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Paying taxes is one of the most unavoidable financial obligations for business owners. Every year, businesses must pay federal and state income tax on their earnings that’s derived from revenue generated by activities subject to taxation. For example, if a company operates solely in Kansas and has no employees outside of that state, it would only need to file an individual corporate income tax return with the Kansas Department of Revenue. Additionally, many states have established new laws designed specifically for small businesses as part
The “payroll excel sheet download” is a spreadsheet that has been created by the Kansas Department of Revenue to help employers and employees with payroll. It includes information such as gross pay, taxes withheld, estimated tax liability, and more.
Payroll processing in Kansas is simpler than in some other states, such as California. There is just one state-specific payroll form in Kansas, and there are no municipal taxes. Its payroll regulations are primarily based on federal norms, so it should be a simple procedure.
Although Kansas payroll isn’t as complicated as other states, it may still be time-consuming and dangerous to do by hand. Gusto payroll software will withhold, submit, and transmit your payroll taxes to the appropriate tax authorities. Gusto will pay for any penalties or fines incurred by its representatives. It also offers direct deposit at no extra charge. For a 30-day free trial, sign up now.
Gusto is a great place to visit.
How to Run Payroll in Kansas: A Step-by-Step Guide
Payroll processing in Kansas need your undivided attention to avoid missing any procedures. Even little blunders might cost you a lot of money. The following are the fundamental stages for processing payroll in Kansas.
Step 1: Register your company as an employer. You may not have a Federal Employer Identification Number if your organization is new (FEIN). This is a straightforward procedure that may be accomplished entirely online using the Electronic Federal Tax Payment System (EFTPS). To pay federal taxes, you’ll need your FEIN.
Step 2: Register with the state of Kansas. If your company is brand new, you must register with the Kansas Secretary of State’s Business Entity Formation website. The Kansas Department of Revenue requires every firm that pays workers in Kansas to register. Kansas offers a Company One Stop website with information and connections to assist you in completing the processes necessary to register your business in Kansas.
Step 3: Set up your payroll system. You’ll have to make important choices, such as how frequently you’ll pay your staff and what kind of payment you’ll use. You’ll also need to decide when and how you’ll collect Forms for Payroll, as well as how you’ll handle payroll taxes. Overall, you may choose to do payroll by hand, which is time consuming and not advised; create an Excel payroll template to guarantee precise calculations; or hire a payroll provider to assist you with your Kansas payroll.
Step 4: Have staff complete the necessary paperwork. When your organization recruits new staff, you must gather specific paperwork. On their third day on the job, every employee must undergo I-9 verification. A completed W-4 must also be on file for new workers. Employees in Kansas must additionally fill out Kansas Form K-4.
Step 5: Go through the time sheets and approve them. Payroll processing usually starts several days before the payroll deadline. Starting a few days early allows you to notice and fix any problems with your workers’ timesheets. You may use paper time sheets or free time and attendance software; either way, you’ll need to double-check the time sheets for accuracy.
Step 6: Work out the gross compensation and taxes for each employee. From total hours worked and gross pay to total Taxes on income and benefits deductions, you’ll need to do a lot of payroll math. Employers’ tax computations are usually the most complicated. There are three tax rates in Kansas, and there are no municipal taxes.
Step 7: Reimburse employees for their salary, benefits, and taxes. Direct deposit is used by the great majority of businesses and workers. However, you may also use cash or paper checks. Make sure you’re paying your workers at least the Minimum Wage in Kansas, which is $7.25 per hour, which is the same as the federal minimum wage. You may pay both federal and state taxes online in Kansas. If you utilize a benefits provider, they should collaborate with you to make deductions as straightforward, automated, and electronic as possible.
Step 8: Make a backup of your payroll data. You should keep a copy of this document for at least many years, just like any other company record. Companies must maintain the following information for at least three years under Kansas law:
- Name and job title of each employee
- The rate of pay, pay frequency, and time records for each employee
- Payroll records for employees
Step 9: Register with the federal and state governments to file payroll taxes.
All Kansas state taxes must be paid on time, generally quarterly, to the appropriate state agency, which you may do online at the Kansas Department of Revenue website. You may pay your federal taxes online using the EFTPS on one of the two schedules shown below:
- When the IRS sets you a monthly schedule, you must deposit employment taxes on payments received during that calendar month by the 15th of the next month.
- When the IRS gives you a semiweekly schedule, you must deposit employment taxes by the following Wednesday for payments made Wednesday, Thursday, and Friday, and by the following Friday for payments made Saturday, Sunday, Monday, and Tuesday.
Please keep in mind that the reporting and depositing of employment taxes are two separate things. You must submit taxes quarterly on Form 941 or yearly on Form 944, regardless of your payment schedule.
Step 10: Finish your payroll reports for the year.
You’ll need to file payroll reports every year, including all W-2 and 1099 forms. Employees and contractors must have these forms in their possession by January 31 of the following year.
In this tutorial on how to conduct payroll, you may learn more about how to do payroll yourself. You may obtain a free checklist to ensure you don’t miss any tasks.
Payroll Laws, Taxes, and Regulations in Kansas
Kansas follows the same rules as the federal government. Most employers in the United States are required to pay Federal Insurance Contributions Act (FICA) taxes, with a few exceptions. The current Social Security FICA tax rate is 6.2 percent of employee wages, while the Medicare FICA tax rate is 1.45 percent. This amount will be deducted from employee paychecks, and a corresponding amount will be deducted from your company’s bank account. You’ll also be liable for paying unemployment taxes and workers’ compensation insurance.
It’s a good idea to consult with an employment law specialist in your region to ensure that your firm complies with all rules and regulations. Review the intricacies of handling payroll in Kansas below to help you stay in compliance with payroll rules.
Taxes in Kansas
Kansas imposes state taxes on enterprises and workers in addition to federal taxes. Kansas does not charge local taxes on companies, making your work simpler.
Unemployment Taxes for Employers
In Kansas, all companies are required to pay taxes under the State Unemployment Tax Act (SUTA). The current wage base is $14,000, with rates ranging from 0.10 to 7.60 percent. The standard rate for new employers who are not in the construction business is 2.70 percent. The new business rate in the construction sector is 6.00 percent.
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Businesses who pay SUTA in full and on time may be eligible for a tax credit of up to 5.4 percent on their FUTA taxes. FUTA is usually 6% of the first $7,000 in earnings for each employee.
Compensation for Employees
Kansas businesses must carry Compensation for Employees insurance if they pay out $20,000 in payroll per year. It covers your company in the event that any employees become injured or sick on the job (or as a result of the job). However, if your business is in the agricultural industry, you do not need to carry it.
Taxes on income
Kansas charges Taxes on income, so you’ll need to withhold the correct amount of funds to remit to the state government. The three Tax rates are: 10%, 5.25%, and 5.70%. You’ll need to follow the Kansas Tax Withholding Guide if you’ll be manually calculating deduction amounts.
Minimum Wage in Kansas
Kansas has a simple minimum pay of $7.25 per hour, which is the same as the federal minimum wage. Tipped workers must be paid at least $2.13 per hour if their gratuities bring them up to the hourly minimum wage. You’ll have to pay the difference if it doesn’t.
Overtime Calculation
Overtime in Kansas is governed by the Fair Labor Standards Act (FLSA), which requires all businesses to pay workers covered by the FLSA 1.5 times their usual hourly salary for hours worked above 40 in a workweek. Employers that are not covered by the FLSA must pay 1.5 times their usual hourly salary for any hours worked beyond 46 in a workweek, according to Kansas law.
Employee Remuneration
Employers must pay workers at least once every calendar month and on a regular basis, according to Kansas law. Kansas also allows you to pay your staff in a variety of ways:
Pay Stub Regulations
There is no Kansas legislation requiring employers to furnish pay stubs to their workers. The employer must, however, give an itemized summary of deductions for each pay period if the employee asks one.
Deductions from Kansas Paychecks
Only limited deductions from an employee’s paycheck are permitted in Kansas. The following are the only deductions that are permitted:
- Those mandated by state or federal legislation
- Medical expenses are deducted.
- For a permissible reason, the employee allowed a deduction.
- Contributions to a retirement plan
Certain deductions are also prohibited under the legislation. These are some of them:
- Money shortages
- Property of the employer is damaged or lost.
- Uniforms
- Tools
- Additional goods required for work
Final Paychecks of Terminated Employees
Kansas provides for Employee Remuneration after the employment relationship ends. In every instance, you must pay the employee their final pay on the next regularly scheduled payday, regardless of whether or not they left voluntarily.
Use one of our suggested methods to generate a free payroll check if you need to pay an employee right away and aren’t presently utilizing a service.
Human Resources Laws in Kansas That Affect Payroll
Kansas’ human resources regulations are, for the most part, uncomplicated. However, paying careful attention to the details can assist ensure that your business stays compliant.
Reporting of New Hires in Kansas
Within 20 days of their first day of work, all employers must file form K-CNS 436 to report new recruits. This document must contain the employee’s name, address, and Social Security number and is used to enforce child support obligations.
Breaks and Meals
Employers in Kansas are not required to offer workers with a meal break. As a result, federal requirements apply, mandating paid breaks of less than 20 minutes (if offered) and unpaid lunch breaks of 30 minutes or longer.
Child Labor Laws in Kansas
Generally, children must be at least 14 to work in Kansas, although exceptions include paper routes, farm work, and acting. Both federal and Child Labor Laws in Kansas restrict children under 16 from working more than three hours on a school day and 18 hours in a school week. Children under 16 can also work up to eight hours on a nonschool day and 40 hours in a nonschool week. Work hours must be between 7 a.m. and 7 p.m., except from June 1 through Labor Day, when hours are extended to 7 a.m. to 9 p.m.
Requirements for time off and leave
Kansas follows federal law and has no state-specific leave restrictions.
The Family and Medical Leave Act is followed in Kansas (FMLA). Employers must give up to 12 weeks of unpaid leave (meaning you don’t have to pay the employee, but their employment must be preserved) to qualified workers for events such as the birth of a child, the care of an ailing family member, the adoption or foster care of a kid, and so on. State legislation in Kansas does not allow for any further leave.
Employers in Kansas are not required to give paid time off to their workers. However, if a corporation does provide this benefit, it must design and adhere to the policy it creates.
Use our free PTO calculator if you need assistance calculating your PTO accumulation.
There is no regulation in Kansas that requires private enterprises to pay workers for holidays or to pay them a higher rate for working on a holiday. A business may choose to do so, but it must abide with the FLSA.
Employers are not required under Kansas law to offer paid sick leave. Additionally, you are not obligated to grant unpaid sick leave.
Any registered voter in Kansas may take up to two hours off work to vote, according to state laws. If polls are available before or after an employee’s shift, the employer has the option of forcing the employee to vote before or after work.
You don’t have to pay an employee to serve on a jury. You can’t fire or otherwise intimidate an employee for serving on a jury.
Businesses in Kansas are not required to give bereavement leave to their workers. If a company wants to make a policy, it may do so, but it must follow any regulations that are established.
Forms for Payroll
Forms for Payroll can vary from state to state, and some have their own W-4, like Kansas. Fortunately, that’s the only one.
- Form K-4 (employee withholding)
Federal Forms for Payroll
Here is a complete list and location of all the federal Forms for Payroll you should need.
- W-4 Form: Provides information on employee withholdings so you can properly calculate and withhold federal and state Taxes on income
- W-2 Form: This form is used to record each employee’s total yearly pay.
- W-3 Form: This form is used to record all workers’ total yearly salaries.
- Form 940 is used to compute and submit unpaid unemployment taxes to the Internal Revenue Service (IRS).
- Form 941 is used to submit quarterly income tax returns.
- Form 944 is used to submit yearly income tax returns.
- Non-employee contract work 1099 forms: Provides information for non-employee contract work.
Payroll Tax Resources in Kansas
Conclusion
Payroll in Kansas is simpler than in many other states, and it typically follows federal criteria. There is just one form for each state, and there are no local payroll taxes.
Using payroll software that leads you through Kansas payroll every time is one of the greatest methods to guarantee you don’t make any errors or skip any procedures. Consider using Gusto to assist you in filing correctly and on time. It also provides free direct deposit to workers as well as health insurance benefits. Sign up for a free 30-day trial.
Gusto is a great place to visit.
The “format of a payroll” is the process by which an employer calculates the amount of money owed to each employee. The format can vary from state to state, but generally includes information such as gross pay and deductions.
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