Wage Base Audit 2020 Correction

 If you received a Required Action for a “Wage Base Audit 2020 Correction” or a “2020 Employee Tax Correction”, here are steps to identify the impacted employees:

  1. From your Dashboard, click on Payroll.
  2. From the Payroll app, go to the Reports tab.
  3. Choose the All in One (Old) Report by selecting Create.
  4. Select Timeline - Quarter, Quarter- 2020/YTD, and File Type Excel, then Download.
  5. Open the report.
  6. From line 7 in the spreadsheet, the column headers, click on “Filter” from the Data menu.
  7. Click on the Filter Icon next to the “Payroll Run Name” (Column D).
  8. Select the Run name “2020 Employee Tax Correction” and/or “Wage Base Audit 2020 Correction.”
  9. The listed employees are those impacted.
  10. Scroll to the Net Pay Column in the report.
If the net pay is zero, there is no further action required.

If the net pay is a positive amount, you can use a business check or a nontaxable reimbursement to refund the employee.

If the net pay is negative, this represents withholding taxes corrected that the employee owes the business.  You can work with the employee to collect either by the employee writing a check for the net pay amount owed from the correction, or using an after tax deduction on a future pay run to collect the funds.

How do I know which check created the correction for employee taxes owed?

Remove the filter and use the same process to Filter on the “Payroll Name” (Column G), deselecting all and then selecting the employee to show only that employee’s transactions.  Look for the transaction where Net Pay is equal to Gross Pay, or where there are no employee taxes.  Does Gross Pay match the subject wages in the correction?  If yes, this is the transaction the system corrected.  You can direct the employee to that pay stub to show they received the full gross without taxes.
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