Before you take time off for the holidays, take a few moments to ensure your company payroll is complete for the year. We’ve compiled a handy checklist you can use to make the process much easier.

Download PDF checklist:  Year End Checklist- PaymentEvolution

Payroll year end checklist

1. Check that CPP, QPP, EI, QPIP, federal and provincial income tax amounts do not exceed 2014 maximum limits.
   1. Employee’s Portion:
      • CPP: $2,425.50; EI: $913.68;
      • Quebec QPP: $2535.75; EI: $743.58; QPIP: $385.71;Employer’s Portion:
      • CPP: $2,425.50; EI: $1279.15;
      • Quebec QPP: $2535.75; EI: $1041.01; QPIP: $539.58;
2. Address employees’ C/QPP contributions, who turned 18 or 70 in the year
3. Verify active employee data (names and addresses); Validate social insurance numbers (SINs), especially for those who are non-residents or citizens (ie SIN beginning with the number “9” and/or those with an expiry date)
4. Verify your Business Number (BN) or Québec Enterprise Number (NEQ) and address
5. Make adjustments (any bonus or commissions have not been paid out) to last two final pay cheques and remittances
6. • Generate/edit T4 and RL-1 (QC)
     • Make sure Box 24 and Box 26 of the T4 are completed even if they are zero; enter “0.00” in Box 24 and 26 if zero
     • Make sure Box 24 not exceed the annual maximum insurable earnings ($48,600.00)
     • Make sure Box 26 not exceed the annual maximum pensionable earnings ($52,500.00)
     • Make sure Box G and I of the RL-1 are completed even if they are zero; enter “0.00” in Box G and I if zero
     • Make sure Box G not exceed the annual maximum pensionable earnings ($52,500.00)
     • Make sure Box I not exceed the annual maximum insurable earnings ($69,000.00)

   If there is no amount or code to report in a box leave it blank, do not fill or enter the word “Nil”

7. • Report benefits and allowances under the correct codes on the T4 and RL-1 slips
     • T4 code (P15): http://www.cra-arc.gc.ca/E/pub/tg/rc4120/rc4120-14e.pdf
     • RL-1 Box Code (EN): http://www.revenuquebec.ca/documents/en/formulaires/rl/rl-1.t-t%282014-01%29.pdf
       RL-1 Box Code (FR): http://www.revenuquebec.ca/documents/fr/formulaires/rl/rl-1.t%282014-01%29.pdf
8. Report RPP or DPSP registration number in Box 50 of the T4
9. Since 2011 (for the 2010 tax year) retiring allowances are reported on the T4 slip instead of the T4A slip; using code 66 for eligible amounts and code 67 for non-eligible amounts.
10. Review any manual cheques amounts are accurate and have been issued
11. According to your company policy, check any vacation accrual and loan payments and carry forward to the following year
12. Balance WSIB/WSB, EHT(ON), MSP(BC), HE Levy(MB), HAPSET(NL) and Northwest Territories(NT)/Nunavut(NU) payroll tax rates, if applicable
13. • Review Revenue Quebec annual summary:
      • Health Service Fund (HSF)
      • Compension Tax
      • Commission des normes du travail (CNT)
      • Workforce Skills Development and Recognition Fund (WSDRF)
      • Commission de la santé et de la sécurité du travail (CSST)
14. Balance your payroll journal

If you aren’t using a modern payroll system to make the year-end process simple – sign up for PaymentEvolution Payroll.