What is a key step to take before the last payroll of the quarter?

Before the last payroll of the quarter, entering all adjustments is crucial because this step ensures that all payroll data is accurate and reflects any changes that may have occurred during the quarter. Adjustments can include corrections to hours worked, bonuses, deductions, or other pay-related factors that may need to be updated before finalizing payroll calculations.

Failure to enter these adjustments could lead to discrepancies in payroll records, which may affect employee payments and tax filings. It is essential to ensure that all adjustments are made prior to finalizing the payroll to mitigate errors, ensuring compliance and accuracy in reporting for the quarter.

While reviewing social security numbers, notifying employees about tax changes, and sending out W-2 forms are important processes in payroll management, they do not directly precede the last payroll of the quarter in the same critical manner as ensuring all adjustments are accurately entered. These tasks are typically handled at different stages or times of the payroll cycle.