Kaylee Riley

When you run payroll, you must comply with payroll and labor laws. Brush up on payroll compliance legislation and common compliance mistakes so you can accurately run payroll without fear of penalties.

When you hire employees, you should have them complete Form W-4 when they start work. The form lets you know how much federal income tax to withhold from employees’ wages.

Tax reciprocity normally applies to any wages an employee earns through employment: hourly wages, salaries, tips, commissions, and bonuses. Reciprocal tax withholding agreements between states usually do not apply to income earned outside of employment.