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I do not understand your first statement. Is that a question or a statement?

There is no catch up in payroll. If you process 25 checks at 6.2 and 1 check at 4.2 the total will be the absolute total of 25 x 6.2 + 1 x 4.2. The only time you see rounding is by pennies when a pay amount is not evenly divisable by the number of pay periods so I would not consider that to be cathc up.

The say thing applies to the actual pay rate. If the employee gets a raise effective June 1st, the total annual pay amount will be the total of the first five months of the year and the last seven months of the year.

if a customer did not apply the tax table from 2013 and processed a payroll with 4.2 fica they are 2% short on each employee. if they apply the tax update before the second payroll they are then taxed fica ay 6.2.

another tech said to me that it would catch up by taxing the total pay for the year at the 6.2 and figure they catch up on the next payroll. i thought not but am asking if that were true. As well is the any other part of paroll that would catch up like fed tax or medicare? does the part of the system where if you did not get enough pay to cover the tax on tips does it catch up there? i was asking if any part would catch up and was there some table or list if it did?

thanks leslie

they are on direct deposit

whats the best correction method

80 emloyees

deposit is in the bank before they saw it was wrong

void and rerun or .... ?

I have never tried this but I think it would work. For the next payrun, increase the rate to 8.2% to make up for the shortage at 4.2%. Then when done set it back  to 6.2%. I believe what will happen is the employee portion will be withheld at the higher rate while the employer portion will remain at 6.2%. If you have a test company give it a try in there first.

i wish Great plains would change the requirement to have at least a penny in gross wage in the adj payroll process.

This requires .01 gross in an adjustment and a -.01 in a reverse of that. 2 adjustments to do one adjustment.

i would adj fica to fed witholding and add an additional to fed wh in the next run and then out in following runs.

thanls again.

Richard,

I would like to try your suggestion of changing the rate to make up for the shortage on the first payroll.  How do I change the rate in GP?

Thanks!

Tools->Setup->System->Payroll Tax and then enter FICAS as the code chose Not Applicable in the dropdown and then Tables. You will see the 6.2% rate and just change it to 8.2%. Just remember to change it back when you are done.

Howdy,

I also endorse Richard's method, and have used it. Be sure the pay is the same as the pay from the deficient payroll.

Good call Richard!

Kind regards,

Leslie

Leslie, we are all in this together. One big happy team. I am always glad to help out. There seems to be an abnormally high number of payroll questions this year.

On the penny issue, if  I remember correctly if you do not enter a batch ID on the transaction doesn't it let you post a transaction with a balance of zero?

You could also do a manual payroll as a 'begining balance type check'.   A little more flexible in making adjustments.

It is disappointing that GP  will not auto adjust. Specially when a tax is based on year to date basis.

To correct the issue is  can be a major undertaking.

First you have to setup a deduction to take back from the employees the amount that was under deducted. During the next payroll process this deduction - of course you will need to have the deduction amount for each employee on hand. After this is done, you have to go to manual adjustements - first to zero out the deduction and next to update the SS.  Lots of manual work.

Increasing the rate to 8.2 will only work if the employee is getting the same amount of pay as in prior period and they  there was no change in any FICA tax sheltered items  from the 4.2% payroll to 8.2%.