Payroll: Year End 2014

Current Year: Payroll: Year End

Changes in Keystone as of 2.7.26

Year End 2014

• There are no changes to the printed W-2 form for 2014.
• The printed W-3 form has been updated for 2014.

2014 W-2 E-File

• The W-2 E-File Export option has been updated for FEDERAL changes for 2014.
• The following states are supported by the W-2 E-File Export option: CO, IN, KS, KY, MA, MI, MN, MO, MS, OH, OR, RI, SC, VA, WI.
• The following states have not yet published their changes for 2014: AL, CT, GA, IL, LA, MT, NE.
• The following states are not supported: CA, NM, NY, PA.
• If you need to electronically file W-2s for a state not listed above, please contact support as soon as possible!

Tax Year 2015

• The tax calculation library has been updated for new 2015 FEDERAL income tax rates and social security and medicare income thresholds.
• The following 2015 income tax rates have been updated for these states: AR, CA, CO, CT, DC, IL, IN, KS, KY, MA, ME, MN, MO, NC, ND, NM, NY, OH, OK, OR, PA, RI, VT.

Year End Procedures

Notes for 2014 Year End / Tax Year 2015

• Federal and many State Tax Rates have changed for 2015. Tax Tables have been updated to reflect these changes. We recommend that you check this site several times during the year for the latest information!!!!

• To assist with state specific tax information, please consult the following link: http://www.payroll-taxes.com/state-tax.htm
  (NOTE: GivenHansco is not responsible for the information provided on this site, we are providing this as a self-help service for our customers.)

• Two programs were added last year to enhance year end maintenance:
  • Adjust Company Definitions & Factors
  • Adjust Definition Balances

• For 2014 W-2s, employers with more than 250 employees will need to report health insurance costs paid by the company to each employee.

• • Starting with the 2010/2011 year end update Keystone has the ability to track these health insurance costs. Keystone payroll users have 2 options:
    • Follow the special procedures in Keystone to track employer paid health insurance. See Payroll: Year End Modifications
    • Calculate and manually enter employer paid health insurance at the end of 2014. Using the new program Adjust Definition Balances makes this much easier.

Also see: Health Insurance

Before Running the first Payroll of the new Year

• Make a backup to file and save in a permanent location. see Keystone Database Backup
• Web Update to the latest Keystone version.
• Review Health Insurance and determine if you need to run Year End Modifications to configure health insurance reporting information for 2014.
• Set up Payroll Periods for 2015. see Setup Periods

Set Up Retirement Plan Limits

• Run Adjust Company Definitions & Factors from the payroll Setup/Utilities Menu
• Select the correct Link for the retirement plan.
• Stretch the width of the screen or scroll to the right until you see the factor name for annual limit
• Update the annual limit amount.

For Employees who qualify for the higher catch up limit:

• Run [[Adjust Definition Balances From the Payroll Setup/Utilities menu.
• Widen the screen or scroll to the right and find the Limit factor.
• Set the higher limit amount. Leave Blank for all other employees.

See: IRS: Limits for 2015

Set Up Suta Rates & Limits

Note: Not all Keystone Payroll systems are configured to calculate Suta & Futa during the payroll process.

• Run Adjust Company Definitions & Factors from the Payroll Setup/Utilities Menu
• Select the correct Link for the Suta Calculation
• Stretch the width of the screen or scroll to the right until you see the factor name for annual limit and rate.
• Update the limit and rate amounts.

Processing W-2s

• Determine if Health Insurance needs to be reported. See: Health Insurance
• Verify all year end balances are correct for 2014
• Update W-2 Setup
  • Make sure to update this for 2014 health insurance reporting if required
  • Make sure all States are complete with up to date E.I.N. codes
• Print W-2s
  • Verify W-2 Values
• W-2 E-File Export
  • Verify with Accuwage http://www.socialsecurity.gov/employer/accuwage/index.html

NOTE: Accuwage is designed to verify the Federal W-2 E-File. Though it may work for some states, in general it should only be used to validate the Federal file. For some states, it may report errors where there are none.

• Print W-3s
  • Verify W-3s with company totals

NOTE: Payroll may be run in the new year before the prior year W-2s are printed. Payroll runs in the new year will not affect prior year W-2s.

Frequently check Keystone Help and this page for any updates

GivenHansco strongly recommends that you manually verify the numbers reported on W-2/W-3 forms and use the SSA AccuWage program to verify the numbers on W-2 E-File Export. By submitting W-2/W-3 forms and W-2 E-File Export data to the IRS, you are legally testifying to the accuracy of the data.

Prior Year Information

Payroll: Year End 2013

Payroll: Year End 2012

Payroll: Year End 2012

Payroll: Year End 2011

Prior Year Changes for Health Reproting

• Health Insurance requirements for 2012 (originally slated for 2011, now deferred until 2012 IRS Notice).