Denver Business Daily

How do I file payroll taxes for employees?

I am in a Salon Management class and I was told that i needed to know what payroll taxes I file and how to do that... if anyone could help i would be very appreciative

Public Comments

1. Get a copy of Circular E from tthe IRS. That'll splain all the Federal stuff.
2. It's a long answer - send me an email with specific questions. Generally speaking, you need to file Federal, state and local tax witholding reports quarterly.
3. do you mean withholding taxes? you have to file a return with the IRS every quarter and remit the taxes withheld. coordinate with them.
4. Get a copy of IRS Pub 15, Circular E from the IRS website. You may wish to consult with a local CPA or EA to get up and running. Payroll taxes is a complex subject area and the penalties for non-compliance are severe. You don't want to risk even innocent mistakes!
5. Boston gives very sound advice about seeking professional help. While federal information is readily available, your state has requirements for withholding, unemployment, and workers compensation coverage. A local professional will be able to complete your registrations, and either do your quarterly payroll returns or show you how to do them. Federal and state penalties for payroll mistakes and violations are both steep and the most common ones I see. Many business owners do what they think is reasonable, only to find out after a number of months they were in violation. Be careful to do things correctly from the start.
6. Hiring a payroll service to do the bookwork and make sure regular timely paments are made will save you headaches and keep you out of trouble. A payroll service will also help save you from meritless unemployment insurance claims. It does not take much for a professional to earn his keep.
7. the federal income and social security taxes themselves have to be deposited/mailed in anywhere from 3 days after payday to monthly depending on the volume of taxes/number of employees you have - state and local wage taxes could be required to be paid anywhere from weekly to quarterly, plus you'll have unemployment taxes to pay quarterly