Collections and Refunds Notification
Why am I receiving an email to approve a refund or collect tax funds?
Purpose: To help you understand the approval process for one-time collections or refunds and the purpose behind this process.
Table of Contents
- Collections and Refunds Notification
- What am I supposed to do now?
- Who will receive this notification and/or is authorized to approve these funds?
- What will happen after approval?
- What will happen if I do not approve the funds?
- What should I do if I am not getting the Collections and Refund request?
Collections and Refunds Notification
Full Administrators in your account may receive an email from our Payroll Services team for the following reasons:
- To approve a refund. Sometimes, overpayments are made to state agencies on certain taxes. When we are notified, a similar email will be sent to communicate the refund amount, and upon approval, we will ask you to specify the delivery method of the refund. Regular refunds from BambooHR will be processed the same way.
- To approve a collection of tax funds. As your new payroll provider, we are responsible for paying your quarterly taxes even if you transition to our payroll services in the middle of a quarter and were partially serviced by your previous payroll provider. To ensure we have enough money to do so, we will request to sweep the amount collected by your previous payroll provider during the transition period. Although that is the most common reason, you may also receive this notification if you request a tax correction or amendment, a tax adjustment is made, you request to wire a refund, or BambooHR needs to collect fees.
Clicking View Details & Approve will not automatically approve the request. Rather, a details page will display where you will make the final approval.
Once you click View Details & Approve, you will be routed to log in to view the details page. On this page, you can review the list of impacted employees, the tax balances by tax type, and any other collections or fees being assessed. You will also be able to make the final approval by choosing one of the following three methods:
- Choose the main account on file for the collection/refund. This option will be selected by default.
- Choose to use a different bank account. You will be prompted to enter the new account info. Our team will validate your bank information before proceeding.
- Choose to wire the funds. If choosing this option, you will receive instructions for completing the wire transfer.
Click the Approve Collection button to complete this request.
For refunds, Full Administrators will always receive this notification. For mid-quarter tax collections, BambooHR will send the notification to Full Admin users in BambooHR who also have user access in TRAXPayroll. The person requesting the change will also receive this notification as long as they are an approved payroll user listed in BambooHR.
The funds will be debited or credited from your account within 2-3 business days unless it is an agency refund. The agency will refund on their own timeline.
- If refunds are not approved, they may be applied to future liabilities. (i.e. fees, taxes)
- If the funds are not approved for debit in a timely manner, then you could be subject to additional penalties and interest applied by the agency.
- Your account could be subject to interruption of services. Your ability to process payroll could be affected.
Make sure to check your spam folder and that BambooHR is on your allow list.