Record Retention

Now that tax season is getting started, another year of tax forms and receipts are starting to pile up. Documentation related to payroll tax returns should be retained for a minimum of 4 years, however, longer periods are generally suggested.
Although the law does not require any special kind of record keeping retention for many payroll related items, each employer should develop a record retention policy to ensure that records are retained and available if necessary. Below is a guide of suggested guidelines to help employers with payroll record retention.

Forms W-2 & W-3
Garnishments
Miscellaneous Payroll Input Information
Stock Option Exercises
Time Sheets
Retirement Plan Reports
Payroll Tax Returns
Form 1-9

4 Years
6 Years
4 Years
6 Years
4 Years
6 Years
4 Years to Indefinitely
The longer of 3 years from hire date or 1 year from termination

Flexible Spending Account (FSA) Reports
Employee Histories
Quarterly Payroll Reports
Time Off Reports
Year-to-date Payroll Reports
Bonus & Award Information
Form 1099-MISC
Form W-4
(Per the IRS, a current Form W-4 must be kept for all active employees. W-4's of terminated employees must be retained for four years.)

6 Years
4 Years
6 Years
6 Years
6 Years
6 Years
4 Years
4 Years to Indefinitely

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3333 Lee Parkway
Suite 350
Dallas Tx 75219
Phone 214 989 0400
Fax 214 989 0480
(Map)