The capped wages on NY-Paid Family leave is wrong $1,401.17. It should be $72,860.84. How can I fix it?

Hello, @pat24. Thank you for coming to the Community, where QuickBooks needs are met with great people.

Fixing the amount for the wrong leave amount is my specialty.

To change the amount, you can go to this article that will provide step by step instruction on how to correct this issue.

Just go to NY-Paid Family Leave Correction.

You can go to Contact Payroll Support Team if you have any issues performing this task.

Please don't forget to revisit us for your QuickBooks needs. Have a beautiful day!

I don't see that the link you provided to address this issue connects to the right answer. 

We are seeing this $1,401.17 "Annual Wages Limit Reached" notice in our QB2018 desktop program also.  Even though the message comes up, it does NOT seem to really be limiting the employees' 0.27% deduction for this NY tax.   The $1,401.17 does not appear to be something that we can edit; it just shows up in the Payroll Item List in the "Limit" column.

That figure is the AVERAGE weekly wage limit for 2020, but the Notice seems to appear when an employee is reaching that amount as their Year-to-Date wage total.     Again, not really reducing the 0.27% deduction from their pay like it indicates it does -- so the NOTICE seems to be bogus.  With no way to edit the limit ourselves, it apparently is a download from Intuit with the payroll module.

RIGHT ??

Hello there, @bethorp. 

I'd like to do some troubleshooting to isolate the issue to find the root cause of this behavior.

I've provided steps below on how to troubleshoot Payroll with ease:

1. Get the latest Payroll Tax Table Update.
2. Close the Company File.
3. Run a Payroll Checkup.
   1. Go to Employees on the top menu.
   2. Navigate to My Payroll Service.
   3. Click on Run Payroll Checkup.
4. Fix any errors that were found.
5. Recreate Payroll.

Let me know how this goes for you! I'll keep an eye out for your response. Talk to you soon.

Thank you for your prompt attention!

  I have done all (I believe) that you suggested -- in a back-up file -- but the issue of the $1,401.17 wage limit is still showing up in the Payroll Item List.

I don't know if the problem relates to us having ordained pastor payroll in our file, which means that we have to manually change some settings, since the QB payroll module does not come with this as an option.   They are "dual-status" employees so their pay is NOT subject to SS & MC as wages, but is subject to NY Paid Family Leave.  Plus we have Housing Allowances for them, which is also subject to PFL. 

I have made some reports & screen shots for you, but will not post them here!   Is there a secure way to provide to you, if you want to review the things I've noted & highlighted for your analysis?

Thanks for your prompt response, @bethorp.

I appreciate you giving us the details. It helped a lot to identify your concern.

And you're right, this is a weekly limit that's why it shows their $1,401.17 instead of 72,860.84 (calculated $1,401.17 per week * 52 weeks = $72,860.84 this year). It was changed to a weekly limit instead of YTD total $72,860.84 wage cap.

You can also contact our Customer Care Support for more details about the changes.

Here's how:

1. Open your QuickBooks desktop account and Press F1.
2. A pop-up frame will appear, click Contact Us.
3. Enter your query and hit Continue.
4. Choose to Get a callback.
   

Our supports are available every 6:00 am-6:00 pm from Monday to Friday and 6:00 am-3:00 pm Saturday.

You can also check this article: New York Payroll Tax Compliance. It includes local taxes and other taxes.

Please feel free to leave a message to this post if you need further assistance. I'm always here to help. Take care!

The intended link near the end of your reply is not active.

I find nothing on the NYS official website about this calculation being changed from the ANNUAL tax limit to a weekly wage cap.   Can you provide your resource?

Here is one from a major carrier of PFL here in NY (ours):

https://pfl.shelterpoint.com/blog/paid-family-leave-withholding-2020

Regardless, there still seems to be a problem with the QB "Notice" that pops up, which speaks of the $1,401.17 as an annual wage limit -- which it clearly is not.   The payroll module is also NOT really limiting the tax withheld from the employees, even though it says it is  -- which I believe is fine, since I see no withholding rule that it should be limiting the deduction at any point during the year UNTIL the $196.72 withholding CAP is reached on a year-to-date basis.

See attached file uploaded to see the Notice our bookkeeper has been seeing.

I appreciate you for providing a screenshot, bethorp.

Yes, you're correct that the $1,401.17 is the weekly limit. Though, QuickBooks entered it as the annual limit, the program will still calculate the actual annual limit, which is $196.72.

If you still have other question about this, you can reach out to one of our Phone Support agents. Contact the QuickBooks Desktop.

I've also added this guide for some FAQs about the New York Paid Family leave: FAQ.

Feel free to get in touch with us if you still need help. Thank you!