Payroll Arizona, Unique Aspects of Arizona Payroll Law and Practice

The Arizona State Agency that oversees the- Employers address
collection and reporting of State income taxes- Employer's Federal Employer Identification Number
deducted from payroll checks is:(EIN)
Department of RevenueThis information must be reported within 20 days of
1600 W. Monroe St.the hiring or rehiring.
P.O. Box 29009The information can be sent as a W4 or equivalent by
Phoenix, AZ 85038-9009mail, fax or electronically.
602-255-2060 or 800-843-7196There is no penalty for a late report in Arizona.
Arizona requires that you use Arizona form "A-4,The Arizona new hire-reporting agency can be
Employee's Arizona Withholding Percentage Election"reached at 888-282-2064 / 602-340-0555 or on the
instead of a Federal W-4 Form for Arizona Stateweb at
Income Tax Withholding.Arizona does not allow compulsory direct deposit.
Not all states allow salary reductions made underArizona requires the following information on an
Section 125 cafeteria plans or 401(k) to be treated inemployee's pay stub:
the same manner as the IRS code allows. In ArizonaEarnings and deductions if employee paid by direct
cafeteria Payroll Alabama, Alabama payroll, payroll,deposit information.
payroll taxes, payroll withholding, payroll service plansIn Arizona pay frequency is semimonthly within 16
and 401(k)'s are not taxable for income tax calculationdays of each other; FLSA-exempt employees can be
and are taxable for unemployment purposes.paid monthly by out of state employer.
There is no provision in Arizona payroll law concerningThe lag time between when the services are
supplemental wage tax rates.performed and when the employee must be paid is
You may file your Arizona State W-2s by magneticfive days after the pay period (10 days if payroll
media if you choose to.system is out of state); 16 days for exception or
The Arizona State Unemployment Insurance Agencyovertime pay.
is:Arizona payroll law requires that involuntarily terminated
Department of Economic Securityemployees must be paid their final pay with in 3
Unemployment Tax Divisionworking days and that voluntarily terminated
P.O. Box 6028employees must be paid their final pay by the next
SAT Code 911Bregular payday or by mail if employee requests it.
Phoenix, AZ 85005Deceased employee's wages up to a maximum of
602-248-9354$5000.00 must be paid to the surviving spouse after
The State of Arizona taxable wage base foran affidavit showing employee's death and status of
unemployment purposes is wages up to $7000.00.surviving spouse is tendered.
Meaning that unemployment tax will only be calculatedEscheat laws in Arizona require that unclaimed wages
on the first $7000.00 of an employee's wages eachbe paid over to the state after one year.
year.The employer is further required in Arizona to keep a
Arizona magnetic media reporting of quarterly wagerecord of the wages abandoned and turned over to
reporting is optional.the state for a period of five years.
Unemployment records must be retained in ArizonaThere is no provision in Arizona law concerning tip
for a minimum period of four years. This informationcredits against State minimum wage.
generally includes: name; social security number; datesIn the Arizona payroll law there is no provision covering
of hire, rehire and termination; wages by period; payrollrequired rest or meal periods.
pay periods and pay dates; date and circumstances ofThere is no provision in Arizona law concerning record
termination.retention of wage and hour records therefor it is
The Arizona State Agency charged with enforcing theprobably wise to follow FLSA guidelines.
state wage and hour laws is:The Arizona agency charged with enforcing Child
Labor DepartmentSupport Orders and laws is:
P.O. Box 19070Division of Child Support Enforcement
Phoenix, AZ 85005-90703443 N. Central Ave., 4th Fl.
602-542-4515Phoenix, AZ 85012
There is no general provision for minimum wage in the602-252-4045
State of Arizona.Arizona has the following provisions for child support
There is also no general provision in Arizona Statedeductions:
Law covering paying overtime in a non-FLSA covered- When to start Withholding? 14 days after receipt of
employer.order.
Arizona State new hire reporting requirements are that- When to send Payment? Within 2 days of Payday.
every employer must report every new hire and- When to send Termination Notice? Within 10 days of
rehire. The employer must report the federally requiredtermination.
elements of:- Max Administrative Fee? greater of $4 per mo. or $1
- Employee's nameper pay period.
- Employee's address- Withholding Limits? 50% of disposable earnings
- Employee's social security numberPlease note that this article is not updated for changes
- Employer's namethat can and will happen from time to time.