Payments made through Worklyfe are considered taxable income by the IRS, so all company contributions to employee Worklyfe Balances should be properly accounted for.
If the integration with your HRIS/payroll provider does not support automatic adjustments, your finance/HR team will want to manually make periodic adjustments to payroll to account for the tax implications of Worklyfe payments.
Disclaimer
Worklyfe does not provide tax advice, and nothing in this article should be construed as tax advice in any capacity. We recommend that you review the supplemental wages section of the IRS's Publication 15, as well as consult with a qualified tax professional to determine proper tax treatment of payments to employees made through Worklyfe.
Creating a Payroll Report
Worklyfe has a simple reporting tool that allows you to export a CSV file with total payment amounts to employees within a selected time period.
1. Navigate to the reports section
The reports section can be accessed from the sidebar of your company's Worklyfe admin interface. Within the reports section, click on "Payroll Report":
2. Select report period and generate
Use the date input fields to select the start and end dates for the period you want to report on. Then click the "Generate Report" button to create the CSV report:
3. Download the report and provide it to finance/HR
Once the report has been generated, download the file to your computer and send it to the appropriate person in your organization who can make the payroll adjustments:
The report is essentially a table that provides the employee's first and last name, and the total amount paid to them during the report period:
First name | Last name | After-tax deduction | Non-payable taxable income |
Mike | Jones | 0 | 100 |
Sally | Smith | 0 | 100 |
The payments are broken into two categories: 1) After-tax deduction and 2) Non-payable taxable income.
The after-tax deduction column will is only applicable for matching programs, and it shows the amount that the employee has chosen to deduct from their paycheck to deposit into their Worklyfe Balance.
All other payments, including the company's portion of matching programs, will be included in the non-payable, taxable income column. This is simply a total of all payments made through Worklyfe by the company to each employee for the report period.
Use these amounts to determine the relevant payroll entries for each employee, and input them into your payroll system.