To ensure integrity of the UI system, the Division of Employment Security (DES) conducts audits of unemployment claims using information from the National Directory of New Hires program, the Wage Cross Match program, and tips and leads from external sources.
A Wage Audit Notice is sent to the employer(s) to confirm the accuracy of benefit payments when claimants return to work or have earned wages during the quarter that in which they filed for or received unemployment insurance benefits. A Wage Audit Notice requests gross wages for specific weeks for a particular claimant. It is essential that employers return the WAN timely to reduce fraud and overpayments.
Completing a Wage Audit Notice
- Reduces unemployment fraud and overpayments.
- Maintains the integrity of the Unemployment Insurance Fund.
- Deters inaccurate information which can cause incorrect or missed overpayments, resulting in appeal hearings.
- Offsets an increase in employer tax rates due to improper payments.
- “First day worked” should be the first day worked for pay, if different than the hiring date.
- Individuals are required to provide/list wages on a Sunday through Saturday format. If your employee worked part-time, it is imperative important to provide wages in the same Sunday-through-Saturday format.
- Pro-rating part-time wages could result in improper overpayments.
- Report gross wages when they are earned – not when they were paid.
- Bonus pay is the only pay that is reportable when it is received.
- Be sure to include holiday, vacation, and sick pay in gross wages for the week(s) covered.
- Severance and/or separation pay is reportable for the period it covers.
- You can attach supporting documentation such as timecards and pay stubs.