“No-Match” letters have always been a source of concern for employers…and they’re back!
In response to litigation, in 2008, the Social Security Administration (SSA) suspended sending letters to employers informing them of employees whose names did not match their Social Security Number. It has just been announced that, although letters will not be sent out for tax years 2007 through 2009, letters will be sent out to employers by the SSA for tax year 2010.
No employment action should be taken against any employee based on the No-Match Letter by itself. However, employers are obligated to take certain actions upon receipt of the letters, starting with a review of the Social Security Number and name of the employees involved to make sure that no clerical errors in the numbers or the names were made during the process of entering information into the company’s system.
Employers with questions about the proper response to a No-Match Letter should contact this office.