As the seasons change, fall brings more than just cooler weather and colorful leaves—it’s also the unofficial kickoff to year-end planning for many organizations. While payroll might not seem like an autumn priority, reviewing your processes now can save you stress in December and facilitate a smooth transition into the new year.

By starting early, you give yourself the time to address compliance issues, make process improvements, and decide whether any changes—such as switching payroll systems or providers—should be made before January 1.

Why Fall Is the Right Time to Review Payroll?

Once the holiday season arrives, schedules fill quickly, and deadlines stack up. Tackling a payroll review in the fall allows you to:

• Spread the work over several months instead of cramming it into December.
• Identify and correct errors before quarterly and annual filings.
• Plan for upcoming tax and compliance changes without feeling rushed.

 

Five Key Payroll Items to Review This Fall

1. Employee Information Audit
   Confirm that names, addresses, Social Security numbers, and other personal details are correct. This will help avoid problems with year-end tax forms such as W-2s and 1099s.
2. Year-to-Date Reconciliation
   Compare your payroll records to your quarterly tax filings to make sure wages, withholdings, and deductions match. Discrepancies are easier to fix before the final quarter closes.
3. Benefit & Deduction Accuracy
   Check that health insurance, retirement plan contributions, and other deductions are correct and align with company policies. If benefit changes are planned for the new year, fall is a good time to prepare payroll systems for them.
4. Compliance Check
   Review employee classifications (exempt vs. nonexempt), overtime calculations, and other wage-and-hour rules. Addressing any issues now can help avoid penalties later.
5. Upcoming Tax Law Updates
   Stay informed about any changes in tax rates, wage bases, or reporting requirements effective January 1. Preparing in advance allows for a smooth rollout when the new year begins.

 

Considering Payroll Changes? Start the Process Now

If you’ve been thinking about outsourcing payroll or switching providers, fall is the ideal time to evaluate your options. Making the decision early gives you a few months to complete the setup, transfer data, and test processes—so you’re ready to go for the first payroll of the new year.

Some benefits of a fall transition include:

• Cleaner Year-End Records – Avoid mid-year data imports and keep all year-end reporting in one system.
• Extra Training Time – Employees who process payroll have time to learn new systems before the busiest part of the year.
• Aligned with Budgeting – Many organizations set budgets in the fall, making it a natural time to plan for process changes.

 

The Value of a Reliable Payroll Process

Payroll is more than just paychecks—it’s a critical part of employee satisfaction, compliance, and financial accuracy. A reliable payroll process helps to make sure employees are paid correctly and on time, while keeping the organization compliant with tax and labor laws.

Treat your fall payroll review like an annual maintenance check. By taking time now to verify information, reconcile records, and plan ahead, you’ll position your organization for a smoother year-end and a stronger start to 2025. At KPM, we work with businesses year-round to process payroll, handle tax filings, and provide reporting that supports decision-making. Even if your current process works well, a fall review can help you start the new year with confidence. Contact our payroll team to start the conversation.