Discrepancy between EE and ER Taxes and Taxable Grosses in Arrears Deductions

Posted October 5, 2001.
PeopleSoft HRMS Known Issues and Information:

Discrepancy between EE and ER Taxes and Taxable Grosses when Deductions go into Arrears:

We have had several instances since going live on 7.51 in which employer and employee portions of taxes and taxable grosses did not match for retirees or employees on LOA. In each case, this happened when an employee's deductions went into arrears because no Additional Pay was setup for these employees. What happened is this: Although the the employee's part of their benefits went into arrears, the non-taxable portion was "deducted" appropriately. Any imputed income earned on the non-taxable portion had the employer portion of fica and fica/med "taken", but the employee portion of these taxes could not be taken because there were no earnings from which to deduct the taxes. The end result was that the ER and EE portion of these taxes do not equal. Please be sure that you are running both the Net Pay Greater than Zero report and the Deductions Not Taken Report each time that you run a retiree payroll as this will allow you to adjust Additional Pay as necessary.

If you have any questions, please contact OIIT Customer Services at 1-888-875-3697 (HelpDesk@PeachNet.EDU) or visit the USG-EAS-HRMS/ GeorgiaFIRST Website: http://www.usg.edu:8087/HRMS