Take a second and check this out. http://tinyurl.com/le3xam

Payroll fraud really ticks me off, I’m getting tired of these stories! These people who perp this crap I hope get lots of bunk time with the other common criminals. In my own hometown, we had a major small, local payroll service provider who pulled the same stunt a few years back, drove many local businesses right out of business because of the guy’s fraud. You see, even when a payroll service defrauds, the IRS has ruled the company is not at all off the hook for the taxes. They steal the money and you have to pay it back! The IRS has won case after case, YOU ultimately owe the money.

So, what can you do to protect yourself and your company?

Use either a very reputable large, national payroll service that is bonded, audited, or a small, local one that does NOT take custody of your company’s payroll funds. The fraudulent thieves do what they do because they are pulling the funds to pay the taxes out of your account and then NOT remitting them to the Federal, State, and Local governments. If you use a small, local service, have everything paid directly FROM your account. Then you can go online to your bank, which of course they should have no access to, and can see that the taxes have been electronically remitted or checks have cleared. I think this is a better and safer way. What are your thoughts? If you have stories, please share with the rest of us.

Please let me know what you think by commenting below.

2008

Social Security Wage Limit: $102,000.00

Medicare Wage Limit: Unlimited

FUTA taxable wage base: $7,000.00

Business Mileage Rate: 58.5 cents per mile

401k Plan Limit: $15,500.00

Prime Rate: 5.0%

[I use a payroll service because] “it’s easier.” [Would you recommend Ten Minute Payroll?] “I have already.” Dave Amatangelo, Amatech-Polycel. 452-0010