Hello Payroll Enthusiasts!

Please review the following information to ensure that your Payroll Year-End goes smoothly:

The 2018 Year-End Update is always scheduled to be released mid to late November. We release this update in November to ensure you have plenty of time to install prior to year-end. In Support, we are often asked if it is OK to install the 2018 Year-End Update even though 2018 payrolls are not completely processed. The answer to that is YES YOU CAN! We release the update early so you have plenty of time to install it!!

This update is all inclusive of prior updates for Microsoft Dynamics GP 2015, Microsoft Dynamics GP 2016, and Microsoft Dynamics GP 2018.

The 2019 Round 1 Tax Update (tax table update only) is targeted to be available mid December 2018. *Do not install this tax table update until ALL pay runs for the 2018 year are completed.

The 2019 Round 2 Tax Update will be available mid-January 2019.

Please review all documentation in detail so you are well prepared for the year-end close, specifically around what has changed for this year.

 

Please Note: The 2018 Year-End Update and 2019 Tax Updates (tax table updates) will not be available for Microsoft Dynamics GP 2013 and prior versions. Mainstream support for Microsoft Dynamics GP 2013 ended on 04/03/2018. For more information on this, see the Microsoft Dynamics GP Lifecycle.

 

When should the Year End Close be done?

The Payroll Year End Close should be processed after all pay runs have been completed in the current year, and before processing any pay runs in the new year.

 

 Are there any changes I should know about related to the Year End Update for Payroll?

Yes, the 1099 R (Pension) form functionality was changed:

  •  Distribution Codes C and M have been added for Box 7, and can now be entered on Edit 1099-R window.  These codes and amounts associated with them will be printed on the Print 1099-R form.

There are NO W-2, W-3, or W-4 form changes! YEAH!

There are NO EFW2 form changes!

There ARE Affordable Care Act changes. See Terry’s ACA blog (link available when released) for more information around those changes.

 

To view Payroll FIXES included in the 2018 Year-End Update, see this BLOG!!

Important to Note This Year:

  • The deadline for EFW2s (aka Magnetic Media) is 1/31/2019. As such, both W-2's and EFW2's are due the same day. We recommend you verify both your W-2 and EFW2 well before this deadline to ensure you have adequate time to validate your data
  • Questions on W-2s? Don't worry, we've got you covered!
    • See my blog about W-2 Tidbits to Help Meet the January Deadline!! (link available when released)
  • Questions on EFW2s? Don't worry, we've got you covered there too!
    • See by EFW2 blog full of Tips to Help Meet the January Deadline!! (link available when released)
  • IF you use Microsoft Dynamics GP to track ACA, the 2018 Year-End Update is not optional. It is required and needs to be installed prior to closing the year in Payroll.
    • Questions on ACA? See Terry's 2018 Year-End ACA Blog! (link available when released)

 

What does the Year End Close process do?

Creates the Year End Wage file with annual wage information used to generate W2s, W3s, 1099's, EFW2's (aka Magnetic Media), 1095-Cs, and 1094-Cs for the year being closed.

 

 What steps should I take to close the year? (See KB Article 850663 for detailed instructions on each step listed below):

**First and foremost, make a restorable backup of the company database so you can restore should you run into a problem. **

1.  Complete all pay runs for the current year. 

2.  Complete all month-end, period-end, or quarter-end procedures for the current year. 

3.  Make a backup of the original file.

4.  Install the Year-End Update if it has not already been installed (we release early to give you plenty of time so install early if you can!!). 

5.  Create the Year-End Wage file. 

6.  Make a backup of the new file. 

7.  Verify W-2 and 1099-R statement information. 

8.  (Optional) Print the W-2 statements and the W-3 Transmittal form. 

9.  (Optional) Print the 1099-R forms and the 1096 Transmittal form. 

10. (Optional) Create the W-2 Electronic file. 

11. (Optional) Archive inactive employee Human Resources information. 

12. Set up fiscal periods for 2019 (if they haven't been set up yet). 

13. (Optional) Close fiscal periods for the payroll series for 2018. 

14. Install the payroll tax update (2019 Round 1 Tax Update) for 2019. 

 

To recap, prior to processing a pay run in 2019 the following is:

Required:

  • All 2018 pay runs completed.
  • Year End Wage File created.
  • Backup of company database made.
  • Payroll Tax Update for 2019 (2019 Round 1 Tax Update) installed (tax table updates).

Optional:

  • Print W-2s.
  • Create W-2 Electronic File.

 

Why may Microsoft Dynamics GP 2013 users want to upgrade?

Microsoft Dynamics GP 2013 DOES NOT contain Affordable Care Act Changes, 1099-R form changes, the 2018 Year-End Update, and will not receive Tax Updates (table and/or code). If you need any of the changes included in the 2018 Year-End Update, you'll need to upgrade appropriately. See our 2018 R2 and Year-End Update Upgrade blog series for more information about upgrading!!!

 

What cool feature should I be aware of in association with US Payroll?

With the release of Microsoft Dynamics GP 2016 R2, you have the ability print W-2's with lines on blank paper!!!!!!!! The 1-Wide Forms with Box Form Type was added in the Print W-2 Forms window to accomplish this (Microsoft Dynamics GP >> Routines >> Payroll >> Print W-2's >> Form Type = 1 Wide- Forms with Box >> Print = W-2 Forms):

 

Assistance for Payroll Year End Close

• Microsoft Dynamics GP Blog 
• Microsoft Dynamics Community 
• Microsoft Dynamics Support

If you are creating a case with the Technical Support Team for assistance with Year End close for Payroll, please refer to the category selections below to ensure you are routed to the correct Support team for assistance:

     --Support Topic Selection:    Payroll

          --Sub-topic Selection:      Year End Procedures 

 

Resources:

 

Here are the 2018 Year-End Update pages which will provide you with documentation and installation instructions you’ll need for a successful year-end:

 

2018 U.S. Payroll Year-End Update Download Pages:

Microsoft Dynamics GP 2018 
Microsoft Dynamics GP 2016 
Microsoft Dynamics GP 2015

Here are the pages on which you can access the latest (and previous) Tax Updates:

Microsoft Dynamics GP 2018

Microsoft Dynamics GP 2016

Microsoft Dynamics GP 2015

Year-End Close Resources:

Be sure to refer to the 2018 Year-End Blog Schedule to review current and upcoming blog posts and other helpful resource links related to Year-End Closing for Dynamics GP.

I hope this is helpful and that you have a successful Year-End!!  If you have any feedback or suggestions, please let us know. 

Have a wonderful Year-End!!!

 

Andrea Melroe | Sr. Technical Advisor | Microsoft Dynamics GP