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If your download does not begin soon, please click hereAbout the CommitteeNewsSubcommitteesHearingsLegislationPrivacy PolicyCommittee on Appropriations Room S-128, The Capitol, Washington, D.C. 20510 (202) 224-7363
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Use this checklist to install the year-end maintenance and update, to close the payroll year, to update your Payroll system with the 2023 Payroll tax changes, and to print 2022 wage statements before performing 2023 pay runs.
Use this procedure to close the Payroll year. After closing the year, you need to install the Payroll tax update before processing 2023 pay runs. There are two year-end checklists you can use to close the year for payroll. The steps in this section correspond most closely to Printing 2022 statements before processing 2023 pay runs section. For more information, see the checklists in Chapter 2, "Payroll year-end checklists.
It's important that you complete all pay runs for 2022 before you install a 2023 Payroll tax update. If you install a 2023 Payroll tax update before completing your pay runs, taxes will be calculated at 2023 rates for the remainder of the 2022 pay runs.
2023 Payroll tax updates can be installed any time after the Year-end Wage file has been created. However, if you create the Year-end Wage file, then install 2023 updates and re-create the 2022 year-end file, your FICA limits may be incorrect.
Verify W-2 and 1099-R statement information. If you're printing W-2 statements before closing the year 2022 or after processing a 2023 pay run, we suggest that you verify that the W-2 and 1099-R statement information is correct before you close the payroll year. For information, see Printing the Year-end Wage Report. You also might want to make changes to Your W-2 records. For information, see Editing W-2 records.
You also can print W-2 statements and 1099-R forms and create an EFW2 transmission file after you've installed the 2023 Tax Update and performed pay runs for the year 2023. To view the checklist, see Processing 2023 pay runs before printing 2022 statements.
You can install 2023 tax tables any time after you've created the Year-end Wage file. You also may need to process 2023 pay runs before printing 2022 wage statements. For more information, see the checklist Processing 2023 pay runs before printing 2022 statements.
Setting up periods for the future fiscal year allows you to enter transactions into the 2023 fiscal year before closing the 2022 fiscal year. Enter the number and length of each company's open fiscal periods for 2023 in the Fiscal Periods Setup window.
The Taxpayer First Act mandates electronic filing of IRS forms including W-2s.Beginning in 2022, if you send 100 or more W-2s you must send them electronically, the Social Security Administration (SSA) requires you to create and submit federal W-2 wage reports electronically. In 2023 that limit is lowered to 10.
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