View Full Version : problem with FUTA

04-06-2008, 12:03 AM
I have an employee (wife) who is exempt from SUTA and FUTA. When I printed out 'Quarterly Totals for Tax Reporting ' at the end of the quarter, I noticed that Wages subject to SUTA was correct, but subject to FUTA was incorrect, that is, it was a different amount. The amount subject to FUTA was not deducted.

Is this a glitch or am I doing something wrong? I checked the employee file and I have definately checked "Y" in both the 'Exempt from' boxes. (SUTA and FUTA)

Paul Mayer
04-06-2008, 12:48 AM
It cannot be checked after the fact. All payrolls done before selecting exempt are stored as being subject to the tax.

Open each payroll transaction in edit mode and you can see the settings under the Details 3 Tab.

04-07-2008, 04:14 PM
OK, thank you.

04-07-2008, 04:23 PM
It seems that I can go back and edit the transactions pay her again and it will have NO effect on FED,FICA,STATE but will change SUTA and FUTA liabilities which do not affect her net pay.

Paul Mayer
04-07-2008, 06:37 PM
That's because the calculated taxes were saved in each transaction. That's why I said you cannot simply change the settings after the fact.

The only way would be to delete all transactions and re-do them all changing the date for each pay day.

04-08-2008, 04:20 PM
I've been playing around with this. I have only 1 employee who is exempt from FUTA and SUTA so I only have to re-do her pay.... but it seems that I can EDIT her transactions, click Y in the futa/suta blocks, hit pay, and save and it seems that her record is saved and the futa/suta liabilities are changed.

(At first I did delete her transaction and then repay her with the new settings but apparantly I only have to edit her pay record)

These changes do not factor into any gross pay or FICA,FED taxes.

Paul Mayer
04-08-2008, 04:40 PM
I guess you've fixed the problem you had then. Great!

04-08-2008, 04:56 PM
Let's hope so. I still have a little more experimenting to do. I have to be sure everything is correct.