Wages left unpaid, property left unused, and escheat...While the procedure may go by many names, there is only one actual necessity.  

All “holders” must report all unclaimed property to the proper state, at the proper time, in the proper manner using the proper method. No ifs, ands, or buts. The problem is most employers are unaware of this requirement or that “abandoned or unclaimed wages” fall into the category of unclaimed “property”. 

Many states have moved towards unclaimed wages as a source of revenue that can be easily tapped with existing laws and a crackdown on enforcement. Failure to comply with state regulations could now result in audit assessments, significant interest accumulations, and criminal penalties. The ramifications may not even be limited to one state.  For instance, organizations with corporate headquarters in one state and employees in other states could be liable for penalties in all states that have employees. It all depends on which employee did not claim which paycheck in which year. Unfortunately, not being aware of the requirement doesn’t stop the huge fines and penalties that befall the company for failing to report unclaimed wages.

The payroll department must correctly identify any unclaimed salaries and report and remit them annually to the appropriate authorities in order to avoid these hefty penalties, fines, and interest.

Learning Objectives:-

• To identify when wages are considered abandoned.
• To explore the laws and regulations that cover unclaimed wages.
• To recognize payroll’s responsibility relating to abandoned wages.
• To discover the processes needed to correctly report and remit unclaimed wages.

Areas Covered:-

• Terms & Definitions
• History & Background
• States and Researching the Laws
• Holder Reporting
• Due Diligence
• Noncompliance
• Payroll Procedures

Join this Webinar, it explains when wages are considered abandoned, how to track and submit these checks to the appropriate state, and how to perform the required due diligence.