Top 7 Payroll Mistakes Costing Oklahoma Business Owners Thousands

Payroll isn’t just a task — it’s a liability if done wrong. Whether you’re running payroll in-house or relying on a national provider, a few common mistakes can lead to big penalties, unhappy employees, and compliance issues.

At Boulanger CPA, we’ve seen it all. Here are the top 7 payroll mistakes we help Oklahoma businesses fix — and how to avoid them in the first place.

1. Misclassifying Employees as Contractors

The risk: Back taxes, penalties, and liability for unpaid benefits. The IRS and Oklahoma Employment Security Commission (OESC) are aggressive about auditing misclassification.

Fix: Use a CPA to evaluate worker status using IRS guidance and the Oklahoma ABC test. Learn more about this in our Oklahoma Payroll Compliance Guide.

2. Missing Payroll Tax Deposits

What goes wrong:

• Forgetting to remit after each pay run
• Using outdated software that doesn't track due dates

Fix: Use a payroll provider like Boulanger CPA that automates deposits and confirms deadlines are met.

3. Skipping Quarterly or Year-End Filings

Every Oklahoma employer must file:

• IRS Forms 941 & 940
• Oklahoma withholding tax returns
• OESC unemployment tax returns

Fix: Ask for filing confirmations every quarter. Or use a CPA who guarantees compliance.

4. Not Issuing W-2s and 1099s on Time

What we see:

• Business owners forget to issue 1099s
• W-2s have incorrect SSNs or wage totals

Fix: Review contractor and employee records quarterly. Use a CPA payroll provider that automatically generates and files these forms.

5. Overpaying or Underpaying Employees

Why it matters:

• It creates trust issues with employees
• Can trigger wage & hour complaints in Oklahoma

Fix: Use CPA-reviewed payroll with proper audit controls. Double-check pay rate inputs and PTO balances regularly.

6. Not Keeping Payroll Records

Mistake: Relying solely on cloud software or losing access after switching providers.

Fix: Maintain both digital and secure physical backups of all payroll documentation. Use a CPA firm with long-term recordkeeping policies.

7. DIY Payroll Without Oversight

The result:

• Missed compliance issues
• No alerts when things go wrong
• Increased audit risk

Fix: Outsource to a trusted CPA payroll provider who understands federal, state, and local requirements.

Avoid Payroll Mistakes — Partner with a CPA

At Boulanger CPA, we specialize in helping Oklahoma businesses eliminate payroll errors and run a clean, compliant operation.

• Monthly pricing per employee
• Full-service payroll and tax filings
• CPA-level oversight and support

See Our Payroll Pricing
Book a Free Payroll Consult

Serving Oklahoma City, Tulsa, Norman, and businesses across the state of Oklahoma.

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