Employment Records to Keep

What Records Are Required: Every covered employer must keep certain records for each non-exempt worker. The law requires this information to be accurate. The following is a listing of the basic records that an employer must maintain:

1. - Employee's full name and social security number.
2. - Address, including zip code.
3. - Birth date, if younger than 19.
4. - Sex and occupation.
5. - Time and day of week when employee's workweek begins.
6. - Hours worked each day.
7. - Total hours worked each workweek.
8. - Basis on which employee's wages are paid (e.g., "$9 per hour", "$440 a week", "piecework")
9. - Regular hourly pay rate.
10. - Total daily or weekly straight-time earnings.
11. - Total overtime earnings for the workweek.
12. - All additions to or deductions from the employee's wages
13. - Total wages paid each pay period.
14. - Date of payment and the pay period covered by the payment.

How Long Records Should Be Retained:

Each employer shall preserve for at least three years payroll records and collective bargaining agreements. Records on which wage computations are based should be retained for two years, i.e., time cards and piece work tickets, wage rate tables, work and time schedules, and records of additions to or deductions from wages.

Employment Tax Recordkeeping

Records should include:

1. - Your employer identification number.
2. - Amounts and dates of all wage, annuity, and pension payments.
3. - Amounts of tips reported.
4. - The fair market value of in-kind wages paid.
5. - Names, addresses, social security numbers, and occupations of employees and recipients.
6. - Any employee copies of Form W-2 that were returned to you as undeliverable.
7. - Dates of employment.
8. - Periods for which employees and recipients were paid while absent due to sickness or injury and the amount and weekly rate of payments you or third-party payers made to them.
9. - Copies of employees' and recipients' income tax withholding allowance certificates (Forms W-4, W-4P, W-4S, and W-4V).
10. - Dates and amounts of tax deposits you made.
11. - Copies of returns filed.
12. - Records of allocated tips.
13. - Records of fringe benefits provided, including substantiation.

How Long Records Should Be Retained:

Keep all records of employment taxes for at least four years after filing the 4th quarter for the year.