Employee Record Retention and Records Retention Schedule

Employee record retention is a huge accounting task for small businesses and other employers. It’s not just a matter of best business practices. You’re legally required to maintain certain employee and payroll records and failure to do so can leave you vulnerable to any number of lawsuits and legal liability. And more than just throwing the paperwork in a filing cabinet and then forgetting about it, you need to have these records in an organized and easily accessible form.

Advanced Micro Solutions (AMS) is an industry leader in W-2, 1099, and payroll support for small businesses. Our solutions have an automatic save feature, secure files, and reliable data reports. We make employee record retention easy.

Employment Laws and Years-Long Employee Record Retention

Including the ADEA, ADA, the Civil Rights Act, COBRA, ERISA, FLSA, FMLA, and OSHA, there are more than a dozen federal laws that mandate some kind of records retention schedule. Did you provide the required initial notice and written notice to employees about their ability to continue their health coverage? You’ll want to keep documentation of this notification for three years. Did a disabled employee make a reasonable accommodation request to the workplace? You’re going to keep a record of the request for at least a year. The Equal Pay Act requires payroll records be kept for three years. ERISA requires retirement plan descriptions and annual reports be kept for a minimum of six years. States have their own employee records retention schedule for different types of information, but you can find a list of federal record keeping guidelines here.

Simplify Your Records Retention Schedule

For this reason, most accountants and small business consultants typically advise their clients to maintain all their payroll and employee records for seven years. That way, you don’t have to worry about accidentally destroying records before their time. Even with digital information storage, this retention schedule is a common question among small business owners.

And we would know. AMS has a history of more than three decades of success in providing W-2, 1099, and payroll support solutions. Our business customers keep coming back to us year after year. Whether you plan on keeping employee records for the standard seven years or even longer, AMS accounting software makes your employee record retention as simple as it is reliable. Our automatic save feature, Payee file support, and user-friendly reporting capabilities make it so that your employee records aren’t clogging up your essential files but are easily accessible should you need them.

Modular Products and Pricing

Better yet, you can pick whatever filing features and whatever level of software support makes sense for you as an employer or accounting professional. W-2 preparation software is already part of our platform, but this solution also offer modular products and pricing. Look to AMS Payroll for custom paycheck calculations and multiple payroll processing options. You can also add more specialized form filing support, as well as E-File and Software Generated Forms:

We also offer multiple ways of introducing yourself to our software system. Learn more about our individual modules, download our free demo, or talk to our Sales and Information team at (800) 536-1099.

Software Solutions from AMS

Our W-2 and 1099 Forms Filer is our only required platform. From there, users pick the services they need. Choose from the tools below to build out your customized accounting software.