• Home
  • Services
    • Cash Flow Forecast
    • PPP Loan Forgiveness Assistance
    • Accounting Services
    • Tax Preparation and Planning
    • Tax Resolution
      • When Your Spouse Owes the IRS
    • Bookkeeping
    • Payroll
    • Advisory Services
    • Consulting for QuickBooks®
    • Training for QuickBooks®
    • Xero Cloud Accounting
    • Cloud Accounting
  • QuickBooks Products
    • QuickBooks Online
    • QuickBooks Online Advanced
    • QuickBooks Desktop
    • QuickBooks Enterprise Solutions
    • QuickBooks Point of Sale
    • QuickBooks Payments
  • Industries
    • Services
    • Construction
    • Medical and Health Care
    • Real Estate
    • Non Profit
    • Retail
    • Restaurant
    • Manufacturing
    • Wholesalers and Distributors
    • eCommerce
  • Resources
    • Resources
    • Mobile Accounting
  • Testimonials
  • Blog
  • About
    • About
    • Send Us Your Referrals
  • Contact
928-337-3372
carol@carolsmithcpa.com
August 16, 2018

How to Survive a Worker’s Comp Audit

Carol Smith Accounting, Management Tips

If you have employees, you have the distinct honor once per year of being part of a worker’s compensation audit.  You likely receive a form in the mail, an email request, or a phone call that will ask you about your payroll numbers and employees for the prior year. 

Worker’s compensation is an insurance program that covers employees in the case they get hurt on the job.  Each employee receives a classification code that describes the type of work they do, and a rate is figured based on the classification and its risk factors.  

If you’ve hired anyone throughout the year, you might need to get a new classification by contacting your provider. If you have employees working in different locations (especially different states), that matters too.

The audit form will typically ask for gross payroll numbers by employee or by category or location of employee. That’s easy enough, but seldom does the policy run along your fiscal year, so the payroll figure needs to be prorated to match the policy period. 

Your numbers need to tie back to the numbers reported on your quarterly payroll reports for both state and federal. The provider may also want copies of your 941s and your state payroll reports. 

Once you’ve submitted your numbers, the insurance provider will calculate whether they owe you or you owe them additional fees. 

The worker’s compensation audit happens every year (even if you pay worker’s comp premiums each pay period, some companies still request an annual audit).  It’s not difficult, but it is time-consuming. If this is something you’d like our help with, please feel free to reach out.  

Setting Up Products and Services Should You Have a Financial Dashboard?

Related Posts

Accounting, Blog, Business Tips, News

PPP January 2021 Update

Business Development, Business Financial Planning, Business Growth, Management Tips

Building a Continuity Plan for Your Business

Accounting, Cool Tech Tools

Cool Tech Tools: Fathom

Monthly Archives

Categories

  • Accounting
  • Blog
  • Bookkeeping Tips
  • Business Development
  • Business Financial Planning
  • Business Growth
  • Business Tips
  • Cool Tech Tools
  • Cost-Savings Tips
  • Customer Service Tips
  • cybersecurity
  • Decision-Making Tips
  • Expense Reduction Tips
  • Management Tips
  • News
  • Payroll Tips
  • Personal Development
  • Productivity Tips
  • Profitability Tips
  • Profits
  • Tax
  • Time Management Tips
  • Uncategorized
  • Home
  • Services
  • QuickBooks Products
  • Industries
  • Resources
  • Testimonials
  • Blog
  • About
  • Contact
  • Pages

Contact Us

Tax Services, Accounting Services and services for QuickBooks®

Carol E. Smith

37000 Highway 61, Suite A Concho, AZ
928-337-3372

carol@carolsmithcpa.com

Client Login

Concho, AZ CPA Firm Client Login


Intuit, QuickBooks, and QuickBooks ProAdvisor are registered trademarks of Intuit Inc. Used with permission under the QuickBooks ProAdvisor Agreement.
Copyright Carol E. Smith 2020 | Site Design by Accelerator Websites