Do you have unclaimed or uncashed payroll checks?

Rules for unclaimed and uncashed payroll checks are set by the State of Nevada for abandoned property.  Employers are not allowed to keep the money from uncashed payroll checks.  Nevada requires unclaimed and uncashed payroll checks be turned over to the state.  The State of Nevada will cash the checks and hold the money for the employee.

Doing nothing with the checks is the worst mistake an employer can make.  If these checks are found during a SUTA or Workers Comp audit the penalties can be more than the check and you still have to surrender the check to the State. 

If you cash the employee's check in your office deposit the check to the business account.  If you as the owner are also an employee of the business you need to process your checks as well.  If you don't run the checks through your personal account, then deposit them back into the business checking account.

In Nevada any paycheck check over $50 that is uncashed or unclaimed must be sent to the State on form UP-1 by November 1st of each year.  The report covers the year from July 1st to June 30th.

As an employer any payroll check that you write must clear your bank account.  If the check does not clear it is considered unclaimed or uncashed.  You may have given the employee cash for the wages but if the check does not clear your account the employee will get paid twice.