PayForce - 2010 Client Year-End Meeting Presentation

10/7/2010

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EVOLUTIONAL CHANGES BRINGING FORTH REVOLUTIONARY IDEAS

Time waits on no one and growth is inevitable….

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WELCOME TO OUR 2010 YEAR-END

Agenda

• Year-End Tools

• Year-End Overview 2010

• 2011 Preparation

• Available Features

Year-End Tools

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Client Communications

• In October, ADP will provide the following information for your review:

– 2011 payroll and management report schedules

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– Information on year-end documents available on ADP4ME, including:

• 2010 Response Recap Sheet

• General Ledger Schedule Form

• Supply Order Form

• Bonus Payroll Schedule Request Form


• In November, ADP will provide the following information for your review:

– Masterfile Analysis Letter (also known as Client

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y (Error Report)

– Quarterly Tax Verification Letter

– Café 125 Benefit Setup Verification Report

– Information on critical deadlines for adjustments

– Information on special payroll options

Masterfile Analysis Letter

• Processed two times in 4th

quarter, typically in November and December

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• Identifies conditions that may negatively impact quarter and annual tax reporting

• Please verify all warnings

• Enter corrections no later than the last scheduled payroll of the year

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Masterfile Analysis Example

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Quarterly Tax Verification Letter

• Quarterly Tax Verification Letter (QTVL) – verify the following and return a signed copy to ADP:

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– Federal and state tax identification numbers

– Tax options and tax filing responsibility

– Legal name and return address

– Qualified pension default

– Indicator for direct reporting for non-tax filing company codes

QTVL Example

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Special Considerations• State jurisdictions that do not allow “Applied For”

IDs for filing:

AL SIT/SUI MA SUI

AR SUI MN SIT/SUI

CO SUI MT SIT

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DC SUI OH SIT

DE SUI PR SUI

FL SUI UT SIT/SUI

HI SUI WA SUI

IN SIT & locals WI SUI

Special Considerations

• Sample listing of local jurisdictions that do not allow “Applied For” IDs for filing:

Denver, CO/Aurora, CO Jefferson, AL

Wil i t DE S i b OH

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Wilmington, DE Springboro, OH

Kenton County, KY Scranton, OH

Kettering, OH

• Contact ADP for information on a specific local


• If any of the previous state or local jurisdictions are in an “Applied For” status, ADP must have a

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proof of the ID and a “Supplemental Authorization Form” before 01/12/11

• Any SUI returns not filed will also affect the 940 annual return

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• In many states clients can register on-line at the

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In many states, clients can register on line at the agency website

– Visit www.adp.com for agency website information.

• “Applied For” IDs result in additional ADP filing fees of $25.00 per jurisdiction, per month, per company code


• Letter #1 is produced in December and it typically includes:

– Year-End Checklist

– Adjustment Processing Guidelines

– Information on the purge

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– Information on the purge

– Time appropriate tax information

• Letter #2 is produced in late January and it typically includes:

– Time appropriate tax information

Preview Forms W-2/Wage and Tax Register

• ADP will provide preview W-2s on request • The first copy will only incur shipping fees

– Additional requests will incur processing and shipping fees

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• Requests for previews must be submitted in writing• Last day to request a preview is 12/03/10 • Previews are produced on CD-ROM or iReports only• The CD will be delivered via your normal tax report

delivery method• Verify social security numbers

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Preview Request Form Example

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Wage and Tax Register

• A Wage and Tax Register is created for each of the following reasons:

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– 1 day after last payroll of the year (by 12/30/10)– 1 day after an out-of-sequence payroll – Within 7 days after an AdjustMate payroll (for an

amendment)– With the Forms W-2

• Shipped within 7 business days• For faster viewing ability, reports are available

with our iReports feature (available the following day)


• Verify the following:

– Prior taxable entries for transferred employees

– Review special compensation options

– Employees with multiple tax jurisdictions

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Employees with multiple tax jurisdictions

– Qualified pension indicator

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• Review any credit employees:– SUI credits will be automatically corrected by the

tax center and a Form W-2 will print for the employee

– SIT or Y/E credit employees will not receive a Form W-2 until the error is corrected

Wage and Tax Register Credit Example

• Example of a credit employee:

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Look for check marks.

Special Indicators

listed on the right side.

Statements of Deposits and Filings

• Statement of Deposits and Filings (SODs) –f f

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verify the following:

– Federal, state and local tax identification numbers

– SUI Rates

– Filing Responsibilities

• SODs may be used by most agents in place of actual returns

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Statements of Deposits and Filings

• Mailing for 4th quarter 2010 SODs begins on 02/01/11

• Mailing for annual SODs begins on 02/28/11

• Allow 10 business days from mailing date before

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y gexpecting receipt of SOD

Online Statements of Deposits

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Coming Soon :

New Tax Service Website• Statements of Deposits• Agency Response Letters• Amendments Copies

SOD Example

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Year-End Overview 2010

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W-2 Display for Qualified Pension

• W-2 box 13 label is “Ret. plan”

• If employee coding or company default is “Yes”, the

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employee will receive a W-2 even if they have no year-to-date (YTD) earnings

• Changes to individual employees are done in the tax panels in the payroll product

W-2 Display for Qualified Pension

• If employee coding or company default is “No”, the employee indicator must be t d ll

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turned on manually

• If YTD 401(k) is greater than “0.00”, ADP automatically places an “X” in the box regardless of the company default

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Masterfile Analysis Qualified Pension

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Qualified Pension Changes • Employee Maintenance ~ Maintain Employee ~ Tax

Withholding ~ Special Federal Tax Info tab

Qualified Pension Changes

• Enter changes to this field prior to your last scheduled payroll in 2010

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Example W-2

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4th Quarter Closeout

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• The 4th quarter 2010 closeout process will begin in the morning on 12/16/10

Additional Payrolls

• A form must be completed and returned to the Solution Center to schedule additional payrolls:

– Prior to last day of quarter

– For bonus payrolls

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– For adjustment payrolls

– For special payrolls to update special compensation items

• These payrolls are billable at the normal per payroll rate

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Additional Payroll Request Form Example

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Out-Of-Sequence (OOS) Payrolls

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• This is a payroll processed after a quarter closes or after processing a payroll with a pay date in the next quarter


• A form must be completed and returned to the Solution Center to schedule the OOS with ADP prior to transmission

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• A new Wage and Tax Register will be automatically produced when the OOS payroll is processed prior to 01/12/11

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• The employee masterfile will be updated

• The information is available on management reports, pay data files and/or general ledgers


• Additional processing charges may apply

• There is also an additional charge for the tax filing reclose and new updated Wage and Tax Register

• Adjustments may be processed as OOS payrolls until

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• OOS Processing Availability

Up to 01/12/11 = tax filing reclose processed

After 01/12/11 = tax filing amendments required

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• All OOS payrolls will require a signed “Additional Payroll Request Form” or an “Absolution Letter”, due to possibility late deposits

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• Be sure to check the out-of-sequence box in PayForce

• Do not back date a period-end date

– For example, if your last period-end date was 12/18/10, entering a period-end date of 12/17/10 would be incorrect

Out-Of-Sequence (OOS) Payrolls• The Period End Date must always be at least one

day greater than the last period ending date used

• The OOS Period End Date may be the same as the last period ending date used

AdjustMate Payrolls

• Please verify you are using the most current version of AdjustMate (3.2.3)

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• Version includes the IRS required fields

– i.e. ascertain date and reason codes

• New amendment procedures to follow

– Reduce time to complete

– New tracking tools

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AdjustMate Payrolls

• All adjustments to prior quarters must be submitted via AdjustMate software

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• Separate software installation is required • AdjustMate updates the masterfile and quarter

balances• Does not update pay data files and/or traditional

general ledgers– Information available is for ADP GL

AdjustMate Payrolls

• All adjustments processed on or after 02/01/11 must be processed as an AdjustMate payroll

• Up to 3 days after the completion of your AdjustMate payroll, ADP will provide an updated Wage and Tax Register and send notification of the pending

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amendment• The amendment will be finalized within 4-6 weeks

after receiving your new Wage and Tax Register • There is an additional charge for AdjustMate payrolls

and amendment fees will apply

2010 Forms W-2

• ADP provides a Wage and Tax Register for each

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ADP provides a Wage and Tax Register for each company code to be verified before Forms W-2 are printed

• You must return a signed “Forms W-2 Approval Letter” to ADP for each company code (including inactive company codes) in order to have the Forms W-2 printed

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2010 Forms W-2

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• Deadline to request Forms W-2 to be printed by ADP is 01/12/11

• The shipping timeframe is 5-7 business days after ADP receives a completed Forms W-2 approval

• An employee duplicate copy of the Forms W-2 will be provided on CD only

2010 Forms W-2

• Forms W-2 Copy D (employer copy) is available on paper by request only and at an additional charge – Please check the box on the “Forms W-2

Approval Letter” if you would like this copy

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• Mail distribution is available for the Forms W-2 distribution– Indicate you would like this service on the

“Forms W-2 Approval Letter” • W-2s will be loaded to the iPayStatements site

for viewing on Monday, for W-2s processed the previous Friday through Thursday

2010 Forms W-2 Approval Letter Example

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HIRE Act

• HIRE Act credits reduce employer Social

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HIRE Act credits reduce employer Social Security taxes based on the qualifying employees tax liability

– Reduces current tax deposits for instant revenue

– Box 12 indicator on the W-2

Health Care Reform

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• ADP is working to develop automated, integrated solutions that are consistent with the provisions of the health care reform legislation

• ADP's Eye on Washington legislative updates can be found at:– www.adp.com/healthcare

Payroll Schedules - 2010

Thanksgiving• Thursday, 11/25/10 is an ADP, a banking,

and a courier holidayChristmas Eve

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• Friday, 12/24/10 is an ADP holiday

• Possible banking and courier holiday• ADP recommends you transmit one day earlier

when a holiday falls between transmission day and pay day

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2011 Preparation

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Payroll Schedules - 2011

New Year’s• Friday, 12/31/10 is an ADP holiday• Possible banking and courier holiday

ADP recommends you transmit one day earlier

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• ADP recommends you transmit one day earlier when a holiday falls between transmission day and pay day

• Changes to 2011 payroll schedules must be returned to ADP by 12/03/10

Management Reports & General Ledgers

• Management report and general ledger changes must be returned to ADP by 12/03/10,

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including:

– Changes to 2011 management report schedules

– Any schedule changes, accrual changes or account changes for general ledgers

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Special Calculations

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• Determine the need for additional calculations or updates

• Verify vacation and holiday accrual calculation and 01/01/11 reset routines

– Employees with no reset year will not qualify for reset

Hours/Earnings/Deductions/Accumulators

• Determine need for changes and/or additions to:

– Hours/earnings/deductions/accumulators

– Internal changes for benefit programs

• A form must be filled out for additions/changes

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A form must be filled out for additions/changes

Hours/Earnings/Deductions/Accumulators

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• Goal limits do not automatically clear at year-end

• Flexible Spending Account (FSA), Health Savings Account (HSA) and charity deductions must be changed or deleted

• Verify hours, earnings, deductions and accumulators on AutoPay Master Control Company Options

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Additional Services Available

• Mass load of rate changes, benefits base updates, supervisor ID, department number or any other field in the application

• Completing spin offs and mergers in your application

• Mass end date of benefit and/or general deductions

• Insert new benefit deductions

• EMPLID re-numbering

• Input of merit review ratings

Annual Employee Deletion Purge

• Any employee who is logically deleted will be physically deleted from the masterfile – Logically deleted as the result of:

• A quarterly purge• An employee spin-off to another company

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An employee spin off to another company code or the merging of two (or more) company codes

• These employees would not have any 2010 dollars

• Last day to adjust 2009 via AdjustMate is 11/12/10

Annual Employee Deletion Purge

• After the physical purge, adjustments to 2009 must be completed by ADP and additional fees may apply

• The file numbers will no longer print on the totals page of the AutoPay Master Control as “Archived

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Employees Available for Prior Year Adjustments Only”

• If physically deleted employees are rehired, they must be passed to ADP as new hires

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Quarterly Purge Timeline

4th Quarter 2009

Employees Logically Deleted

Mid-February 2010

1st Quarter 2010


Mid-May 2010

2nd Quarter 2010


Mid-August 2010

3rd Quarter 2010


Mid-November 2010

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Employees Physically Deleted

November 2010

PayForce Purge Process• Payroll Maintenance ~ Process Payroll Results ~

Receive Files

• The file name will be PRXXX.YEP (XXX = the pay group) and the file must be loaded

PayForce Purge Process• The load process would be done for each pay group

by going through:– Payroll Maintenance ~ Process Payroll Results ~ Load Files

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Year-End ADP/APA Seminars

In-Person Seminars:• Atlanta, Georgia – November 3 and 17 • Elk Grove Village, Illinois – October 29 and November

12• Dallas, Texas – November 17 • Cerritos California – November 4

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Cerritos, California November 4 • Orlando, Florida – October 29 • Southbury, Connecticut – November 3• King of Prussia, Pennsylvania – November 10• Norwood, Massachusetts – November 17 and 18• Parsippany, New Jersey – November 5, 11 and 12 • Pleasanton, California – December 1

Year-End ADP/APA Seminars

Virtual Seminars:• November 19 Morning and afternoon sessions• November 23 Morning session• December 2, 7, 8, and 9 Morning and afternoon sessions• December 3 Morning sessions

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Available Features

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Go GREEN! Ditch the paper and save a tree!

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Go GREEN!

• Utilizing ADP’s paperless options saves:

Time

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Money

The Environment

Paperless Options

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• Secure Internet delivery and access to payroll reports, allowing for query, efficient storage and easy printing

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Paperless Options

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• Employee self-service access to historical and current electronic pay vouchers, W-2 statements and 1099 forms via the Internet

W-2 Services

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• ADP offers a service for clients who do not want to use internal resources to reprint or mail replacement W-2s

W-2 Services

• Allows employees access to an “interactive voice response” (IVR) system

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• Available in early February, an employee could dial a toll-free number to:

– Request a copy of their W-2

– Report an error on their W-2

– Request assistance with W-2 services website

– Request a change of address

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W-2 Only iPayStatements

• Browser based application that enables employees of ADP clients to view, save, and print their W-2s from any computer with an Internet connection

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• W-2s available for 3 years

• Employees register online using:– Employee ID (file number)– Company code– Zip code– Social security number– Tax year

ADP TotalPay

• Full service payroll account management…ADP Full Service Direct Deposit Provides

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– ADP Full Service Direct Deposit – Provides funding of an employee’s direct deposit account through an ADP bank account

– ADPCheck – Provides funding of payroll checks through an ADP bank account

– ADP TotalPay Card – Visa debit card for delivery of regular pay, reissue or manual pay for regular or terminated employees

ADP TotalPay iNET

• What is TotalPay iNet?

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What is TotalPay iNet?

– Secure, web-based application that allows ADP’s clients to process their own stop pays/reversals

• Who is eligible for TotalPay iNet?

– Clients currently using ADP’s TotalPay service

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ADP TotalPay iNET

• Benefits of utilizing TotalPay iNet:

– Eliminate potential exposure of confidential information

– Request a copy of an ADPCheck

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– View un-cashed items reports

– View the status of an ADPCheck

– Receive instant confirmation a stop pay/reversal has been processed and updated to the ADP system

– No additional cost for using this feature!

OneADP Service

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• OneADP Service is an easy to use, client facing, web-based solution that provides interoperability across ADP's Client Relationship Management systems, allowing clients the ability to open, update, inquire and query case activity 24/7

ADP4ME

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• ADP4ME is a One Stop Shop to find tools and information about ADP National Accounts products

– https://ADP4ME.ADP.com

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ADP4ME

• Update your SUI rate• Verify your payroll processing• Track your packages sent from ADP • Job aids for all ADP National Account payroll

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• Job-aids for all ADP National Account payroll, human resources, benefits and time/labor management products

• Information related to year-end, user group meetings, communications sent from ADP and forms

• Much more

Next Steps

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Follow-Up Items

• Meet with your Consultant

– Establish a follow-up meeting to discuss year-end topics

– Address any specific questions you may have

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Follow-Up Items

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• Emails will be sent throughout year-end, to provide reminders, critical dates and deadlines, and helpful resources to ensure you have a successful year-end experience

• Emails will be sent from “[email protected]”

• Contact your Consultant to be added to the distribution list or to make a change

Thank you for your continued business with ADP!

Documents

PayForce - 2010 Client Year-End Meeting Presentation