Transcript USPS Calendar Year End Closing

USPS
Calendar Year End
Closing Procedures
2014
Please Email
[email protected]
that you are starting your
USPS Calendar Year End
procedures
~IMPORTANT~
Follow the
USPS Calendar Year
End Processing
Procedures in order!
Pre W-2 Processing
• Process NC1 pay types BEFORE Or ON the
last payroll of the calendar year.
• Check W-2 abbreviations on city DEDNAM
records – only 6 characters will print.
• Check that the OSDI 4 digit code appears
first in W-2 abbreviation field in DEDNAM for
all OSDI deductions.
Pre W-2 Processing (cont’d)
• Using DEDSCN or W2UPDT, make necessary
changes to the YTD gross, YTD taxable gross,
and/or deductions for the W-2 forms for any
fringe benefits, life insurance costs, third
party sick pay, adoption assistance, leased
vehicle, etc.
• Decide which deductions need to appear in
Box 14 (i.e. union dues, United Way).
Pre W-2 Processing (cont’d)
• Verify DEDSCN “Employ/Residence” value must be on all
city deductions that report to CCA or RITA.
Is this city tax record required because of the employees place of:
C = Employment
R = Residence
Pre W-2 Processing (cont’d)
Health Savings Account (HSA)
• Type in DEDNAM must be set to “I” even if there are no employee amounts
withheld.
Pre W-2 Processing (cont’d)
• Check reporting of any dependent care that
needs to appear in Box 10 of the W-2 form
for accuracy.
• Check reporting of any annuities identified
as insurance for accuracy.
• Run YTDRPT if desired, to generate year to
date totals and benefit statements.
Employer Sponsored Health Care
Cost on W2
The Affordable Care Act requires employers to report the cost of coverage
under an employer-sponsored group health plan. Reporting the cost of
health care coverage on the Form W-2 does not mean that the coverage is
taxable. This is informational purposes only.
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If any employee is paying for their insurance out of pocket, this will need to be
manually added to the ‘Emplr Hth’ field on the employee’s 001 Deduction record.
This total includes both employee and employer contributions.
If the employee is paid half a year out of pocket and the other half through payroll,
these two amounts will need to be added together and reported on field ‘Emplr
Hth’ .
If the district only tracks the employee portion of health care costs in the USPS
system, the district will need to create a spreadsheet with the employee YTD costs
for health insurance and the Board YTD costs for Employee Health Insurance and
then total these two amounts. Then using USPLOAD, this figure will need to be
loaded into the ‘Emplr Hth’ field on the 001 Federal deduction record.
Employer Sponsored Health Care
Cost on W2
• Must report the cost of employer-sponsored Health
Coverage in Box 12 using Code DD if the district filed
250 or more W2’s for the preceding calendar year
• Life, Dental and Vision are not required to be included
in the total if they are separate plans and not included
as part of the medical plan
http://www.irs.gov/uac/Form-W-2-Reporting-ofEmployer-Sponsored- Health-Coverage
• The contribution amount by Employee and Employer
for Health Saving Account (HSA) is NOT to be included
as employer-sponsored health coverage. This is
reported in Box 12 using(Code W).
Employer Sponsored Health Care
Cost on W2
• The flag “Include as employer-sponsored
health coverage?:”on the REG and ANN
deduction screens in DEDNAM is used for
calculating the Employer Sponsored Health
Care Cost:
If answered “Y” the YTD deduction totals will
be included in the total moved to Box 12 on
the employees W2.
Employer Sponsored Health Care
Cost on W2
Employer Sponsored Health Care
Cost on W2
• The “Emplr Hth:” field on the 001 Federal Deduction record will allow a
specific value to be reported in Box 12 Code DD
• This will override any automatic totaling done by W2PROC based on the
DEDNAM records
Employer Sponsored Health Care
Cost on W2
• When processed, W2PROC will total the
employee and board contribution amounts from
all deductions flagged as applicable in
DEDNAM.
• If there is a value in the federal DEDSCN field,
this value will be used.
• The total will be copied to Box 12 Code DD.
• The submission files created by W2PROC will
also contain the total in the appropriate fields.
Employer Sponsored Health Care
Cost on W2
• If district only tracks Employee portion in USPS
- Spreadsheet needs to be created containing
-Total of the employee and employer
contributions for Employer Sponsored Health
Care
• USPLOAD/DEDSCN can be used to load data into the
employer sponsored health coverage field on the 001Federal DEDSCN record
– EMPLR_HEALTH_COV
• Must be numeric
Employer Sponsored Health Care
Cost on W2
• If you are not currently processing the board
portion of paid medical insurance through
USPS you can tracking Employer Sponsored
Health Care portion through USPS-If not wanting to use BRDDIS leave
OBJ code fields in DEDNAM record
blank.
Complete Regular Month End Closing
• Run RETIRE/SERSRPT for the month of
December – DO NOT create the tape file!
• Verify the contribution information and
service credit days per the check list and
make any necessary adjustments.
• Once the data is correct, run SERSRPT again
and create the tape file.
• Balance the payroll account, reconcile
checks and verify you balance with the bank.
Complete Quarter End Closing
• Run the demand option (N) of QRTRPT and
check for accuracy.
• Check totals of QRTRPT.
• Run PAYDED verifying there are no
outstanding deduction amounts.
• Run ODJFSRPT and generate a report only.
Check totals for accuracy and make any
necessary adjustments.
• DO NOT CREATE THE TAPE FILE FOR ODJFS YET!
Complete Quarter End Closing (cont’d)
• Once ODJFSRPT is correct, run reports.
• Run W2PROC with correct ‘type of employer’
field and in the order you desire them to be
printed.
• Print W2ERR and W2RPT, verify data and
make any corrections if needed.
• Re-run W2PROC as many times as needed
until correct.
• Once correct, run again and choose “Y” to
create the tape file.
Complete Quarter End Processing (cont’d)
• Mail your IT-3 form (State of Ohio) for W-2’s
to Fiscal Services at TRECA by January 20,
2015.
• Fax your W-2 total forms to Fiscal Services at
TRECA. We will NOT print your W-2’s until we
have this form!
W2PROC
• New for 2013
5 new prompts have been added to W2PROC
when “Y” is selected in the Create Tape File field:
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Contact name
Contact phone number
Contact phone extension
Contact fax Number
Contact e-mail address
These fields are not required to be filled out , but it is
highly recommended that they be populated so the data is
included on the W2TAPE file.
Calendar Year End Closing
• When satisfied with all reports and W-2’s,
email [email protected] that your
processing is complete and you are ready for
your calendar year end backup for payroll.
DO NOT PROCEED UNTIL YOU RECEIVE
NOTIFICATION THAT YOUR BACKUP HAS BEEN
COMPLETED!!
Calendar Year End Closing (cont’d)
• Run the Calendar CD program to create your
calendar year end reports. Run this NOW or
LIVE – DO NOT schedule it to run later!!!!
• Run ODJFS again and choose ‘Y’ to create
the tape file.
• Run QRTRPT and select option ‘Y’ to zero out
all data for the quarter and calendar year.
• Run QRTRPT again to verify quarter and year
to date totals are zero.
Calendar Year End Closing (cont’d)
• OPTIONAL: Check retirement days and
workdays for accuracy. Correcting now will
eliminate problems on reporting next June!
• Enter any local/city tax withholding rate
changes effective January 1, 2015.
• Begin payroll processing for 2015.