RESOURCES

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To Print or Not To Print….W-2s

by: Cathey Pangborn


There is a lot of buzz in the HR and Payroll world to be paperless now a day. Therefore the question is can we provide our employees with their W-2s electronically legally.

What does the IRS say (IRS Pub 15-A)

IRS regulations allow employers to provide the option of electronic W-2 forms instead of a paper format. It requires that each employee give his/her consent to receive an electronic W-2 in place of a paper version. You must also notify your employees of all hardware and software requirements to receive the form.

You must also meet the following disclosure requirements to provide electronic W-2 forms:

  • - The employee must be informed that he/she will receive a paper W-2 if consent is not given to receive electronically
  • - The employee must be informed of the scope and duration of the consent.
  • - The employee must be informed of any procedure for obtaining a paper copy of his/her W-2 form and whether or not the request for a paper statement is treated as a withdrawal of his or her consent to receiving his/her W-2 form electronically.
  • - The employee must be notified about how to withdraw a consent and the effective date and manner by which the employee will confirm the withdrawn consent. The employee must also be notified that the withdrawn consent does not apply to the previously issued W-2 form.
  • - The employee must be informed about any conditions under which electronic W-2 forms will no longer be furnished (for example, termination of employment).
  • - The employee must be informed of any procedures for updating his/her contact information that enables the employer to provide the electronic W-2 form.
  • - The employer must notify the employee of any changes in the employer’s contact information.

The due date for electronic W-2s is the same as the paper forms – January 31st.

With all that said now look at the advantages to filing electronically:

  • - Minimizes the potential for identity theft by providing a more secure way for employees to access their form compared to having the form mailed to their address of record.
  • - Avoid lost or stolen statement in the mail
  • - Contributes to cost savings to the company since no postage is involved (printing (toner), postage and time)
  • - Ability to print multiple copies
  • - Possibly could have access to their form earlier than the deadline since there is no printing, stuffing and running postage involved
  • - Access at any time for reprints or income verifications

The last thing needed is a way to deliver them. There are several ways to deliver W-2s electronically, most commonly is an employee self-service portal. Here is where you can provide the employee with a link to download their W-2……but only after you have their consent! One option to delivering them electronically is a third party by the name of Aatrix.

Regardless of Abra Suite or HRMS, Aatrix is available to assist in processing your yearend forms electronically. Sage Payroll Tax Forms and eFilling is made easy by Aatrix by eliminating the time and resources used to create reports manually. Once you have balanced your figures for the year, reports are automatically completed, reviewed and edited on screen and then e-filed. The service insures 100% compliance by providing a guaranteed delivery method and eliminates many filing expenses associated with printing and mailing.

Contact our Sales department if you want the current pricing for Aatrix Services.

W-2 eFile Options by Aatrix

Complete W-2 eFile Service
W-2s are eFiled to the appropriate State and Federal agencies. Employee Copies are printed and mailed directly to your employees as well as posted to a secure website for immediate access.

Express W-2 eFile Service
W-2s are eFiled to the appropriate State and Federal agencies. Employees are provided W-2s electronically only via a secure website allowing for immediate access.

Federal & State
W-2s are eFiled to Federal and State agencies

Federal Only
Federal W-2s and W-3 only

State Only
State W-2s and required reconciliation forms only

Local W-2 eFile Service
Supported local W-2s can be eFiled in combination with any eFile option.

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