What This Means for You, Business Owner: Payroll is one of the highest‑risk areas of your business — and assuming it’s “handled” without verification is where problems start.
One of the most common things business owners say is:
“Payroll is handled.”
Sometimes that’s true. Sometimes it just means someone else is pushing buttons.
This post is part of our 3‑month December–February series focused on helping business owners work with their bookkeeper and payroll provider — not assume compliance without confirmation.
Here’s the part many owners miss:
Even if you use a payroll service, you are still the responsible party. The IRS and state agencies don’t hold payroll companies accountable — they hold you accountable.
Your payroll provider may:
- Process payroll runs
- File payroll tax forms
- Draft payroll tax payments
But that does not automatically mean:
- Payments posted correctly to IRS or state accounts
- Liabilities were fully paid
- Notices were resolved
- Accounts are clean and reconciled
That verification step matters.
A healthy year‑end payroll check includes:
- Confirming payroll tax payments posted to the IRS via your EFTPS account
- Confirming state payroll tax payments posted to your state agency (for example, EDD if you’re in California)
- Reviewing year‑to‑date payroll and tax totals
- Reconciling payroll liability accounts
- Addressing any notices before January deadlines
This is where access matters.
If your bookkeeper is helping verify payroll, ask:
- Do they have access to your EFTPS account?
- Do they have access to your state payroll tax account?
If not, verification can’t happen — even if payroll is being processed correctly.
Waiting until January turns small issues into urgent ones.
Key takeaway:
Payroll isn’t “handled” until you’ve verified that filings, payments, and balances actually match.
Your action item:
Log into your EFTPS account and your state payroll tax agency account to confirm payments are posting correctly.
Then check with your bookkeeper:
- Are they already verifying these accounts?
- Do they have the access they need to do so?
If the answer is no, add this to your year‑end meeting discussion points so responsibilities and access are clearly defined before January.
If you haven’t already, the Year‑End Financial Checklist includes payroll verification steps that help you catch issues before year‑end.
No bookkeeper yet? Payroll is one of the areas where mistakes get expensive fast. This series will help you understand what needs oversight — even when tasks are outsourced.
