Reporting employer tax expenses

[Barry Digman]

It doesn't seem like there is a way to report the employer portion of SSI and Medicare separately for each employee by using a single pay item.

We currently report all of the cost for an individual employee, including the employer portions of payroll taxes within that employee's catagory.

Am I correct in understanding that if I want to continue doing this using the payroll system that I'll have to set up a separate SSI and Medicare pay item for each employee in order to report the employer expense separately?

[NeilZ]

It doesn't seem like there is a way to report the employer portion of SSI and Medicare separately for each employee by using a single pay item.

We currently report all of the cost for an individual employee, including the employer portions of payroll taxes within that employee's catagory.

Am I correct in understanding that if I want to continue doing this using the payroll system that I'll have to set up a separate SSI and Medicare pay item for each employee in order to report the employer expense separately?

Just wondering, which version of PCPlus are you using ??

[Barry Digman]

We're using version 11.

[NeilZ]

We're using version 11.

In that case all you need to do is setup the tax tables:

SSI: employee & employer two separate tax tables as the rate is different
Medicare: one tax table, as the rate is the same.

Then you create the pay items:

SSI: one employee pay item using the employee tax table, and one employer pay item using the employer tax table. You then assign these pay items to every employee you withhold SSI from.

Medicare: one pay item using the Medicare tax table for the employee, and one for the employer using the same tax table as the employee since the rate is the same.

The differences in the pay items for employee & employer is the way they are linked to Funds Accounting. They should be linked according to the Knowledgebase article linked to here:

https://www.powerchurch.com/support/kb.php?id=22&type=1

Hope this helps.

[Barry Digman]

Neil, thanks. We've got the items set up properly to report the employer portion of payroll taxes in total.
The problem is that if I want to report employee's total expenses this way:

Office manager
.. Salary
.. Insurance
.. Retirement
.. Payroll taxes
.... Total Office Manager

Secretary
.. Salary
.. Insurance
.. Retirement
.. Payroll taxes
.... Total Secretary

I can't currently do it automatically as the item 940 "Employer SSI", for example, is set up as:

FWH payable .................01-2215-000
Employer P/R tax expense..01-5305-000

It appears to me that I'll have to use a separate item and a separate expense account for each employee in order to automatically report the expense for only that employee. Is that correct?

[tborgal]

I think the Selected Payroll Data report will give you all the information you want per paycheck and can be listed by employee or can be reported separatley for each employee. You can even select what group of payroll items you want to report as long as they are sequential.

[NeilZ]

I think the Selected Payroll Data report will give you all the information you want per paycheck and can be listed by employee or can be reported separatley for each employee. You can even select what group of payroll items you want to report as long as they are sequential.

You are correct Tom ... that report will do it all.

[Barry Digman]

I should have been more clear about the report I meant.
I'd like each individual employee's total payroll expense, including the employer share of p/r taxes, reported separately on the Income and Expense Report.

I'd like to see this:

Office manager
.. Salary
.. Insurance
.. Retirement
.. Payroll taxes
.... Total Office Manager

Secretary
.. Salary
.. Insurance
.. Retirement
.. Payroll taxes
.... Total Secretary

I don't want the employer share of SSI and Medicare reported separately like this:

Office manager
.. Salary
.. Insurance
.. Retirement
.... Total Office Manager

Secretary
.. Salary
.. Insurance
.. Retirement
.... Total Secretary

Employer Expenses
..Payroll Taxes


Is that doable without separate pay items and expense accounts for each employee?

[tborgal]

The report that I mentioned will give you the information that you want in your first example. The employer liability is included in each employees information. Just report it out by employee. Or report each employee separately. It reports each payroll item for each employee and totals it at the bottom. The only catch is that it gives you this information per paycheck.

[Barry Digman]

What I'm looking for is a way to report those things together within the Income and Expense report so that the session has a concise and accurate view of how much each employee actually costs for a period and how that compares to the budget.

[JohnDMeyers]

Here's a little bit of the accounts that will be need to be created. You can also run Income and Expense Reports by sub-account, so you can isolate all the Insurances, for example:

It's going to take a little work setting up, but it should give you what you want.

In Fund Accounting/Setup/Maintain Chart of Accounts

GROUP Expense 5120-000 Office manager, level 4, etc.
Detail Expense 5120-001 Office Mgr Salary, level 6, etc.
Detail Expense 5120-002 Office Mgr Insurance, level 6, etc.
Detail Expense 5120-003 Office Mgr Retirement, level 6, etc.
Detail Expense 5120-004 Office Mgr Payroll taxes, level 6, etc.
(subtotal Office Manager will occur automatically)

GROUP Expense 5122-000 Secretary, level 4, etc.
Detail Expense 5122-001 Secretary Salary, level 6, etc.
Detail Expense 5122-002 Secretary Insurance, level 6, etc.
Detail Expense 5122-003 Secretary Retirement, level 6, etc.
Detail Expense 5122-004 Secretary Payroll taxes, level 6, etc.
(subtotal Secretary will occur automatically)

In Payroll create Pay Item, Office Manager Salary that points to the expense account above
In Payroll create Pay Item, Secretary Salary that points to the expense account above
etc.

In Payroll create Pay Item, Office Manager Insurance that points to the expense account above
In Payroll create Pay Item, Secretary Salary Insurance that points to the expense account above
etc.

In Payroll create Pay Item, Office Manager Retirement that points to the expense account above
In Payroll create Pay Item, Secretary Salary Retirement that points to the expense account above
etc.

etc.

[Barry Digman]

Thanks, John. That's what I thought I was going to have to do but was hoping for some sort of workaround. Not that big of a deal but we're going to end up with a much bigger chart of accounts than one would expect.