1. 1 FlexGen Payroll Various Topics

2. 2 In this session we will cover the basics of LGC’s FlexGen Payroll features related to: Deduction Controls History Summary report details Basic Reconciliation using the History Summary report

3. 3 Deduction Controls To access the Deduction Controls go to Other – Control Control A-L then select Deduction Code

4. 4 Deduction Controls The Deduction Code number is user defined. Assign a number not previously used.

5. 5 Deduction Controls The description should be detailed enough to distinguish one deduction from another

6. 6 Deduction Controls This abbreviated description is printed on the check stub, therefore should be meaningful to the employees.

7. 7 Deduction Controls Select the Classification for this deduction. LookUp(F2) is available.

8. 8 Deduction Controls - Regular Vol Ded are taxed in the normal fashion - Flex Savings are saving plans that can be applied toward certain purchases that are tax sheltered. Your insurance provider will assist you if this type of deduction is needed - Court Ordered Payments are taxed normally. Assigning them their own type allows for special reporting capabilities - NDNTB – Non-Deductible Non-Taxable Benefits reduce your tax liability but nothing is deducted. Consult your tax professional to determine if this can be applied in your situation. - Tax Sheltered Annuities are sheltered from Withholding only - Retirement (Not TCRS) – a privately offered tax sheltered retirement plan other that TCRS - TCRS Hybrid – used to identify a deduction as a TCRS Hybrid deduction

9. 9 Deduction Controls Enter the liability account used in posting to the GL when this deduction is taken. LookUp(F2) is available. An “X” in CC or SOb attaches the employee’s cost center or sub object to the liability account

10. 10 Deduction Controls The Sheltered From indicators tell the system whether to calculate taxes before or after this deduction is taken. Sheltered From Yes means to subtract this deduction before calculating taxes. Sheltered From No means do not subtract this deduction before calculating taxes.

11. 11 Deduction Controls Standard Non-sheltered Deduction Tax Sheltered Annuity Deduction Cafeteria Plan Deduction

12. 12 Deduction Controls Primary elements of Tax Sheltered Annuities (TSA) Classification 05 - TSA must be designated FIT & SIT sheltered from indicators are YES 457 indicators must be selected

13. 13 Deduction Controls Primary elements of Cafeteria Plan Deductions Classification of Regular Vol Ded is chosen Sheltered From indicators are normally YES (except TCRS retirement) W2 Cafeteria Plan indicator is YES

14. 14 Deduction Controls Pension Plan: This field indicates if the Pension Plan box on the W2 will be marked. Dependent Care: This field indicates if the Dependent Care box on the W2 will be marked.

15. 15 Deduction Controls Form W2 Box 12: This field contains a code which identifies the letter used in Box 12 of the W2. Emplyr-Sponsored Health Ins: Health care reform requires employers to report employer-sponsored health insurance coverage on employees’ W2 forms.

16. 16 Deduction Controls Section 457: This field identifies this deduction as a section 457 plan. By default a section 457 plan is a nonqualified plan. Nonsection 457: This field identifies this deduction as a nonsection 457 plan. The Qualified field determines whether a nonsection 457 plan is qualified or non-qualified.

17. 17 Deduction Controls TCRS Hybrid Ded Code: If this deduction is a TCRS Hybrid Deduction this field is used to indicate the type. Lookup is available for this field.

18. 18 Deduction Controls Two Amount Types 01 - Flat Amount 02 - Percentage

19. 19 Deduction Controls If the deducted amount is the same for everyone, a default flat amount may be entered. Leave Blank if amount varies per employee.

20. 20 Deduction Controls Deducted amounts taken as a percentage can be based on:

21. 21 Deduction Controls If the deducted Percentage is the same for everyone, a default percentage may be entered. Leave Blank if percentage varies per employee.

22. 22 Deduction Controls Amount to be deducted (per pay period) Total Premium (per pay period) Employer Exp (per pay period) Obj Code used for Employer expenditure

23. Deduction Controls Employer Expense Deduction Control File Deduction on Employee Master

24. Deduction Controls Employer Expense would only be $300 Deduction Control File Deduction on Employee Master

25. Deduction Controls

26. Employer Expense Deduction Control File Deduction on Employee Master

27. 27 Deduction Controls Deductions can also be set up to calculate Employer Matching

28. 28 History Summary Report & Reconciliation We will now discuss the History Summary report and cover how to reconcile the amounts on the report

29. 29 History Summary Report & Reconciliation From the main Payroll Menu select Reports then History From the History Reports menu select Summary then Summary

30. 30 History Summary Report & Reconciliation If you wish to run the report for just one employee you can select them here. If you wish to run for multiple employees hit ESC.

31. 31 History Summary Report & Reconciliation On this screen you can tag the payroll(s) you wish to be included in the report. You must tag at least one payroll.

32. 32 History Summary Report & Reconciliation On the Locations field you can Lookup (F2) if you wish to tag locations. This is not a required field.

33. 33 History Summary Report & Reconciliation Enter the date range of the checks you wish to include in the report. Remember: It’s the Check Date that matters.

34. 34 History Summary Report & Reconciliation The report header tells you the criteria for which the report was ran.

35. 35 History Summary Report & Reconciliation $11,211.60 Gross Salary - $ 0.00 TCRS Employee - $ 1,305.84 Deductions Sheltered from FIT - $ 0.00 NDNTB + $ 150.00 Fringe Benefits $10,055.76 FIT Taxable Gross **DDNTB stands for Deductible Non-Taxable Benefits. **NDNTB stands for Non-Deductible Non-Taxable Benefits.

36. 36 History Summary Report & Reconciliation $11,211.60 Gross Salary - $ 1,305.84 Deductions Sheltered from SS/Medi + $ 150.00 Fringe Benefits $10,055.76 SS/Medi Wage Difference between Social Security and Medicare Wages could be an employee who is exempt from Social Security or has met the Social Security Maximum Limit. An employee that is retired or marked to be exempt from FICA could affect your wage amounts. This will be shown as “Wages Exempt from FICA” under the Gross Salary amount.

37. 37 History Summary Report & Reconciliation TCRS Employee equals the Retirement Gross multiplied by the Employee Percentage.* TCRS Employer equals the Retirement Gross multiplied by the Employer Percentage.* *Be mindful of rate changes within your date ranges.

38. 38 History Summary Report & Reconciliation Social Security amounts for Employee and Employer are equal to the SS Wage multiplied by the rate for the Employee and the Employer, respectively. $10,055.76 X 0.062 (Currently the rate is 6.2% for EE & ER) $ 623.46

39. 39 History Summary Report & Reconciliation Medicare amounts for Employee and Employer are equal to the Medicare Wage multiplied by the rate for the Employee and the Employer, respectively. $10,055.76 X 0.0145 (Currently the rate is 1.45% for EE & ER) $ 145.81

40. 40 History Summary Report & Reconciliation 941 Report for 1 st Qtr Hist Summ for 1 st Qtr $ 884,965.48 Gross Salary - $ 44,777.86 Deductions Sheltered from SS/Medi + $ 0.00 Fringe Benefits $ 840,187.62 SS/Medi Wage

41. 41 History Summary Report & Reconciliation Other Deductions are itemized at the bottom of the History Summary report

42. 42 History Summary Report & Reconciliation Cafeteria Plan: Total of only those deductions with the Cafeteria Plan field set to Yes on the Deduction Control. It doesn’t matter how they were marked for being Sheltered or not.

43. 43 History Summary Report & Reconciliation Deductions Sheltered From: Reads check history for all deductions marked as being sheltered from each type.

44. 44 History Summary Report & Reconciliation Exempt From: Amount from employees that are marked to be exempt from SS/Medi.

45. 45 History Summary Report & Reconciliation If the Cafeteria Plan field is different than the Deductions Sheltered from FIT, the difference could be your TSA amounts (if any). If there are still differences, you should run the ‘Ded Flag Comparison’ report to see which deductions were set up differently than the control file. Reports – History – Other – Ded Flag Comparison

46. 46 History Summary Report & Reconciliation The amounts for Deductions Sheltered from Soc Sec and Medicare should always be equal to the amount shown for the Cafeteria Plan. If not, this usually indicates a discrepancy between the Sheltered flags on an employee(s) record versus the deduction control file.

47. 47 History Summary Report & Reconciliation Net Pay will equal the Gross Salary less any ‘Employee’ amounts (incl. FIT): $ 11,211.60 Gross Salary -$ 545.59 FIT -$ 623.46 Social Security -$ 145.81 Medicare -$ 1,305.84 Other Deductions $ 8,590.90 Net Pay

48. 48 History Summary Report & Reconciliation Employment Security Wage: Reads check history for all wages being marked as subject to Emp Sec.

49. 49 History Summary Report & Reconciliation Deductions and Adjustments are itemized at the bottom of the History Summary report and are sub- totaled by Class.

50. 50 Tax Deposit Recap Report A report that does not print during the Payroll Process but is useful in calculating your 941 deposit for the payrolls just completed is the Tax Deposit Recap report. From the main Payroll Menu select Reports then History From the History Reports menu select G/L then Tax Deposit Recap

51. 51 Tax Deposit Recap Report Remember: The Check Date is what matters here.

52. 52 Tax Deposit Recap Report

53. 53 This completes our presentation on the FlexGen Payroll section of Resource 2016. If you have questions about any of these processes contact our Support Center at: 1-800-737-1826 Or visit us online at: www.localgovcorp.com