Terms of Service
These terms of service confirm the terms and objectives of our engagement and the nature and limitations of the services that will be provided between the client, (referred to hereafter as "the client"), and the payroll services provider, Payroll Express.com LLC. (referred to hereafter as “the service provider”). This document is officially know as, and to be referred to as the "Payroll Express Terms of Service".
By way of this agreement, the service provider agrees to complete certain functions necessary in the act of providing payroll, tax payment, and tax filing services for the client. These services include: Payroll Processing (Providing paychecks and employee earnings statements for each employee), Tax Pay Service (Calculation, payment and filing of all required payroll tax deposits and returns for the client) Reports (Detailed and summary reports showing tax calculations, paychecks, and general ledger breakouts.) The service provider will process client’s payroll based on timesheets, employee W -4s, pay rate and other payroll data that is submitted by the client provided that the information is submitted in a timely manner.
It is the client’s responsibility to provide accurate information to the service provider. Such information includes but is not limited to: Federal EIN, State Unemployment Numbers, State Unemployment rates, accurate legal business names, accurate deposit frequencies, and accurate bank account information of the client and its employees.
The client is fully responsible for the accurate determination, tracking, and reporting of employees’ time, pay rates, and employee classification. Completed W 4’s, I9’s, wage and hour classifications, and any other relevant information on all current and new employees must be completed by the client. It is the responsibility of the client to retain these records. The client is fully responsible for delivering to the employee the funds equal to the net amount of their checks along with a printout of the earnings statement provided by the service provider. With the direct deposit or print checks service, the employees of the client will be paid via an actual check or via direct deposit, both of which will be drafted out of the client’s bank account.
Direct Deposit requires that funds be available in the client’s account 2 days prior to the pay date. The payroll taxes and the service provider’s fees will also be drafted from the client’s bank account at this time. No tax deposits will be made unless the funds are actually drafted and verified from the client’s bank account. If a disruption arises during the transfer of funds from the clients account to the service provider caused by such items as non-sufficient funds, account closures, Incorrect accounts, or funds delays, the client is fully responsible for reimbursing the service provider immediately upon demand for any fees charged to the service provider as the result of such disruptions. The initial fee for any such disruption is $39, after which the fee is $125. The service provider reserves the right to discontinue service for the disruption in funds transfers. Any such disruption may also affect the accuracy of any tax filings and/or tax payments and the service provider shall not be responsible for any inaccuracies arising out of any such disruption.
Limited Power of Attorney
By providing a signature to the service provider, the client hereby authorizes the service provider to utilize the client’s signature in obtaining limited power of attorney and / or allow the service provider access to the client’s online tax accounts with the following agencies: The IRS, The state department that oversees unemployment taxes, the state department that oversees state income tax, The agency, state or private, that oversees workers compensation insurance. The client also hereby authorizes the service provider to change the agent of record of an existing workers compensation policy of the client. The agreement also serves as an EFTPS disclosure authorization to exchange tax information with the IRS.
Fair Labor Standards and Immigration and Nationality Act
It is the responsibility of the client to collect all relevant background and legal information to verify the legal status of prospective employees, their wage and hour classification, and the legality of employment in the United States. Under the Immigration and Nationality Act, employers must verify the identity and employment eligibility of anyone they employ. It is also the client’s responsibility to collect such information as employment applications, emergency phone numbers, I-9s, copies of drivers’ licenses, birth certificates, or social security cards, etc. It is also the responsibility of the client to provide to the service provider in a timely manner any and all essential beginning balance information. It is the responsibility of the client to pay any and all payroll taxes associated with beginning balances. The service provider is only responsible for collecting, paying and reporting all payroll taxes associated with payrolls actually processed by the service provider.
Fees and Charges
The service provider utilizes a per item processing fee structure for the following items: Checks, Direct Deposits, W2’s, and 1099’s. The per item processing fees typically decrease with a higher number of items in the payroll run. Other fees include but are not limited to shipping, efile Fee, time tracking, workers compensation, vendor checks, administrative efile surchage and garnishments. Because of the varying complexities and procedures between States and Federal taxing authorities in regards to calculating, paying and filing taxes, the service provider reserves the right to add an administrative efile surcharge to certain types of taxes not to exceed one half of one percent of the taxable gross wage of said tax. If the client fails to meet a monthly minimum amount in processing fees of $19.98 dollars, the difference of what was charged and $19.98 dollars will be drafted from the clients account in the following month. Upon request, the client can receive and review the current fee schedule that is assigned to their account. The service provider reserves the right to review and/or adjust the fee structure on a yearly basis or as needed in order to keep pace with the consumer price index. The rate of increase in any such Monthly Fees shall not exceed a percentage equal to the sum of (i) the percent age equal to the percentage change in the Consumer Price Index, All Urban Consumers (CPI-U) for the twelve (12) month period ending in the month immediately preceding the month in which such fee increase occurred, as published by the United States Department of Labor Bureau of Labor Statistics, and (ii) five percent (5%) rounded up to the nearest penny.
Communication and Security
The client shall maintain confidentiality of its passwords and data. The service provider may treat as authorized agents of the client those persons the client names in writing and those who have client’s passwords. The client will not interfere with or disrupt the service provider’s website or data system and will not transmit any viruses, trojan horses, worms, time bombs, cancel bots, spyware, and malware of any type to the service provider.
The Client Employees
If a dispute arises between an employee of the client, and the client, in regards to the amount of compensation owed or time worked, the client will indemnify and hold the service provider harmless from all the employee’s claims and any claim that the service provider has liability as the employer. The client also agrees to pay the service provider’s attorneys’ fees incurred in defending against the claims brought by the client’s employee. This engagement cannot be relied upon to disclose fraud or illegal acts. The service provider has no means by which to track an employee’s time or salary, and holds no responsibility other than the computation, transfer of data, payment of payroll taxes and filing required returns and reports based on the data the client provides to the service provider. The service provider will only process the payroll on data reported by the client to the service provider. The service provider’s performance shall be excused in the event of conditions beyond its control.
Payroll Prior To This Agreement
By way of this agreement, the client hereby absolves the service provider of any penalties, errors, or interest payment responsibilities arising from incorrect deposits, filings, or payroll liability information prior to the first payroll with the service provider and waives and releases any claims for the same against the service provider. It is the client’s responsibility to timely pay all taxes due until the service provider starts the payroll and tax filing service.
The client may terminate this agreement and discontinue the service at any time. The service provider may terminate this agreement and discontinue service at any time. The service provider may discontinue service immediately without notice for any breach of the client’s obligations under this agreement. Upon termination by the client, the service provider will not have any duty to file any further payroll reports or provide data assistance. In the event that data is requested in writing or via email by the client, the service provider will provide a quarterly payroll register and/or a single copy of the W2's and a W3 for the current year . No further information will be provided. In the event that funds are not available for a payroll run, the service provider reserves the right to terminate this agreement on the date of the last completed payroll transaction. If the client does not process any payroll during the space of 6 months, the service provider reserves the right to terminate services and cease to file any payroll reports. By utilizing the payroll service of the service provider in anyway, whether it be by phone, fax, direct login, or any other communication format in order to initiate the processing of a payroll run, or receive information of any kind, or in any format, from the systems of the service provider, the client hereby agrees to the terms and conditions that are spelled out in this document know as the Payroll Express terms of service.
This relationship between the service provider and the client shall be governed by and interpreted in accordance with Idaho law. Any dispute or claim arising out of or related to the service provided to the client or the interpretation, making, performance, breach or termination of this Agreement shall be finally settled by binding arbitration in Idaho under the American Arbitration Association Rules by one arbitrator. Any claim must be brought within one year of the alleged breach. Otherwise such claim shall be barred. The service provider guarantees that all payroll taxes will be computed accurately and deposited on time as long as there is no interruption in the timing of the transfer of payroll tax amounts from the client’s account and provided that information that is provided from the client to the service provider is accurate and timely.