NYS Re-employment Wage Limit

[JRush]

I am having trouble with how to manage the New York State re-employment fund calculations in the software. (I am the only employee of my company for whom payroll is calculated - so it's mostly an inconvenience.) I have been using the SDI field to manage this calculation up until now. Only the first $10,500 in wages is subject to this tax at 0.0750%. I have been unable to figure out how to set the wage limit, so the calculations for my p/r tax returns are incorrect. It's only a few dollars, but I'd rather it be accurate. Is there another, better way to manage tracking this employer-paid tax amount? Thanks in advance for any help you can provide.

[Paul Mayer]

If you been using the SDI tax item it is too late to do it the easy way which would have been to set up a miscellaneous Deduction.

Since you used the SDI, open the State Tax record and set the wage limit in the tax table on the second page of the tax record. What is important is that the tax tables are overwritten with each update so you will need to remember to set that each time.

Next year set it up as a miscellaneous deduction.

[JRush]

If you been using the SDI tax item it is too late to do it the easy way which would have been to set up a miscellaneous Deduction.

Since you used the SDI, open the State Tax record and set the wage limit in the tax table on the second page of the tax record. What is important is that the tax tables are overwritten with each update so you will need to remember to set that each time.

Next year set it up as a miscellaneous deduction.

Paul - It's now next year, and I'm trying to follow your direction to set this tax item up as a miscellaneous deduction. The problem I now have is that the amount is not calculating as a deduction automatically, and more importantly, when I create my "Quarterly Totals For Tax Reporting", which I to prepare my state p/r tax returns, the total withheld for that deduction doesn't show on this report. Below is a screenshot of the way I have the Miscellaneous Deduction set up - no other boxes on that screen are checked. I have the correct percentage for the deduction included on the Employee Deductions/Taxes tab, which is the only place I can see to enter that information.

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Will you help me understand what I'm missing, please?

Thanks!

[Paul Mayer]

You need to enter the percent in the employee settings for that deduction that you setup for it to automatically deduct. Also you want to use the Employers Totals report for getting the company total to pay and report as that will be under the employees section. See this page in the help file for that report as it should be one of two that you print and save for any possible audits in the future:

http://zpay.com/pw-online-help/TheTwoMostImportantReports.htm

[JRush]

Thanks for the direction to the additional report. I'll update my procedures to include that step.

As I mentioned, I have the correct percentage for the deduction included on the Employee Deductions/Taxes tab. That doesn't seem to be triggering the calculation/deduction in the paycheck. Screenshot of the Employee tab:

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Screenshot of the payroll screen:

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Thanks...

[Paul Mayer]

I don't know what you did unless you thought it would show up if you changed the deduction and then looked at what you paid before the adding it to the constant. I used your exact settings and then paid the test employee and it works as expected.

[JRush]

Hmmm... very strange. I did it a couple of times and didn't get your result. In any case, I deleted the transactions that you saw and started fresh and now it seems to be working. I appreciate your help... thanks.