2009 Year End Payroll Guide     As the end of 2009 approaches, it is important that special payroll processing is arranged. Some examples are as follows:     S Corporation Health Insurance      Cost of premiums paid for accident and health insurance coverage provided by an S-Corporation to its 2% shareholder/employee must be reported as income on Form 941 and Form W-2.     Taxable Fringe Benefits      Sometimes, the value of non-cash fringe benefits must be considered income to employees and must be reported on Form 941 and employees’ Form W-2. Taxable fringe benefits are included as wages, subject to federal income tax, social security/medicare, and unemployment taxes. These benefits include personal use of company automobiles.     Group term life insurance      Premiums paid on group term life insurance for coverage in excess of $50,000 are subject to Social security/medicare withholding and must be reported on payroll before the end of 2009.