April 2, 2026
Approve payroll balancing, override deductions, and explore new benefit types today!
Q1 Balancing Day is Here!
Throughout today, we are approving balancing payrolls for all companies with managed pay history in Q1. Transactions resulting from these balancing payrolls will be initiated on Friday, April 10th. You can learn more about Balancing in our Help Center article.
As a reminder, if you are subscribed to our Filing period closed Communication, your employers with a direct transaction resulting from balancing will receive an email with a Tax Receipt detailing their quarterly balancing adjustments when their balancing payroll is approved today. If you plan to notify employers of these upcoming transactions separately, you can download the Tax Receipt for each employer via Console on the balancing payroll detail page.
Some highlights of balancing this quarter:
- Balancing transactions affect limited number of companies
- Balancing runs for all companies with a managed pay history each quarter, but for many companies it does not result in a direct transaction. This is in part due our balancing transaction threshold, which only initiates direct transactions with a net value in excess of $1.
- As a result, only 20% of companies will see a direct transaction (either a refund or collection) resulting from balancing this quarter.
- SUI rate changes and new company setups are the primary drivers of transactions
- State Unemployment Insurance (SUI) rate changes are employer-specific tax rates that state agencies reassess periodically, most commonly at the start of each calendar year. These updated rates are based on each employer's claims history and are issued directly by the state. When a rate change takes effect, the amount owed on wages already paid in the quarter may differ from what was originally withheld at the prior rate.
- Similarly, for employers who started running payroll on Check during Q1, initial tax configurations such as estimated SUI rates can change when actual rate notices are received from agencies. Balancing corrects for the differences created in both of these scenarios.
Outside of these balancing payrolls, we expect a small number of companies to require additional corrections after quarter close due to updated tax rate feedback that can only be received from agencies at the time of filing later in the month. We will provide further guidance on how any resulting corrections will be surfaced and can be communicated to your customers.
Negative Benefit and Post-Tax Deduction Overrides
We have added the ability to override benefits and post-tax deductions on payroll items to a negative value.
A common type of mistake in payroll processing is over-contributing to benefits or deductions. For example, an employee may have ended their contributions to their 401k retirement plan, but that was not updated in Check until after payroll had been processed. In the past, these mistakes would have required a correction to retroactively update the deductions amounts and update taxable wages accordingly.
With negative benefits and post-tax deduction overrides, you can now give employers the ability to do this themselves by correcting the contribution or deduction amounts on the employee’s next pay run. This will correctly reflect in the employee’s tax calculations and net pay.
For more information, refer to our guide for Defining benefits.
New Benefit Type: Personal Use of Company Car
We have added a new benefit type, “pucc” (Personal Use of Company Car), which can be used to capture the value of an employee’s personal use of a company-provided vehicle, which is a taxable fringe benefit according to the IRS.
For more details and our full list of supported benefit types, refer to our API reference.