Payroll Records

Patty

Can anyone tell me where I can find a retention schedule for payroll records? We currently use ADP and I know they retain records, but we also have an in-house system we maintain, but do not actually produce payroll from. This system generates payroll proofs, payroll proof error lists, tax distributions, etc. Do be honest, it is a nightmare. To make it worse, it is printed on "green bar" paper. I currently have many years of payroll proofs, etc. in big binders. I would like to shred them, but I cannot find any retention information on these type of payroll records.

Brad Forrister

The records retention period for wage & payroll records is three years for some agencies and four for others, so you should toss anything older than four years.

The bigger question, I think, is whether you need to keep this stuff at all. If you're actually relying on ADP to do it, ADP's records are the ones that would be audited. If you've got duplicate records when the auditor shows up, their only value would be to show that what ADP used wasn't correct - which could only hurt you.

I'd suggest running the question by your employment law counsel.


Brad Forrister
VP/Content
M. Lee Smith Publishers

Patty

Thanks. I also was wondering if I needed to keep them at all.