For almost 12 years I worked for a company who's name I will not mention here. Lets call it Company A.
In November I quit Company A to work for Company B. Company A gave me my last check, and since I worked in sales, sent me a negotiated commission check. The negotiated part is a long story, but it was not in my favor.
OK. All is fine.
Half way through December I get another check from Company A, though I am working for Company B now. From the amount on the check, just under a Grand, I realize its a standard payroll check. They forgot to take me off their payroll.
I call my boss. He says don't worry about it and throw it away.
I e-mail his boss, because his boss is in a different city, where the payroll originates. His boss contacts him and says to have me send the check back.
I hesitate. I email everyone involved saying that I do not want this last check appearing on my W4 forms. I don't want to pay taxes on money I'm returning to the company.
I hear nothing.
I keep the check, but don't cash it, and wait.
Yesterday I am doing my taxes and realize, sure enough, they put that amount on my W4 form. I'm paying taxes on the $1,300 gross check, with out getting any of that money.
My wife (here's the relationship part of the question) suggested that I just cash the check. If they are telling the state and federal government they paid it to me, then apparently they did pay me.
I could use the extra cash.
On the other hand since I know they didn't mean to pay me this money, is it stealing to cash the check?
Is it legal?
Is it moral? (those two are rarely the same)
What can I do legally to get my W4 corrected if I don't cash the check?
What can I do to let my wife know I can't cash the check legally or morally and still not have her be upset with me on Valentines day?
Posted by Dagonee (Member # 5818) on :
There's a lot of paperwork involved in fixing that check now - they have to stop the check, they have to file amended payroll returns, and amended W-2s.
They may not want to do all this. I'd simply call them and say, the money is on my W-2. Let's discuss a timeframe for you to file the amended W-2 and me to return the check. I've demonstrated my good faith by not cashing it, so now you need to demonstrate yours. When i receive the amended W-2, I'll return the check.
It's also possible they just stopped the check, in which case you'll have a harder time convincing them to help you out. Then you'll have to be an annoying pest.
Dagonee
Posted by Boon (Member # 4646) on :
Here's what the IRS says you can do if they don't fix it. Good luck.
quote: If your attempts to have an incorrect Form W-2 corrected by your employer are unsuccessful and it is after February 15th, contact the IRS at (800) 829-1040. An IRS representative can initiate a Form W-2 complaint. Form 4598, Form W-2 or 1099 Not Received or Incorrect, will be sent to the employer and a copy will be sent to you along with Form 4852 (PDF), Substitute for a Missing Form W-2, Wage and Tax Statement
Posted by Belle (Member # 2314) on :
hm, I bet they put a stop payment on it already, which means you couldn't cash the check if you wanted to. You need an amended W2, sorry to say.
I'd contact the IRS right now, and have them send the form to the company - they'll pay more attention to the IRS than they will to you.
Posted by Dan_raven (Member # 3383) on :
Those who think they put a stop payment on the check are giving the accounting dept of company A much more credit than they deserve. They just aint with it that much.
I'll contacting the IRS anyway. They big problem, it will delay my big refund check. @#$@##$.
Posted by Dagonee (Member # 5818) on :
You can file using the current W2 and then file an amended return later.
I'm still thinking they may not want to fix the problem, especially if they're as lacking as you say. The money's gone, the books are done. It's far less paperwork to let you cash the check.
Posted by ketchupqueen (Member # 6877) on :
But it's not really honest to take money that you didn't earn, is it?
Posted by Dagonee (Member # 5818) on :
To be ethical, he'd have to get there approval. If they approve it, there's no ethical problem at all.
Posted by Zeugma (Member # 6636) on :
I'm on the phone with the IRS right now, and I highly recommend their delightful hold music.
La la la laaaaa......
Posted by ketchupqueen (Member # 6877) on :
Dag, I'm just saying, approval or not, if I felt I hadn't earned it, I wouldn't feel right taking it. (It's not like a gift from a family or friend.) Now, he did say he got shorted on his severance. If he feels this would be what he earned, and got shorted on, then getting approval would be okay, I guess.
Posted by msquared (Member # 4484) on :
Sorry that is rationalizing taking the check. If he thinks he was done wrong on the commission, then he needs to talk to them about that.
msquared
Posted by Dagonee (Member # 5818) on :
It's not likely with the amount in this case, although it's possible, that it might not be worth the time and effort to fill out the forms to take care of this. They have to redo the payroll forms and the W-2s. If they are large enough to have to submit W-2s electronically, they probably go to a service provider to do so. They'd likely have to redo their books for December. If this takes an accountant 4 hours, a check have the size in question wouldn't be worth getting back at this point.
Given that Dan's on the hook for the taxes they've reported, it is perfectly valid for him to keep the check if they don't want to do the work necessary to take it back and redo the reporting.
Dagonee
Posted by Dagonee (Member # 5818) on :
"Watch your cornhole."
Posted by Dan_raven (Member # 3383) on :
Speaking of Office Space, I caught the flu at Christmas time and called in sick to company B. They said, "Well, don't bother coming in. We are closing the store anyway, so we are letting you go."
They packed up my things for me.
In the box of stuff they packed for me was the new stapler they had just got for my desk.
I GOT THE STAPLER!!!!!!!
Posted by Dagonee (Member # 5818) on :