Warning
Product support for the ended on September 30, 2020.
- Write Up CS
- Payroll CS
- Engagement CS
- Client Bookkeeping Solution
- Financial Analysis CS
Help & How-To Center content for the Creative Solutions Accounting platform may be outdated and is used at your own risk.
The Federal Tax Information dialog allows you to establish wage limits and tax rates for specified federal taxes. The information is related to global setup information for after-the-fact payroll entry in the Payroll Compliance module.
Choose Setup > System Configuration > Payroll Tax Information > Federal.
Fields & buttons
Enter the effective date for any changes that you make to the current federal tax information in this dialog (or in the Federal Tax Tables dialog), based on figures from the current Circular E. The program automatically checks this date during payroll check processing.
If the period-end date is prior to this date, the system uses the federal tax values that were on file before your most recent changes were made.
If the period-end date is on or after this date, the program uses the federal tax values currently on file, including your most recent changes.
Note: This field is not editable if you are viewing prior-period tax information. To view and edit current tax information, clear the Display prior period's tax information checkbox in the System tab of the Setup > User Preferences dialog.
Wage limit. Enter the maximum dollar amount for wages on which FICA - Social Security can be withheld. When an employee reaches this amount in annual wages, the program automatically stops calculating withholding.
Employer rate. Enter the percentage of FICA - Social Security taxable wages that are to be expensed to the employer. (For example, enter 6.2000.)
Employee rate. Enter the percentage of FICA - Social Security taxable wages that are to be withheld from the employee's paycheck. (For example, enter 6.2000.)
Wage limit. Enter the maximum dollar amount for wages on which FICA - Medicare can be withheld. When an employee reaches this amount in annual wages, the program automatically stops calculating the withholding.
Employer rate. Enter the percentage of FICA - Medicare taxable wages that are to be expensed to the employer. (For example, enter 1.4500.)
Employee rate. Enter the percentage of FICA - Medicare taxable wages that are to be withheld from the employee's paycheck. (For example, enter 1.4500.)
Wage limit. Enter the maximum dollar amount for wages on which FUTA can be charged. When an employee reaches this amount in annual wages, the program automatically stops calculating the FUTA expense.
Tax rate. Enter the net FUTA tax rate for the current year. (For example, enter 0.8000.)