Web Suite maintains a list of everything that affects the amount on a payroll check. The entries on this tab are called payroll items. The information stored here is most useful for exporting data to a payroll software program or for an electronic submission to a payroll processing service.
Federal:
Use this section to indicate which federal taxes you want to add to the employee profile. Federal taxes include income tax, federal income tax withholding, social security, Medicare, FUTA, excise, etc. Select taxes that apply to the employee, whether they are paid by your company (such as FUTA tax) or withheld.
Status:
The employee's marital status for federal income tax purposes. For example, single, married, etc.
Allowance:
Number of allowances claimed by the employee for federal income tax purposes.
Extra Withhold:
Federal withholding is the federal income tax withheld. Extra withholding is to be specified as requested by the employee for federal income tax purposes.
Deferred:
This check box indicates deferred status.
FUTA:
This check box indicates FUTA status. The Federal Unemployment Tax Act (FUTA) provides for payments of unemployment compensation to workers who have lost their jobs. Only employers are subject to a FUTA tax liability; it is not deducted from the employee's wages. Most employers pay both a Federal and a state unemployment tax. Contact your state tax agency for more information.
Income Tax:
This check box indicates Income Tax status.
Medicare:
This check box indicates Medicare status.
Social Security:
This check box indicates Social Security status.
Pension:
This check box indicates Pension status.
State:
Use this section to select the taxes that apply to the employee and to enter state withholding information about the employee. Select taxes that are paid by your company as well as taxes that are withheld. State taxes include income tax, sales tax, or capital gains.
Status:
The employee's marital status for state income tax purposes.
Allowances:
The number of allowances claimed by the employee for state income tax purposes.
Extra Withhold:
The employee's extra withholding. Enter any extra withholding from the employee's State income tax.
Disability:
If your company is in a state or province that collects disability insurance based on employee wages like CA, HI, NJ, NY, etc., this tax can be paid by the company, employee or both. You must enter the employee's state for disability insurance purposes.
For example, the State of California requires that a certain percentage of your salary be deducted to pay for this state administered benefit. The plan (SDI) is designed to pay a weekly benefit that partially replaces income lost during a period of disability that prevents you from working.
Unemployment Tax:
Identify the State associated to the employee's unemployment tax. Your state collects unemployment insurance based on employee wages. This tax can be paid by the company or employee.
Withholding:
Your state requires income tax withholding from the employees' paycheck or salary. Identify the State associated to the employee's withheld income taxes.
W2 ID:
Identify the State associated to the employee's W-2. W-2 is a payroll tax of an employee to be submitted to the Social Security Administration. It shows wages and taxes withheld for the year for an employee.
Local:
These are the local taxes levied by the county or province.
Status:
The employee's marital status for the local income tax purposes.
Allowances:
Number of allowances claimed by the employee. Enter the number of allowances used to determine the Local income tax.
W2 ID:
W-2 is a payroll tax of an employee to be submitted to the Social Security Administration. It shows wages and taxes withheld for the year for an employee. Identify the State associated to the employee's W-2.
Pay Items:
State Disability Insurance:
If your company is in a state that collects disability insurance based on employee wages like CA, HI, NJ, NY, etc., this tax can be paid by the company, employee or both. This field tracks the employee-paid state disability insurance.
For example, the State of California requires that a certain percentage of your salary be deducted to pay for this state administered benefit. The plan (SDI) is designed to pay a weekly benefit that partially replaces income lost during a period of disability that prevents you from working.
State Unemployment Insurance:
Your state collects unemployment insurance based on employee wages. This tax can be paid by the company, employee or both. This field tracks the employee-paid state unemployment insurance.
Unemployment insurance is a government-mandated program that is administered by the federal government (FUTA) and the State of California (SUI). It provides you with a limited income replacement when you are out of work through no fault of your own for a period of up to 26 weeks.
State Withhold:
Your state or province requires income tax withholding from the employees' paycheck or salary. This field tracks state withholding liability to be paid by the company.
State Misc:
Use this field to track the miscellaneous state taxes, the employee is subject to.