Solutions
How Much Do You Spend Trying To Make Your Print Deadline?
Meeting the annual deadline for printing and mailing of 1099 forms is one of the most stressful aspects of tax reporting. Organizations push in-house print operations to maximum capacity or beyond and still have to search out a third party to assist with printing and mailing. The overhead of managing an in-house operation can be astronomical, from staffing, to maintenance, to security. Should an organization choose to manage their own third party vendor, the process of researching and selecting a qualified vendor to meet needs can add up to one or more full time positions. Worse still, many organizations don’t keep up with current recipient addresses, resulting in a flood of returned mail. Even if an organization defines a process, vendors may or may not assume liability if forms aren’t delivered on time or if sensitive personal information is exposed. On top of all this, organization will often send of thousands more forms than needed by failing to consolidate multiple forms to a given recipient; the resulting can be a confused or even worse, irate recipient amounting to a drain not only on customer service, but brand loyalty.
Fully Managed Printing
Convey’s Print Services take care of printing and mailing details with guaranteed form delivery. Convey audits print partners annually (based on stringent ISO 27001 security protocols), coordinates with clients to test print files, and performs final .pdf proofs before sending forms to production. Upon customer request, forms are customizable for branding with the organization and whenever possible and Convey will consolidate forms. Some of the largest organizations in North America that have used Convey’s Print Services have reduced return mail by over 60 percent, and reduced their form volume by 90 percent. Because Convey guarantees timely delivery of forms, clients get something priceless: piece of mind.
How Much Are Your Printing and Mailing Costs?
40 percent of an organization's operational overhead in 1099 tax reporting is spent printing and mailing forms. Organizations will spend hundreds of thousands of dollars sending their recipients paper forms without ever realizing the implications. On top of a 50 cent hard cost of every form, recipients only have one way to view their information and if the 1099 form somehow gets lost or destroyed, the recipient has to call to request another. The end result is the waste of another 50 cents to mail the form, customer service time spent handling the request, and what can amount to weeks of mailing time while the customer sits frustrated. More and more companies, however, are providing their statements online, at a fraction of the cost.
1099 Tax Forms Online
With Convey’s eStatements solution, organizations can present their recipients with tax forms online in real time on one simple on-screen interface. Recipients can still receive a printed form, but have the option to opt out of a mailed form and while accessing their information through a login on the company website. Easy to view and access along with the rest of their account information, tax detail information is generated in real time on an electronic form for easy viewing and printing. With the e-Statement solution, organizations can also set up an interactive voice response phone service for recipients who prefer to use the phone to validate their tax information.
Benefits
Organizations that have taken advantage of the e-Statement solution have cut costs by need to get info on this...I am not sure we currently have clients who are saving $ on opt in/out
How Much Time and Money Are You Spending Correcting Your Recipient Information?
As a regular part of doing business, organizations processing large volumes of non-wage payments (insurance, financial services, etc.) to individuals and businesses must constantly maintain correct information within their database. For any individual or business name that has a mismatched (taxpayer or employer) identification number, the organization has to solicit correct information and update their records. If an organization fails to do so, they face the risk of penalty fines or backup withholding requirements from regulatory agencies that can quickly add up to thousands of dollars. Trying to abate the fines or withhold properly can amount to hundreds of staff hours searching, soliciting, updating and archiving recipient information if the process is handled internally. None of these endeavors yields any business returns. Organizations that ignore these requirements flirt with catastrophe--the prospect of an IRS audit can mean up to $250,000 in penalty fines for non-compliant large volume filers. Does it make sense to manage this in house when organizations can automate the entire due diligence process and ensure compliance at a fraction of the cost and time of running the process internally?
Due Diligence Fully Automated
With Convey's TIN Compliance Services, every step in the due diligence process is automated and managed by Convey. The moment an organization moves data from their transaction source systems into Taxport, the 1099 information is checked in bulk against the IRS database. For all mismatched name/TIN combinations, a TIN master record is created and W-9 solicitations are automatically sent to all recipients. For any recipients who don’t respond in the allotted time, the system is automatically set to withhold the requisite 28 percent. For those who do respond, the system locks down thecorrect information it can't later be changed. For all old records, Convey takes an organization’s CP2100 (IRS issued file with all mismatched names) and performs the same process for all outstanding records. The end result is that the hours spent sifting through records and the thousands of dollars paid out to the IRS disappear—and the company can get back to what matters most—its core business.
The Benefits:
Organizationsthat have taken advantage of Convey’s TIN Compliance Services and have seen an 80 percent reduction in notices from the IRS amounting to cost savings of tens of thousands of dollars and as much as two full weeks of dedicated fulltime staff work.
Features:
- Fully Managed W-9 Solicitation
- Full Document Archival for Easy Lookup and Due Diligence Demonstration
- Real-Time Bulk TIN Matching
Tired of Wasting Time Researching WIthholding Compliance?
Correctly fulfilling federal withholding responsibilities on non-wage payments is one of the biggest stumbling blocks in 1099 tax reporting—and one that is at the center of business for financial services organizations. For all tax deferred compensation plans for which a business unit under an organization makes payments, someone needs to ensure correct withholding and remittances on the federal, state and locality level. Once payments are made to all regulatory agencies, an organization needs to ensure that remittance amounts match (reconcile) with the amount on 1099 all forms. Simply put, the level of compliance expertise and time needed to perform the process with any degree of competence is staggering—organizations will staff up to as many as four full time employees to manage the process. But does it make sense to staff up trying to manually perform this intensive process when third party solutions exist to streamline it with greater compliance it at a fraction of the time and cost?
Withholding Research and Calculation Automated
Convey’s Withholding Management solution automates the entire withholding process. For every business unit, users can input payment information into Taxport to set up a payment calendar. The result is an automatically generated payment schedule derived from regulations on all regulatory (federal, state and selected locality) levels based on payments made. Once payments are made, Taxport automatically reconciles 1099 form detail against remittance information and stores the information for transparency and easy audit. The end result is the effective elimination of research, caluculation and reconcililiation.
Leading annuity, retirement and life insurance companies that have taken advantage of Convey’s services have reduced internal withholding process effort by over 60 percent and been able to reallocate four full time employees to core business processes, all while growing their businesses and payment volumes.
- Withholding Research and Calculation Eliminated with Compliance Calendar
- Automated Form to Remittance Reconciliation
- Handles Payment on Federal, State and Locality Levels