Workers' comp premium payments and payroll

When you sign up for workers' compensation with Gusto, premium amounts are submitted using the pay-as-you-go payment method. The following timeline occurs when you run payroll:

1. Every time you run payroll (regular, off-cycle, or bonus payroll), we'll send your payroll information to our partner, AP Intego.
2. AP Intego will forward this to your insurance carrier and use the payroll information to determine your premium amount. This amount is calculated based on 4 key factors:
   • Employer's payroll amount
   • Job classification (4 digit class codes) within the company
   • Historical claims experience (experience rating or ex mod)
   • Taxes and surcharges applicable to the state
3. Every Thursday, a workers' compensation invoice will appear in your Settings tab under Plan & Billing for payrolls processed within the prior week.
4. A debit for this calculated premium will be deducted from your company bank account. Note: AP Intego will debit from the company bank account used in Gusto. They have this information as part of the Gusto/AP Intego integration. 

Restrictions with inconsistent payroll

Pay-as-you-go workers' compensation requires consistent payroll. If you do not run a payroll for 5 consecutive weeks during the course of your policy period, AP Intego will debit your account $30 for No Payroll Adjustment. If your policy continues another 2 weeks after the $30 debit without activity, your policy will be referred to the insurance company for cancellation.

If you therefore anticipate a time period greater than 4 weeks without payroll, please contact AP Intego at (866) 610-0063 to let them know. This will keep your policy intact and avoid having to repurchase insurance when this is needed in the future.