Year-Round Compass
Q2 2021 | A newsletter for the HR/payroll professional
Q2 2021 | A newsletter for the HR/payroll professional
The QE Packet now has Q2 dates. If you haven’t grabbed this latest version, then download it here. Note: First time MyCeridian users must register for access.
Did you return from year-end vacation time find W-2cs waiting for you? Or were you too busy to take time off? If so, we want to help you create a better work-life balance and a less stressful work environment.
How? First, embrace the year-end/year-round strategy; remember that 2021 year-end started with the very first payroll this year.
Next, read our newsletters and attend training. Close out Q1 strong by auditing reports and preventing tax fallouts with the help of the articles in this newsletter.
Together we can transform “year-end” into just plain “fourth quarter”. This is already a reality for some of our payroll customers and it can happen for you, too.
Do you have your checklists handy?
Airline pilots and surgeons use basic checklists to improve communication, verify accuracy, and handle routine procedures in life or death situations. Checklists are so important because the human mind can’t possibly remember everything. Your brain may get bored doing routine tasks or maybe you will have a hard time remembering all the steps it takes to complete a process that takes place quarterly or annually.
While processing payroll may not be life or death, employees depend on it being right. With that in mind, check out the article in the Knowledge Base₁ that contains 22 checklists designed to help you do your job. With topics including tax items, compliance items, and open enrollment there is probably a checklist for you in this article simply called “Checklists”. To access it, log into the KB and search for “checklists”.
₁ KB: To log into the KB, click here then use the same numeric-contact/user ID (without the PIN) that you use to call the Payroll Service team. If you are uncertain of your user ID, email [email protected]. The “Knowledge Base job aid” can help you get started; find it in the QE Packet.
Our Payroll Service team receives a lot of cases with Employee transfer questions. And with good reason; there are a lot of moving parts – reports to check, deduction codes to verify, pay frequencies to consider, and benefits choices - the list goes on and on.
The number one mistake that users make is not completing and auditing transfers involving wages, taxes, and deductions at least one period prior to quarter-end and/or year-end processing. Avoid potential tax liabilities and W-2cs by auditing employee transfers immediately after they are processed. If you are a CTS customer, remember to contact the Tax Service team if you transfer employees between FEINs.
If your company has frequent employee transfers, then check out the PSID Transfer Abbreviated Checklist in the KB₁. This is a great checklist to walk you through this complex process.
₁ To log into the KB, click here then use the same numeric-contact/user ID (without the PIN) that you use to call the Payroll Service team. If you are uncertain of your user ID, email [email protected] for assistance.
The “Knowledge Base job aid” can help you get started, find it in the QE Packet.
Did you know that Ceridian offers webinar recordings, training guides, and WBTs on Ceridian HR/Payroll topics, such as Payroll, Auditing, Benefits, Power Query SQL, PSID Transfers, and Year-End?
Listen to the recorded webinars to see how our knowledgeable instructors navigate through key components of the system, demonstrate processes, and explain how to apply concepts to real-world scenarios.
All training resources are accessible anytime and can be completed when convenient to you. And, they’re available at no charge!
To access training resources, visit MyCeridian and navigate to HR/Payroll Web > Reference and Training > Training Plan. The Training Plan is a helpful resource that includes links to WBTs, recorded webinars and training guides. Note: First time MyCeridian users must register for access.
Many customers contract with providers (a third-party) to pay their employees' sick pay. When an employee is off sick, they are paid by the provider instead of their employer. These payments are referred to as ‘third-party sick pay’ (TPSP).
TPSP produces a separate Form W-2. It is important to determine whether the provider or Ceridian will generate this form. If you want Ceridian to produce a third-party Form W-2, enter the appropriate amounts in the wages and taxes boxes on the Third-Party Sick Pay window or on the Third-Party Sick Pay transmittal. Refer to the KB₁ article, Entering Third Party Sick Pay in Ceridian HR/Payroll for instructions as well as other relevant information.
Many providers issue their summary reports in mid to late January for the previous year's amounts. These dates are often past the Ceridian tax filing cutoff for year-end adjustments. Request that your provider send your employee data at least quarterly – more frequently if possible. Early auditing is crucial to avoid costly amendments, unhappy employees, as well as potentially needing Forms W-2c related to missing or inaccurate third-party sick pay. Remember to complete and send the Third-Party Sick Pay form to CTS to make the associated tax deposits.
Always review the Third Party Sick Pay Audit report #083 whenever TPSP information is entered. This report is generated whenever TPSP information is entered as well as the last two pay periods of each quarter. This information also displays on the W-2 Management Report #148, which is also generated in the last two pay periods of each quarter. The “Reporting solutions” document within the QE Packet can help with this review process.
₁ KB: To log into the KB, click here then use the same numeric-contact/user ID (without the PIN) that you use to call the Payroll Service team. If you are uncertain of your user ID, email [email protected]. The “Knowledge Base job aid” can help you get started; find it in the QE Packet.
Did you import your company’s health care costs during year-end? If so, consider setting this deduction to occur year-round – each month or pay period. It will be one less thing to do during the most hectic time of the year and a great way to have visibility of this deduction for accuracy.
This deduction can be set up to automatically reoccur, to manually import the balances with a spreadsheet, or in some cases, it can even be automated with your benefits vendor. If your employees have fixed deductions and you want to key the recurring amount manually then contact the Payroll Service team.
For all other instances, log into Identity Access Management and click DaaS Portal, then follow these steps:
Take a little time now to set this up and save precious time at year-end.
These were some recent hot KB₁ articles. Stay in the know by reviewing what other payroll professionals are reading.
₁ KB: To log into the KB, click here then use the same numeric-contact/user ID (without the PIN) that you use to call the Payroll Service team. If you are uncertain of your user ID, email [email protected]. The “Knowledge Base job aid” can help you get started; find it in the QE Packet.
Tax code fallouts
Delays in resolving fallouts can generate agency notices, amendments, and penalty exposure for your company. What are “fallouts”? They are tax liabilities that Ceridian Tax Service (CTS) cannot process because the tax code meets one of these conditions:
Each payroll, CTS compares your payroll tax data to your tax jurisdictional profile. Unmatched data will be placed into a suspense account while CTS contacts you and awaits your verification. Once CTS receives your verification (as well as any additional information needed, such as agency assigned account number, UI rate, or deposit frequency) the deposits will occur.
To prevent this situation from occurring, which can result in fees and/or penalties/interest, simply contact your Tax Service Rep as soon as you are aware of a new jurisdictional tax requirement.
For more information about fallouts and other quarterly tips from CTS, see the QE Packet.
Be sure to contact your Tax Service Rep with any issues.
Q1 wages and taxes review
Auditing your Wage and Tax Report #070 each pay period (all year!) will make your job so much easier in Q4! Need some motivation to get started? Take it from Amelia Earhart – “The most effective way to do it, is to do it.”
If you haven’t started yet, then do it right now! Check out your W-2 Exception Report #144 to get started. This report is like the W-2 Management Report #148 in the display of W-2 content. This report, however, provides an enhanced presentation of wage summary data and only displays employees with error or warning conditions.
Investigate and reconcile these error messages and warnings before your next payroll processing. Ignore them and your employees’ Form W-2s could contain errors, resulting in the need to create Forms W-2c and all the headaches that go with them.
The report is printed automatically at these times (you can't use an option to request it):
Review the “Reporting solutions” document found within the QE Packet for more information.
Late funding fees
Timely and accurate funding is critically important! Customers who do not fully fund their payrolls, wage attachment disbursements (if applicable), and payroll taxes timely (as per their Ceridian Funding Authorization form) are deemed “late”. This includes, but is not limited to, payroll and tax liabilities for regular payrolls, payroll adjustments/off cycle payrolls, and bonus runs.
Funding late could not only delay Ceridian’s timely release of payments to employees but also to tax agencies. Late tax payments may result in penalty and interest.
Customers deemed “late” are assessed the late funding fee of $50 plus 10% per annum interest per late item as part of the monthly invoice cycle.
Some helpful reminders to ensure timely funding:
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