The Peck Group, LC
  • Comprehensive Tax Law Representation Since 1995

    We handle every aspect of tax law: preparing tax returns, representing clients during audits, resolving IRS and state tax controversies, and creating tax planning strategies for the future.

  • Problems With The IRS Or State Tax

    Our attorneys are committed to providing efficient and effective tax solutions for individuals and businesses in Georgia and nationwide.

  • Planning For The Future

    Our lawyers help individuals and businesses with all aspects of estate and tax planning. We help our clients use proactive strategies to minimize tax implications in the future

  • Changing The Balance Of Power

    Does it feel like the government has all the power? Taxpayers have rights, too. We use our knowledge of tax law to shift the balance of power and ensure that your rights are protected.

  • Tax Solutions … And Peace Of Mind

Miscalculating overtime and other payroll errors to avoid

Let us say you are a new business owner with several employees. You try to follow the IRS's guidelines concerning timely payroll deposits.

You do your best to absorb pertinent information, but you grow concerned about making payroll mistakes. Here are three errors to avoid.

Delay in running payroll

Never let payday slide. Your employees expect consistent paydays, so you must process your payroll on time. If you run late, you are likely to hurry through the process, which increases the risk of underpaying or overpaying an employee, thus causing mistakes that will cost you precious time to correct and the possibility of having to pay a fine.

Calculating overtime incorrectly

To comply with the regulations set by the Fair Labor Standards Act, you must pay employees a premium for overtime work. Since you must follow both local and state wage and hour laws, calculating overtime may not be as easy as you think. The FLSA offers a guide that helps you understand Georgia rules.

Falling behind on filing

You may make payroll tax deposits monthly or biweekly, so you need to stay abreast of the requirements for your business, follow the guidelines and submit your deposits on time. The IRS has a penalty system that applies to late deposits. It begins with a 2 percent penalty for deposits one to five days late. If your deposit is more than 15 days late, you can expect a penalty of 10 percent.

Payroll tax problems are not limited to new business ventures. They can happen to companies of all sizes, some of which have existed for many years. There can be a number of reasons behind the failure to pay payroll taxes on time, including a company’s severe financial reversals. There are legal options to explore when you need help with a compliance issue, but you must act without delay if you are to mitigate IRS penalties.

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The Peck Group, LC
5855 Sandy Springs Circle N.E., Suite 190
Atlanta, GA 30328

Phone: 770-884-6914
Fax: 770-933-2369
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