Required BWC Annual Payroll True-up
Here's What Ohio Employers Need To Know About Payroll True-Up
Now is the time to start your Ohio payroll true-up! Have you started the process yet?
It's critical that private employers complete it before the August 15th deadline, to avoid fines and penalties from the state, as well as getting dropped from discount and rebate programs.
Compensation Solutions Inc. Vice President Tony Canovi says, “Many employers will have a balance due, if the Ohio Bureau of Workers' Compensation has underestimated their premium. There's a great importance to make sure the true-up is completed in a timely manner, and if there is any outstanding balance based on that true-up report, it is paid immediately. Failure to true-up will remove you from any current discount programs, and make you ineligible for the 2019 group rating, or group retrospective, or discount program year.”
And if there is a balance due, the Ohio BWC can send your case to the Attorney General's Office, where you could be subject to additional fines and penalties.
Ohio private employers can begin to do their true-up report beginning July 1, and they have until August 15 to complete it. According to the Ohio BWC, there will be no grace period.
What is true-up?
Completing the true-up means: Reporting your payroll + Making any payments that are due based on underestimated payroll or premium.
True-up is when the employer reports the actual payroll for the policy year. If there's a difference in the employer's actual payroll and what was used to calculate their estimated annual premium or EAP. If the employer was overcharged, they will receive a refund. And if they were undercharged, the employer will need to pay the difference.
Completing your true-up helps the Ohio BWC to calculate your premium accurately.
You must complete the true-up report even if your payroll for the completed policy year matches
the estimate the bureau mailed you in May, or if you had zero payroll.
How do I submit my company's true-up?
You can submit your true-up on the BWC's website: https://info.bwc.ohio.gov/
or you can call the customer contact center at 1-800-644-6292. Click here for Fact Sheet: True-up Fact Sheet
If you complete your payroll true-up online, you should print your confirmation page, and save it for your records.
If you decide not to pay at that time, you will need to print the payment coupon from the confirmation page, and mail it along with your payment to the BWC.
The BWC must receive your payment by the due date (August 15) for it to be considered completed on time. The BWC advises you allow at least two business days for payments to post to your account.
An important reminder from CSI:
If you use a payroll company, do not assume they are taking care of true-up for you. Most payroll companies report the true-up payroll, but don't make a payment for you. If there's a balance due, it will be the Employer's responsibility to make this payment by August 15th.
Do not assume your payroll company is making that payment.