Preparing for Year-End
Answers to some of the most common questions related to preparing for year-end processing.
How many forms should I order?
If you plan to use the plain-paper format of the W-2 and file electronically, you don't need to order forms.
If you do need to order forms, a reliable way to determine how many forms might be needed is to perform the Build W-2 Forms and print the "totals only" format of the W-2 Form Listing. This report includes "# of W-2s" on the page.
Do I need any programming modifications in order to produce W-2s and 1099s at the end of this year?
Please load Spectrum 2023 R3 for up-to-date Year-End programming on W-2s, 1099s, and other year-end functions.
How do I show life insurance in excess of $50,000 and/or personal use of company-owned automobile on the W-2?
The IRS publishes a table detailing the amount of earnings to be applied. Contact your accountant for more information regarding your company's specific responsibility. See Year Round Benefit Setup for Year-End Reporting for more information on recording benefits in your Spectrum application.
What can I do before my final payroll cycle this year to prepare for year-end?
There are several things you can do now to make year-end processing easier:
- Review these Help pages carefully.
- Order forms if you don't plan to use the plain-paper W-2 format.
- Print copies of the Notice to Employee if you plan to issue plain-paper W-2s.
- Collect information on state, county, and local tax changes.
- Record benefit accumulations for each employee. Consult your CPA for more detailed information on your company's specific obligation.
- Perform a W-2 pre-test.
- Print the Wage and Tax History Report in summary for each state and verify that no major corrections are needed.
- Update to the Spectrum year-end version (R3).
What is a W-2 pre-test?
The W-2 pre-test is a test performed before the end of the tax year. We recommend you perform a pretest of your W-2 processing, particularly if you are a new Spectrum user or operating in a different state for the first time. This can be done well in advance of year-end - it is not necessary to wait until January 2024 to begin the review process.
- Run the Build W-2 Forms function.
- Review the year-to-date 2023 information for accuracy.
- After the final payroll cycle of the year, run the Build W-2 Forms again; this clears all information and rebuilds the file automatically.
What should I do if I find a problem during the pre-test?
If you find a problem and you are not sure how to correct it, you may submit a case through the Viewpoint Customer Portal.