- On November 27, 2023
Year-end can be the busiest time of the year for leaders and HR professionals. Between closing out open items for the current year and planning for success in the year ahead, it can be a daunting task. With so many areas to review, where should organizations start?
Review and update company policies – Year-end is a great time to review internal company documents including the employee handbook, onboarding, termination, and benefits documents. Year-end review of company policies is a crucial part of an organization’s compliance efforts to ensure alignment with any new employment laws at the federal, state and local level, which often go into effect on January 1st of the new year. Once internal documents have been reviewed and updated for compliance, Employers aren’t done quite yet. The next step should focus on developing a consistent method of communication and acknowledgment to provide employees with applicable updates.
Prepare and file EEO-1 report – Employers subject to EEO-1 reporting should be prepared to meet the December 5, 2023, reporting deadline for 2022 data.
Review of employee compensation – While there are only a handful of states that currently have annual pay equity reporting requirements, an increasing number of state and local laws require pay transparency in some form. Employers should make a practice of reviewing their employee compensation on an annual basis for compliance with updates to minimum wage, federal and state exemption threshold increases and availability of pay bands for disclosure where required by law.
Review payroll data for year-end tax filings and ACA reporting – Employers should review any outstanding tax notices or open payroll-related tasks for the 2023 year that may impact annual filings. Prior to finalizing w-2s, a review of taxable and non-taxable earnings should be conducted for accuracy of reporting. In addition to w-2 employee reporting, employers can’t forget about reporting independent contractor payments and providing applicable 1099 forms. While ACA reporting is not due until 2024, employers should review tracked employee information for accuracy and have an established plan for required IRS filing and distribution of employee 1095s. If utilizing a payroll service for filing, employers need to take note of the deadlines for submission and approval of ACA data to avoid additional fees.
Plan ahead for 2024 – As important as a strong close to the year is, it is just as important to plan ahead and set the organization up for a successful 2024. Operational leaders and HR should partner to review goals and initiatives for the upcoming year. Along with the standard reporting deadlines and holiday calendar updates, this may also include anticipated training – both required and for team development, staffing projections for an increase in headcount and company engagement or teambuilding opportunities.
Many of these tasks may seem overwhelming with competing priorities that come with the holidays and closing out the year. With ExpressLink, you have access to an HR team that can help you assist your clients with their open enrollments and ensure that employees fully understand their benefit options. Please contact your ExpressLink representative for more information.