Susan Claybrook
Client Liaison

The Molen & Associates Difference

Mike Forsyth

“Super helpful and timely. This is our first year with them and we look forward to trusting them with our taxes and business books for years to come.”

Caitlin Daulong

“Molen & Associates is amazing! They run an incredibly streamlined process, which makes filing taxes a breeze. So impressed with their attention to detail, organization, and swift execution every year. Cannot recommend them enough!”

Sy Sahrai

“I’ve been with Mr. Molen’s company for few years and I felt treated like family respect and dignity. They are caring, professional and honest, which hard to find these days. Love working with them.”

Divorce and Taxes: Filing Status, Alimony, and Dependents

Divorce and Taxes: Filing Status, Alimony, and Dependents Divorce brings significant emotional and financial changes, and one area that’s often overlooked is how it impacts your taxes. From determining your filing status to understanding alimony rules and claiming...

Breaking Down the One Big Beautiful Bill (OBBB): What the 2025 Tax Reform Means for You

On July 1, 2025, the U.S. Senate passed one of the most significant tax reform bills in recent history: the One Big Beautiful Bill (OBBB). With the House expected to approve the final version shortly and a presidential signature likely to follow, this sweeping...

Major life changes and taxes

How Major Life Changes Affect Your Taxes (Hint: You’re Going to Like It) Major life changes and taxes—like getting married, moving, or having a baby—are exciting milestones that often come with significant financial adjustments. But here’s some good news: these events...

What happens if you don’t file on time

Got IRS Penalties? Know the Rules, Pay Nothing If you’ve received a penalty notice from the IRS, don’t rush to pay it. There are ways to reduce or even eliminate IRS penalties if you know how to approach the situation. Whether you’re facing late filing, late payment,...

Want to deduct your dog? Here’s how?

Three Ways to Deduct Your Dog, Cat, or Other Animal Expenses Owning a pet is often an expensive yet rewarding experience, with annual costs for dogs ranging from $1,270 to $2,800. While the love and companionship pets provide are invaluable, the IRS views their...

Claim $1600 Stimulus Check – IRS 2025 Rebate & Eligibility

As millions of Americans continue to grapple with financial challenges post-pandemic, questions surrounding the $1600 stimulus check, IRS 2025 payments, and the Recovery Rebate Credit are trending once again. Whether you missed out on a past stimulus payment or are...

Bookkeeper vs. Accountant: What’s the Difference?

Bookkeeper vs. Accountant: What's the Difference? Managing your business’s finances is essential for long-term success, but understanding the roles of a bookkeeper and an accountant can be confusing. In the debate of Bookkeeper vs. Accountant: What's the Difference?,...

How to Set Up Your IRS Online Account with ID.me

ID.me and the IRS Login System ID.me is a third-party identity verification service that the IRS uses to provide secure access to certain online tools and services. If you need to access your IRS account online, such as to view your tax records, get your transcripts,...

What Is the One Big Beautiful Bill Act? Key Tax Changes for 2025 and Beyond

Big Beautiful Bill Act Changes Your Taxes If you’re a taxpayer, business owner, or financial advisor, the “One Big Beautiful Bill Act” (OBBB) could impact your tax strategy in major ways. Passed by the House of Representatives in May 2025, this sweeping tax reform...

5 Signs Your Business Needs Accounting Help

5 Signs Your Business Needs Accounting Help Running a successful business requires more than a great product or service—you need a solid handle on your finances. However, many small business owners and self-employed professionals find themselves overwhelmed by the...

Request an Appointment Today

2 + 10 =

Call us at

Share This