Monday, January 3, 2011

Manual Employer FICA Tax Calculations for 2011

The delayed passage of the 2011 tax relief bill in congress left zero time for software companies to develop the code needed to elegantly handle the change in employee vs. employer FICA and Medicare taxes.  The EOY Microsoft Dynamics GP payroll tax update lowers the FICA/Medicare totals for employees to 4.2% as prescribed by congress.  However, the employer tax rate is also calculated at 4.2% even though employers still owe 6.2%.
Here is the text of a recent posting on a Microsoft Forum:
Wednesday, December 22, 2010 2:23 AM
At this point, they are still working on how this will be updated in the system; however, the latest information I have received was that the tax tables will be adjusted to the 4.2% and you will need to make adjustments in the GL. You are correct on PIP as well, as the incorrect amount would be brought over,
I have not heard of any plans to create a report for journal entry adjustments, but I will definitely look into this.
·         Wednesday, December 29, 2010 2:34 PM
There are no current plans to create an adjustments report for the FICA amounts on the employer side that need to be adjusted.  At this time, the GL adjustments will need to be made until the Round 2 tax code update in January where this will be addressed to correct the employer FICA going forward. This round 2 code update will be released for SBF 9.0, GP 9.0, GP 10.0, and GP 2010.

The following is information provided Onza/BestTechsNW payroll clients:
In light of the above information we thought the following math examples will give employers a working structure in how to calculate and expense the correct deposit amount for FICA taxes until Dynamics’ Round 2 tax update is available:

Step 1:  Calculate the correct Tax Deposit Amount before remitting to EFTPS:
Fed W/H Tax + Employee FICA/MED Tax + (Employee FICA/MED Tax / 4.2 x 6.2) = Total deposit amount.
Example: 
PR Report shows FWT of 14,000 and employee FICA/MED Liability of $10,000

But the employer owes more than the $34,000. Here’s how to calculate the total amount due:
Calculated PR EFTPS deposit amount =
FWT                                                                            $14,000.00
+          Employee FICA/Med                                                   $10,000.00
+          Employer FICA/Med (10,000 / 4.2 x 6.2) =                 $14,761.90     
=          Total deposit =                                                            $38,761.90

Step 2:  Microsoft Dynamics GP will auto-post the (incorrect) 4.2% employer portion for FICA/Med tax
Payroll Process:         
    Credit  PR Tax Liability                                               $34,000
    Debit    PR Tax Expense - Dept 1     $20,000
    Debit    PR Tax Expense - Dept 2     $14,000
Note:  If you’re using PIP (Payables Interface to Payables) the automated voucher amount for the IRS vendor will be $34,000.

Step 3:  Remit the correct tax amount to the IRS via EFTPS or through your bank
The payroll liability account now looks like this:        
    Credit from Payroll                                                                             $34,000
    Debit from EFTPS                                                      38,761.90                      
    = Debit Balance in Liability after EFTPS payment     $4,761.90

Step 4:  Calculate and post (a GL Transaction) for the departmental expense from the ‘extra’ tax
                                   

      Dept Amt
 Total Amt
Percent by Dept
    Extra tax amt
 Dept Exp Amt
20.000
34.000
0.588235294
4761.90
 $  2,801.12
14,000
34,000
0.411764706
4761.90
 $  1,960.78


GL Adjustment Entry Example:
    Credit PR Liability Account                                       $4,761.90
    Debit    PR Tax Expense - Dept 1      $2,801.12
    Debit    PR Tax Expense - Dept 2      $1,960.78

Happy New Year – Just when you thought you were going to have less to do in 2011 J

You can find the link to the IRS publication here:

Monday, September 13, 2010

Want a Microsoft "snack"?

Microsoft  “Snacks” for Microsoft Dynamics GP 2010.  These are short informational demos available for anyone to view at their convenience. We thought you would be interested in the below two “Snacks” about what is new in GP 2010.

What's New in Human Resources with Payroll – U.S. in Microsoft Dynamics GP 2010 (10 minutes)

This Snack provides a brief overview of some important new functionality in the Human Resources and Payroll modules in Microsoft Dynamics GP 2010.

What's New in Payroll – U.S. in Microsoft Dynamics GP 2010 (10 minutes)

This Snack provides a brief overview of some important new functionality added to the Payroll – U.S. module in Microsoft Dynamics GP 2010.

Friday, September 10, 2010

Onza/BestTechsNW is offering a two-hour FREE CONSULTING special

Onza/BestTechsNW is offering a two-hour FREE CONSULTING special. We appreciate our clients very much and in this economy everyone is looking to save time and money. Our clients have been good to us for a long time and we want to reward your loyalty with a pay-back of our own. During the balance of 2010 we are offering to provide you with two hours of FREE consulting time and USEFUL software!!!

A number of bloggers and developers (and Microsoft) create interesting enhancements and tools they provide free of charge. Below is a brief summary of the free tools and free software options from Onza/BestTechsNW for the balance of 2010.

Email amanda and let her know which tools you’d like and she’ll get a consultant scheduled. The first 2 hours onsite to install and configure are FREE! Any additional hours required will be billed a full rate. The estimated hours to install will depend on the tool and how many users/workstations you have.

If you are using a terminal server to provide user-access to GP we will install these on that server in addition to the SQL server where Microsoft Dynamics GP resides. If your systems are user-PC-installed we will provide training for your support staff to install the same tools and software options on your user’s PC’s.

Please circle your current Microsoft Dynamics GP Version: GP 10 GP2010

Note: Since support for Microsoft Dynamics GP Version 9 ends early in 2011 it doesn’t make too much sense to install these tools for Version 9. Please call and schedule your update and we will install your choices at that time.




Microsoft - PSTL Free List


SOP PO Number Check
Verify Customer PO Numbers for duplicates as data is entered into the field on both the SOP Entry window and the SOP Customer Detail Entry window.

POP Cost Defaulter
o Use this tool to default in the Standard Cost or the Current Cost within the Purchase Order Entry window instead of the vendor specific Last Invoice Cost.

Default Add Item POP/SOP
Automatically mark the Add Item option to be marked in Sales Transaction Entry, Purchase Order Entry, POP Receiving’s Entry and Purchasing Invoice Entry.

Doc Date Verify
Verify document dates fall in a valid fiscal period when entered in Payables Transaction Entry or Receivables Transaction Entry. If the date does not fall within a valid fiscal period, a message will be issued user will not be allowed to continue until the date is in a valid period. This customization will also do a validation if the period is closed.

Decimal Place Tool
Adjust the Check Amount in Words to two decimals, for both Payables Management and Payroll checks. This tool is useful when the currencies in Microsoft Dynamics GP have been changed to more than two decimals, which can alter the amount when a check prints. Note: Report Writer must be used to modify the check report and adjust the currency fields.

Update User Date
Automatically update the User Date at midnight.. The application will run in the background as long as Microsoft Dynamics GP is open. This tool can be useful when the solution is left open on a machine overnight running integrations or other processes.

Payables Select Checks Combiner
Use this tool to consolidate checks to the same vendor when users are appending to an existing checks batch. This can be of great value if users frequently build batches of payables checks and select different document number ranges or different date ranges.

Payables Minimum Check Utility
Pick a minimum amount for your payables checks created through the select checks process. It will prevent any checks being created under the minimum amount specified.

Minimum PO/Receipt Number
Prevent purchase order processing from defaulting the next PO number or receipt number to a number that is previous to the current PO number – when an existing PO number is deleted. Option to set a minimum PO number default, so the system won’t default to anything below the minimum.

Territory Modifier
Change territory IDs in the system. The result is a new territory ID with no loss of data.

Territory Combiner
Combine a territory ID into another territory ID without losing any work, open or history records. After the completion of the tool, the old territory is removed from the system.

Item Reconciler
Reconcile inventory or field service. This tool can increase performance if all items don’t need to be reconciled. Only those items that need reconciling will be reconciled using Professional Services Tools.

Toolkit
Rebuild the GL00105 without going into SQL query analyzer, turn on/off dexsql.log, rebuild indexes and recreate Dex Procs and tables.

Menu Inquiry Utility
The Menu Inquiry Utility allows you to see all of the commands on the menus, hidden or not, and helps identify where those commands come from (which product) and other properties of the commands.

Rockton Software - Version Control:
Never get your user-systems on the wrong software versions again. Quote from Microsoft blogger Mario Gomez: I really like when someone can identify a problem and produce a simple, yet powerful solution. Are you currently having problems keeping tabs of all the dictionary product versions throughout your entire organization? Version Pro is an administrative tool designed to ease the hassles of maintaining workstations on your Dynamics GP network. It keeps track of each product you have installed at a system level - and takes the next step in ensuring that each and every workstation on your network is on the same version for every product.

Microsoft GP- Support Debugging Tool (3 examples plus MUCH MORE)

Coloring windows by company – Never wonder what (multiple) company you’re in anymore. Capturing Screenshots and sending an E-mail for support. Executing SQL statements from within Microsoft Dynamics GP (Administrator Only).

The Support Debugging Tool is a Dexterity built application containing a collection of utilities and tools to make the task of supporting, developing and debugging Microsoft Dynamics GP easier and faster. Standard Mode includes the following features; Manual Logging Mode, Individual Logging Mode, Dex.ini Settings, Resource Information, Security Profiler, Security Information, Configuration Export/Import , ScreenShot and Send Email.

Advanced Mode require system administrator privileges and features include; Automatic Debugger Mode, Dictionary Control, XML Table Export, XML Table Import, Runtime Execute, SQL Execute, Configuration Maintenance, Administrator Settings and Dex.ini Configuration.

The Support Debugging Tool is a custom built tool to provide additional capabilities to troubleshoot issues and is not part of the standard Microsoft Dynamics GP released application. Technical support for this tool is not handled via the standard support systems and instead is provided via the public Microsoft Dynamics GP Community Forum. You can use the link below to access the forum: http://community.dynamics.com/forums/32.aspx.

Note: For more information on SDT, visit the Support Debugging Tool Portal page over at Developing for Dynamics GP.

Landis Computing - Dynamics GP Productivity Pack Add-on
Do you work all day long with customer records? Wouldn't you like to be able to capture information much faster and visit the typical inquiry and transaction entry screens just from the Customer Maintenance window? Matt Landis created this free add-on that can: a) See and maintain a customer email address on the normal customer maintenance screen. b) Click on the email link and automatically open Outlook to send an email to the customer. c) Use the GoTo menu and link directly to payment information, transaction entry, sales order entry, period summary and yearly summary – all right from the customer screen.
 
Michael Johnson - Purchasing Account Required
Missing an expense account on a purchase order line item can be every bit as annoying as having to figure out which line was missed. Michael Johnson developed a nice program that takes the thinking out of entering POs by making the Purchase Order account entry required in the process of entering the order.

Note: Customers must own (or acquire) the Customization Site License in order to use this tool. Sorry, it’s not all free. If you’re not sure if you own this module, just ask us.

EthoTech - SmartSort.
EthoTech SmartSort speeds up your inquiries — and your data entry — by eliminating as many as 3 mouse clicks per lookup. Now you can automatically sort lookup information YOUR way! Quickly find the information you need by customizing your own view based on built-in advanced sorting options or SmartList favorites. AND you can use SmartSort with over 40 Microsoft Dynamics GP lookup windows.

Formerly a $1,000 value, EthoTech SmartSort is now yours for FREE! There’s no obligation of any kind, not even a requirement that you run any of their other products! WHY? Since they've been so successful with products designed specifically for Microsoft Dynamics GP, they decided it was time to give back to the community that has supported them so enthusiastically in the past. There are actually 17 ways that EthoTech can put your profits back where they belong… on your bottom line. Ask us for a brochure on a few of the ways that EthoTech can save you time and money.

Mario Gomez - SOP Batch Split
We couldn't have wrapped up the list without a free tool from Mario Gomez. Ever wish you could segregate invoices that have been transferred from orders in the same batch? What if all you want to do is change the batch name for a few sales transactions? Now you can do this with the SOP Batch Split tool. SOP Batch Split is a free add-on that uses Modifier with VBA and T-SQL stored procedures to perform a SOP batch transfer.

Note: Customers must own (or acquire) the Customization Site License in order to use this tool. Sorry, it’s not all free.