KB15-005

Create the Payroll Code for the Withholding

  • Full payroll menu
  • Setup Column
  • Payroll Codes
    • + New
    • Set the withholding up with all needed information

 

Set the Posting Setup for G/L Posting

  • Full payroll menu
  • Posting Setup
  • Withholdings / Deductions

Set up the Local Tax Rate / and Wage Limit if needed

  • Full payroll menu
  • Periodic Activities column
  • Periodic Processing…
  • Local Tax Rate / Limit Update
    • Options group
      • Action – Add / Modify / Delete
      • Type – Local Tax
      • State Abbreviation
      • Payroll Code – Withholding code created for this taxation
      • Local Tax Code – Additional code for Tax Reporting
      • Local Tax Description – Description of tax code
      • W2 Locality Code – Code to report on the W-2
      • Year effective
      • Effective date will populate based on Year selection
    • Local Tax Percentage
      • Local Tax Type – Locality or School District
      • Tax Percent – percentage of tax (i.e. 1.5% is 1.50)
      • Earnings Lower limit if needed
      • Earnings upper limit if there is a cutoff of taxable earnings
      • Employee Withholding – On for yes, Off for no
      • Employer Tax – On for ER Tax, Off if not
      • State WH Allowances Apply – On if yes
      • Resident Tax – Defines if this is available on Resident box on state card. On for resident. Off for Work Locality.
    • Options Group