Tuesday, November 20, 2012

2012 U.S. Payroll Year-End Update

The U.S. 2012 Payroll Year-End Update has released! To schedule the update, contact your Collins Account Manager or support@collinscomputing.com.

Here is a recap of compliance changes, Microsoft support will be recommending to clients to install this update, especially if they have payroll. There are no form changes (W2 & W3), but, there are electronic filing changes. The file will fail if you do not install this update.

There are also code changes in this year-end update to comply with the Medicare over 200,000 changes for 2013. CLICK HERE for more info.

U.S. Payroll Year-End (v10.0, GP2010 and GP2013)
  • Fixed Assets Changes
  • Payables 1099 change
  • Payroll EFW2 Electronic filing changes (magnetic media)
  • Payroll Compliance quality issues fixed
  • Payroll country code changes (South Sudan, Curacao, Timor-Leste)
  • Payroll code changes to comply with 2013 Tax Update - New Medicare Taxes on High Earners for 2013
  • NO W2 nor W3 form change
**Please note: The state of California just published a release stating tax tables change for the year 2012 and 2013. In looking at the changes quickly, the wage brackets changed for some of the higher wage limits, table change only.  CLICK HERE for more info.

Microsoft is currently reviewing the changes and will target a release early December 2012 for the California tax tables. We will let you know when it is released. **This update MUST be installed before the Round 1 Tax Update is installed.

Round 1 U.S Payroll Tax Update for 2013 reporting year, due to release end of December 2012
  • FICA SS limit increased to $113,700 (formerly $110,100)
  • FICA SS rate for employee back to 6.2 (formally 4.2) as it stands today
  • 2013 Tax Update - New Medicare Taxes on High Earners for 2013
  • States - Kansas
  • Circular E is not final yet
**Please Note: Round 1 update needs to be installed prior to New Year payruns.

*** Version 10 clients please note: Round 2 and beyond Q1***

The IRS has already indicated changes for the 941 form for 2013 Q1. This will require a code change for Microsoft and Microsoft will not support this code change for v10.0 clients. You must upgrade to a newer version receive this update. If you do not upgrade, you will not receive this update. Please contact your Collins Account Manager to discuss your options as soon as possible.

If you have any questions, please contact your Collins Account Manager, email support@collinscomputing.com or call (888) 391-6690.