2021 End of Year Memo
This memo will answer frequently asked end of year questions
and explain what you can expect from Palco as we close out 2021.
As we reach the end of 2021, we want to thank you for your commitment to self-direction and keeping yourself or those you love safe in their home and community.|
W2 Forms
The IRS requires that all 2021 W-2s be mailed to employees of self-directing participant-employers no later than January 31, 2022. Palco will mail all W-2s through the United States Postal Service. If a W-2 is not received by February 15, 2022, please contact our customer service team, and they will assist you with reissuing.
Payroll Schedules
Programs that require an updated payroll schedule will be published in December of 2021 for the 2022 calendar year. Please visit your program page on the Palco website to download a copy.
Minimum Wage
Did minimum wage change in your state? If you live in Colorado (The City of Denver increased the standard minimum wage for all citywide workers), Nevada, or New Mexico, minimum wage standards will increase in 2022. Make sure you review your employee’s wages and take the necessary steps to ensure you comply with your state’s minimum wage practices. Be on the lookout for more minimum wage-specific communications coming from Palco soon.
FICA Refunds
If your employee did not meet the annual FICA (Social Security and Medicare) threshold for 2021, Palco will file all required amended payroll tax returns and issue payments for instances where there have been over-collected taxes from your employees’ compensation. Your employee will receive refunds of over-collected Social Security and Medicare taxes directly from Palco. These refunds will be paid to the employee in January immediately following year-end. Your employee should not file a claim for a refund of over-collected Medicare or Social Security with the IRS. For more information about over-collected FICA taxes, please contact the IRS or go online to review Publication 15, Circular E- https://www.irs.gov/publications/p15.
Change of Information
If you or your employees have changed any of your information in 2021, we need to hear about it so that we can contact you and keep you informed about important updates related to your services. Please update Palco immediately for any changes in your address, phone numbers, emails, or other important details. You can find a change of information form on your program page.
