| | Correct SUI calculations after the SUI rate is changed |
| Description | There are different scenarios on how to correct the SUI calculations depending on the following criteria: - you caught the issue while still in the first quarter
- the employee reached the SUI limit
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| Resolution | Click the option below that best fits your specific issue. ▼ I’m in the FIRST quarter and/or have future checks to process. Employees haven’t reached the limit: Update Tax Rates - Go to PR, Taxes, Activate States and enter the correct SUI rate
Void incorrect checks - Go to PR, Reports, Check Register.
- Print or Preview the Check Register for your last payroll. Make note of the check numbers.
- Go to PR, Processing, Void Payroll Checks, by Check.
- Enter the check number range from your Check Register.
- Select the option to Restore time cards.
Reissue correct checks - Go to PR, Processing, Automatic Payroll Calculation and calculate the time cards.
- Reprint payroll checks on plain paper with the correct amounts. SUI is company-paid tax so the net amount of the check is unchanged.
- This updates employee and company totals.
Pay correct Tax Deposits - Go to PR, Taxes, SDI and SUI taxes, Current quarter.
- Make tax deposits based on the corrected payroll.
If you need to Pay a Tax Deposit with Overpayment/Penalty - Go to PR, Taxes, SUI Deposits, Current Year.
- Enter the correct deposit amount.
- In Penalty/Overpayment Amount, enter:
- Positive if paying more than the original
- Negative if paying less
- Click Post, then confirm when prompted.
Verify Payroll - Run PR, Utilities, Print Payroll Verification.
- Review the report for any inconsistences.
- Correct any inconsistencies following the steps above.
▼ I’m still in the FIRST quarter and have already reached the limit Correct the Rate - Go to PR, Taxes, Activate States and update the SUI rate
▼ If more payroll checks will be issued Use these steps if your SUI rate decreased. If the SUI rate increased, follow the steps in If you have no more payroll checks to issue. - Go to PR, Utilities, Print Payroll Verification Report.
- Make note of employees with SUI rate inconsistencies.
- Manually calculate the correct SUI amount for each employee.
- On the next time card, calculate the time cards using PR, Processing, Automatic payroll calculation.
- Go to PR, Processing, Manual Payroll Processing.
- Select the employee.
- Select Yes when prompted to use the calculated check on file.
- Select the Fed/State taxes... button.
 - Make sure the SUI tax is correct and update if necessary.
- Then review the other taxes to ensure they agree with the original check. Make any edits, if necessary.
- Click OK.
- Click Save to save your changes.
 ▼ If no more payroll checks will be processed If No More Payroll Checks Will Be Issued - Update the amounts in Maintain Employees and Company Totals while in PRSETUP mode.
- Contact Sage Customer Support for assistance in entering setup mode.
Tax Deposits - Tax deposits will recalculate based on the recalculated payroll checks or amounts you edited in setup mode.
- Go to PR, Utilities, Payroll Verification Report to check for any SUI company inconsistent amounts.
- Pay the correct amount and offset any difference as a penalty or overpayment.
- Adjust deposits each quarter until the rate self-adjusts.
To Pay a Tax Deposit with Overpayment/Penalty - Go to PR, Taxes, SUI Deposits, Current Year.
- Enter the correct deposit amount.
- In Penalty/Overpayment Amount, enter:
- Positive if paying more than the original
- Negative if paying less
- Click Post, then confirm when prompted.
Reporting Adjustments - Manually correct SUI amounts on:
- Enhanced Tax Reporting
- Any Sage BusinessWorks reports using SUI calculations
Payroll Verification - Run PR, Utilities, Print Payroll Verification Report
- Employees who haven’t self-adjusted. For example, terminated or met limit will appear on this report
General Ledger Corrections - Manually calculate the correct amounts.
- Post a journal entry in GL, Entries, Post to Journals.
- If unsure, consult your accountant.
- For account references, check.
PR, Utilities, Maintain Payroll Parameters, Posting Accounts.
PR, Utilities, Maintain Task Codes.
PR, Taxes, Activate States. ▼ I'm AFTER the first quarter and employees haven’t reached their limit Correct the rate - Correct the rate in PR, Taxes, Activate states
Allow system to self-adjust taxes - Do nothing on the employee side. Allow the system to self-adjust in a future quarter with future payroll transactions.
- The self-adjusting transactions will post to a different quarter than the original transactions. Do a journal entry to adjust the postings for your financial reports to redistribute to a prior quarter.
- Consult your Accountant for assistance with the journal entry.
- Payroll and tax expense accounts go to Maintain Payroll Parameters, Posting accounts
- If you use Task Codes, see Maintain Task Codes; for SUI accounts go to PR, Taxes, Activate states
Tax Deposits Manually calculate and pay the correct amount the government is expecting and offset the difference to penalty/overpayment. Adjust tax deposits until the rate has fully self-adjusted. - To verify if the self-adjusted calculations are complete, run the PR, Utilities, Print Payroll Verification Report.
- To pay a tax deposit including an overpayment/penalty.
- Go to PR, Taxes, SUI Deposits, Current Year
- In the Total deposit amount, enter the amount you’re paying
- Enter the difference in the Penalty/overpayment amount field
- If you're paying more, enter the Penalty/Overpayment as a positive amount
- If you're paying less, enter the Penalty/Overpayment as a negative amount
- Click Post, then Yes at the message "Deposit includes penalties/overpayments".
▼ I'm AFTER the first quarter and employees have reached the limit Follow the steps in option 2 above. I'm still in the FIRST quarter and have already reached the limit. [BCB:163:Chat BusinessWorks US:ECB]
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