941 Box 2 Figure

[onemore4gsus]

Every quarter, I have to manually correct the figure Power Church computes for the 941, Box 2, space. I keep a separate spreadsheet as a checks-and-balances. I believe the issue is that Power Church includes the housing allowance in the calculation when it should not be. The item descriptions for housing are set up as "Type: Income" and "Tax options: Housing Allowance." Is there something I've coded wrongly?

Appreciate your time. If I could see a list of figures that Power Church is including in its count for Box 2, I could probably figure it out, but I think that is too far below the surface for me to find.

[NeilZ]

Every quarter, I have to manually correct the figure Power Church computes for the 941, Box 2, space. I keep a separate spreadsheet as a checks-and-balances. I believe the issue is that Power Church includes the housing allowance in the calculation when it should not be. The item descriptions for housing are set up as "Type: Income" and "Tax options: Housing Allowance." Is there something I've coded wrongly?

Appreciate your time. If I could see a list of figures that Power Church is including in its count for Box 2, I could probably figure it out, but I think that is too far below the surface for me to find.

Go into Maintain Item Descriptions, find the Housing Allowance Pay Item. Change the Tax Options pulldown from Housing Allowance to <more options>. Then uncheck any taxes that do not apply, such as Federal Withholding, Social Security & Medicare. Some states, such as Pennsylvania, tax Housing Allowance so if your state does, leave that checked along with any other tax entity that does that.

This should take care of that issue.

[onemore4gsus]

Thank you, Neil. That fixed part of the problem. I found the remainder of the problem in my Item Descriptions setups for "Social Security Assistance" (ministers) which was classified as Non-taxable but changed it (like housing) to More Options / Fed & St. Since both ministers withhold a fixed amount for Fed & State, I had mistakenly classified it as Non-taxable.

I have another 941 issue, but I'll post another question so others can find it by searching.