INTEGRATED BUSINESS, INCCustomer-Driven Business Software |
FICA Deduction Percent InstructionsThe CMS470-3 update adds the ability to handle both 6.2% and 4.2% FICA Employee deduction percentages while keeping the 6.2% Employer rate under both circumstances. Here is how to set your CMS Payroll FICA settings: If the Employee FICA Deduction Rate is 4.2%, go into the CMS Payroll module and select J) Federal Withholding Tables. Set item 1. FICA Rate to 4.2. When you run payroll, CMS will automatically bump the Employer FICA Contribution percentage to 6.2 so that your payroll liability calculates correctly. If the Employee FICA Deduction Rate is 6.2%, go into the CMS Payroll module and select J) Federal Withholding Tables. Set item 1. FICA Rate to 6.2. When you run payroll, CMS will work as it always has in the past by using 6.2% to calculate both Employee and Employer FICA amounts. |