Ver. 11 W-2

[fbcacctg]

Hi,

I just installed PowerChurch version 11. In setting up and playing around with the new payroll module, I notice that for our senior pastor...his pre-tax deduction is showing up on his W-2 as negative Social Security and Medicare Wages. It is a pre-tax deduction...exempt from federal withholding and FICA taxes....so why is the amount of his total pre-tax deduction showing up as negative FICA and Medicare Income?
Is something possibly set up wrong in payroll? I have checked my tax settings and everything seems ok.

Our senior pastor is exempt from Social Security and Medicare withholding.
Thanks.

[Jeff]

Pre-tax deductions reduce the income for their area. The problem with the pastor is he doesn't have any income taxable by SS or Medicare, so when the pre-tax deduction reduces social security income, it went to a negative amount.

I am working on a fix, in the mean time you will have to manually edit the W2 before printing to remove the negative amounts.