In a pay stub, information includes how much the employee has earned on a certain wage period and shows the amounts before and after tax has been deducted. There are some states that require employers to provide pay stubs for their employees, and in order to comply with these requirements, then employers can use pay stub options online.
In a pay stub, basic data fields are included that allows you to document your earnings and deductions. Items can be left blank or deleted from a pay stub template if you don’t use them. Employees can now print their own payroll reports as the manage their account information online or through a mobile app.
State law dictates what is to be included in a pay stub. When there are disputes or audits, pay stub will prove that you have been paid your salary at a certain period of time. Ensure that your specific state’s requirements for what to include on your employees’ pay stubs are all there.
Useful information should be included in your pay stub templates including number of hours worked during the pay period, year-to-date balances and paid time off taken. Sometimes they include specific descriptions on the purpose of pre and post-tax deductions like medical insurance, commuter benefits, life insurance, or uniform fees.
The blanks in a pay stub template are easy to fill in. Filling these blanks will assure you that you are documenting your employees’ gross earnings, deductions, and net pay correctly. There are many websites today that offer different free pay stub templates that you can use.
And you don’t only find pay stub templates online but also pay stub generators that allow you to input your pay stub data manually. If you look online, you will find sites offering pay stub generators for a few dollars and here you can choose your own professional looking template to use.
Payroll information should be retained for three years as required by the DOL but they don’t require pay stub retention. The IRS requires tax documentation be retained for four years and other states require retention for six years.
Many starting business do not use payroll services but pay their employees with checks or cash. If you are an employers, then you should see to it that you document the payments that you have given to your employees including taxes and deductions. You can meet the requirements of the DOL if you have payroll documentation like pay stubs even if your state does not require it.
Using a payroll service can help you fulfill the requirements of your state to provide pay stubs to your employees. Today, there are already payroll software that helps you calculate and file payroll taxes, and pays employees through direct deposit or printed checks. This can also be used by your employees to print their own payroll reports and pay stubs.
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