User Support Forum

I have one employee who is currently being paid bi-weekly who will switch to 2x per month at the start of the new year. What do I need to do to make sure the taxes are set up properly for the switch? I have already figured out the proper pay for the remainder of this month. Just want to make sure I do next month correctly.

Thanks!

silvertown wrote:I have one employee who is currently being paid bi-weekly who will switch to 2x per month at the start of the new year. What do I need to do to make sure the taxes are set up properly for the switch? I have already figured out the proper pay for the remainder of this month. Just want to make sure I do next month correctly.

Thanks!

As long as you have the tax tables setup properly, the system will base the tax withholding on the amount of the taxable income listed. What version are you using?

I am using 11.5

silvertown wrote:I am using 11.5

Shouldn't be an issue.

Neil,

I do not think that is true. I believe you have to change the pay group from Bi-Weekly to Semi-Monthly so the system knows how many checks will be issued during the year. Not sure if this is defaulted in the software but you will need to change the pay group to S under the employees payroll information tab. If it is not there you will need to create it. Under "Payroll" select "Setup" > "Maintain Pay Groups". I used the letter S for the description selected Semi-Monthly for the pay period with checks per year 24. Again this may already be in the system so you may just have to select it as described earlier.

tborgal wrote:Neil,

I do not think that is true. I believe you have to change the pay group from Bi-Weekly to Semi-Monthly so the system knows how many checks will be issued during the year. Not sure if this is defaulted in the software but you will need to change the pay group to S under the employees payroll information tab. If it is not there you will need to create it. Under "Payroll" select "Setup" > "Maintain Pay Groups". I used the letter S for the description selected Semi-Monthly for the pay period with checks per year 24. Again this may already be in the system so you may just have to select it as described earlier.

Ah yes ... forgot about that setting. However, the pay group of 'S', is just a carry over from previous versions of Payroll. You can have a full description of what the pay group is about, such as Monthly Paychecks, Weekly Paychecks etc.

Since we have a few employees that are paid on the 15th and end of the the month, we just created a group called Current Employees. This covers our regular group of employees. Then we have a person who only works on Sunday, and gets one check a month, she's under Sunday Employees.