Onboarding FAQ #

Payroll Plan Inclusions #

What Is Not Included in the Regular Payroll Plan? #

The following features are not included in the regular payroll plan:

• Next-day direct deposit
• Multi-state payroll
• PTO policies with accruals
• Job costing
• Custom roles and permissions

Employer Identification Number (EIN) #

Where Do I Find My EIN? #

You can find your EIN in the following places:

• IRS confirmation letter (CP 575)
• Past tax returns
• Business bank account paperwork
• Payroll/accounting records
• Any IRS notices

If you can’t find your EIN:
Call the IRS Business line at 800-829-4933.

Business Entity Type #

What Entity Type Should I Choose? #

Choose the entity type that matches how your business is legally formed and taxed. This should be consistent with your:

• EIN documentation
• State registration
• Tax filings (e.g., sole proprietor, partnership, LLC, S corp, C corp)

Why It Matters #

Payroll providers use your entity type for:

• Tax withholding
• 941/940-style reporting
• W-2s
• Determining owner vs. employee rules

A mismatch can cause incorrect withholdings and filing problems.

If You’re Unsure #

• Confirm with your accountant or refer to your IRS/state setup—not just the “easiest” dropdown option.
• Do not pick an entity type only because the form suggests it; it should reflect your actual business structure.

Business Address and Payroll #

Does My Business Address Matter for Payroll? #

Yes. Your business’s physical address is critical for payroll because it determines which state and local payroll taxes apply to your business and employees.

• Tax agencies use this address to assess tax obligations, such as state unemployment insurance and local withholding taxes.
• Using the correct business address ensures compliance and prevents filing errors.
• If your business or workplace address changes, you must update it with the IRS and relevant state/local agencies.

Banking Information #

Where Can I Find My Routing Number? #

• Check: Bottom-left 9-digit number
• Bank app/website: In account details
• Bank statement
• Customer support or branch

Note: Routing numbers can vary by transaction type (e.g., direct deposit vs. wire).

Bank Account Linking #

What Is the Difference Between Plaid and Manual Entry? #

Plaid #

• Instant or near-instant bank linking
• Logs in through bank securely
• Auto-verifies account ownership in real time

Manual Entry #

• Slower setup compared to Plaid
• Requires typing routing and account numbers
• Verification typically via micro-deposits (1–3 business days)

Authorization #

Form 8655 #

IRS Form 8655, also known as the Reporting Agent Authorization, is a legal document that permits a third-party payer (such as Friday) to:

• Sign and file tax forms on behalf of a business
• Submit electronic tax payments
• Receive copies of IRS notices

This form serves as a specific authorization for payroll-related tax responsibilities.