We know you're used to payroll deadlines, but Year-End deadlines can be especially stressful because they're critical to staying in compliance with the CRA.
Don't worry, you'll be fine because our 2022 year-end guide has you covered! There's a lot to do, so to make it easier, we've broken it down into five steps to help you have a stress-free and successful Year-End:
- Step 1: Prepare
- Step 2: Review Taxable Benefits
- Step 3: Balance and Reconcile
- Step 4: Create and File T4's
- Step 5: Set-up for the new Payroll Year
Year-End Checklist & Payroll Run-By Dates
To help you navigate this Year-End with ease, we've designed a comprehensive checklist and payroll run-by calendar for the holidays, so you don't miss a beat.
Download our Year-End checklist to get a clear picture of all your year-end tasks at a glance. Refer to this Year-End Guide for Humi-specific instructions, as well as detailed explanations and context on why each task is important.
Yup, we've put it all together for you: to help you meet important deadlines, stay on top of tasks, and confidently cross the finish line.
Click here to skip to the bottom, where you can download the Year-End Checklist.
In this article, we'll provide a list of important dates and deadlines, and outline the things to do to prepare for Year-End, such as:
- Review important dates
- Schedule a year-end meeting with stakeholders (IT, HR, Finance)
- Update "Payroll Tax Remittance Frequency" to avoid fines
-
Confirm all taxable "Benefits, Deductions, and Income Types" have been set up accurately
- Add any manual cheques to Payroll, so they’re included on the T4
1. Review Important Dates
One of the best things you can do to prepare for a successful year-end is to review all important payroll dates and deadlines.
This is an important step because statutory holidays can impact and overlap run-by deadlines, and since many people take extra time off around holidays, that can further alter timelines.
| Date | Event |
|
Monday, Dec 19, 2022 |
Run Payroll by 4:30 pm EST for direct deposit on Friday, December 23, 2022. If you require a deadline extension, submit a ticket to our support team. |
|
Tuesday, Dec 20, 2022 |
If your business has three days to process payroll, or you’ve been granted a Payroll deadline extension, run Payroll by 4:30 pm EST for direct deposit on Friday, December 23, 2022. ❗No further extensions are possible for 3-day processing to ensure direct deposit on December 23. |
|
Thursday, Dec 22, 2022 |
Run Payroll by 4:30 pm EST for payment on Friday, December 30, 2022. If you require a deadline extension, submit a ticket to our support team. |
|
Friday, Dec 23, 2022 |
If your business has three days to process payroll, or you’ve been granted a Payroll deadline extension, run Payroll by 4:30 pm EST for direct deposit on Friday, December 30, 2022. Humi’s Payroll Support team will be available to assist with time-sensitive payroll inquiries until 5:00 pm EST. |
| Monday, Dec 26, 2022 |
Christmas Day holiday observed - all banks closed. The Humi office is closed. |
| First week of January | The CRA typically opens internet filing for T4s and T4 summaries in early January. |
| Sunday, Jan 1, 2023 |
Humi’s Year-End Adjustment tool is available in-app for the 2022 tax year. |
| Monday, Jan 2, 2023 |
New Year’s Day holiday observed - all banks closed. The Humi office is closed. |
| Tuesday, Jan 10, 2023 |
Humi’s T4 generation tool is available in-app for the 2022 tax year. |
| Tuesday, February 28, 2023 |
Deadline to file T4 slips and summaries with the CRA. |
| Monday, May 1, 2023 |
Employees' personal tax returns should be filed by this date. |
Important note
The "cheque date" of a pay period determines the "tax year" the pay period will be included in.
For example, a pay period that runs from December 1 to 31, 2022, with a "cheque date" of December 31, 2022 will be included in T4s for 2022. However, if that same pay period had a "cheque date" of January 2, 2023 it would be included in T4s for 2023.
2. Schedule a year-end meeting with stakeholders (IT, HR, Finance)
Meeting with IT, HR, and Finance stakeholders to educate them on the payroll year-end process will help set you up for a smoother year-end.
Since every organization is different, we can't tell you exactly what to talk about, but this meeting should help them understand how they can help, and provide a timeline of events that may impact their roles.
3. Update your "Payroll Tax Remittance Frequency" to avoid fines
The CRA determines when you must pay (remit) payroll source deductions as an employer.
Note: It's normally based on your average monthly withholding amount (AMWA) from two calendar years ago.
Note
You can view your "Remitter Type" through CRA's My Business Account, and be sure to update your "Remitter Type" in Humi if it has changed for 2022.
4. Confirm all taxable "Benefits, Deductions, and Income Types" have been set up accurately
Reviewing your "Benefit, Deduction, and Income Types" within Humi Payroll is simple. All you have to do is click on it to quickly see how the tax is set up.
How to review the tax setup for benefits, deductions and income types in Payroll
In this example, we'll describe how to check the tax setup for your benefits, however, the steps are exactly the same for reviewing deductions and income types, respectively.
- In "Payroll," click on the "Benefits & Deductions" tab and select "Benefits" from the dropdown.
- On the benefits page, click on the benefit you want to review.
-
The section on the right shows how the benefit tax is set up.
Use these links for more information on Benefits and Deductions and Income Types.
5. Add any manual cheques to Payroll so they’re included on the T4
If you've paid an employee manually (i.e. outside of the payroll system) and that amount is required to be on the T4, you must add it before year-end.
To do this, please submit a support ticket to Humi’s support team.
Click here to move on to Step 2 – Review Taxable Benefits