How many days must an employee have worked for an employer before a Form 940 needs to be filed if they work in any 20 weeks of the current or preceding calendar year?

To determine when a Form 940 must be filed in relation to employee workdays, it's important to understand the eligibility criteria set forth by the IRS. Specifically, the requirement is based on whether an employee has worked for the employer for any part of 20 different weeks during the current or preceding calendar year.

The correct answer indicates that an employee must have worked for the employer in at least 20 weeks, which means they would have been employed for a sufficient duration within those weeks to trigger the need for filing the Form 940, used for reporting annual Federal Unemployment Tax Act (FUTA) taxes.

Since the focus is on the number of weeks rather than days worked, the answer aligns with the requirement that an employee’s engagement for any part of 20 different weeks within that timeframe necessitates the filing of Form 940. This underscores the concept that consistent employment across multiple weeks is critical in determining filing obligations for unemployment taxes.

Understanding this allows payroll professionals to effectively manage their reporting responsibilities, ensuring compliance with federal regulations.