This is not working for me. The rates must be in the QB program that is not allowing for under 25 employees. When I put the rates in where it is asking for a percentage it does not calculate correctly. I tried running a test entry for one employee and it calculates a mere one cent or nothing at all. The only way I see to make this work til the program gets corrected is to manually calculate the tax for the medical leave contribution and adjust each employee's paycheck before processing the payroll for this week. We are covering 100% of both taxes as the employer and 100 is what I had originally put in the CO box and 0 in the EE box. It worked for the family leave at .13% but not the medical leave which is at a higher percentage for over 25 employees than the .248 for under 25 employees.
I appreciate you for posting your experience here in the Community. Let me help ensure that your Medical Leave tax rate calculates accurately in QuickBooks Desktop (QBDT).
Once you've entered the rate of MA-Paid Medical Leave Co, let's update the latest tax table on your QuickBooks to ensures the calculation of your payroll taxes and deductions are accurate.
For additional reference, you can check this article to know more on how to update your payroll tax table: Get the Latest Payroll Tax Table Update.
You can also visit these related articles below for future reference:
This should get you on the right track! Please let me know how it goes by clicking the Reply button below. I'll be around to help if you have any further questions about payroll taxes. Have a good day ahead.
I downloaded an entire Payroll update 21916 last week and to safeguard I ran a whole payroll update again this morning before I attempted a payroll. I need someone to explain how the QB program for the new leave programs knows that I am an under 25 employer and not an over 25 employer. I am a seasonal business - there are some quarters where I am over and others where I am under 25. I followed the Mass state calculator on their website and for 2018 I came out at just over 20 for an average employee count. Nowhere in the setup did it ask whether I am over or under. There are different rates and circumstances for the 2 levels. For this week I manually changed the tax for the Medical leave contribution in each employee's check. The family leave calculation was correct.
You have to combine your rate manually to let QuickBooks know that you have less than 25 covered individuals. In QuickBooks, you're only allowed to set up the deductions and contribution to comply with the tax.
The details on how to determine your rates are found in this article: Massachusetts Paid Family Leave.
You can also visit the MA Paid Family Leave for employers website for more FAQ.
Please know that you're always welcome to post anytime here in the Community page.
We are trying to update all our employees with their share of this new tax but unless we do each employee separately, no way to mass update. The payroll update wizard does not allow us the option to choose this tax and put in the percentages despite what article said to do. We are using qb2019 desktop.
You can go to the Payroll Item List and edit the new tax rate. Let me guide you how.
But this will only apply if you haven't entered a rate in your Employee's set up yet.
However, if you have already an existing rate entered, you can edit each rate in your employee's set up. Here's how:
I have this link in case you have other questions about payroll:Payroll And Workers.
Post a reply if you need anything else. I'll be right here to help.
I am an under 25 employer who is paying 100% of the taxes - no money deducted from my employees. I followed the instructions in your post and there is nowhere for me to edit the rate in my payroll item. It scroll through the series of screens but the tax rate never comes up for edit. It appears in the total list of payroll items under amounts and limits but it has an amount for the over 25 employee rate. I cannot get to the rate to edit it down.
You can edit the rate under the Default rate and limit window. Let me guide you on the steps.
However, if you're still unable to edit the rate, you can update it every time you run your employee's payroll. Here's how:
Here's an a link that you can refer if you have other questions about payroll: Payroll And Workers.
Let me know if you need anything else. I'll make sure to help.
The default rate and limit page does not appear for the new taxes. I see it in my other Mass taxes such as unemployment and EMAC.
You need to change the rate and limit by going through the employee's profile. Please follow the steps and screenshots provided by my colleague @ShiellaGraceA in this thread.
I also suggest contacting our QuickBooks Desktop Payroll Team so they can check this for you. This is to ensure the new paid family leave is set up and assign to each employee correctly. They can do screen-sharing with you and walk you through getting this right.
You can contact them by following the steps listed below:
You can update this post on how the call goes by leaving a comment below. Should you need anything else, just let me know, and I'll get back to you.
Those steps do not work for the desktop version. Those fields aren't there. You all keep sending us to do the same thing when the issue is with your tax tables not working correctly for companies with fewer than 25 employees. And no, "manually adjust it with each payroll" isn't a valid answer
Please make sure to update your payroll tax table to ensure taxes are calculated correctly. On the other hand, I also recommend contacting our QuickBooks Desktop Support Team to check and investigate this further.
To get in touch with our Support Team, you can follow the steps laid out by MaryLandT above, or you can check it here: Contact the QuickBooks Desktop Customer Support Team.
Keep in touch if you have any other QuickBooks questions. I'm always here to help!
The payroll has been updated and those steps to which you keep referring don't work that way in the Desktop version.
The steps above do not correct the problem. Calling customer service is always a huge frustration. Seems like this is a problem with QuickBooks and not your users!
I appreciate you visiting the Community, loribethr.
This isn't the experience we want for you. In the meantime, let's manually create the payroll item with the appropriate rate.
Here are the steps:
Let me share this article for future reference: Payroll setup interview in Desktop.
Please leave a comment if you have any follow-ups or other questions. I'll be here to keep helping. Have a good one.
So if we create a new item, what do we do with the item that is already set up by your payroll update and has the incorrect rate? Why not just correct the payroll updates on your end instead of having up jump through hoops with workaround after workaround (none of which actually work)?
I appreciate you coming back to the Community, JD1367dmp.
We will be releasing a payroll update that will allow you to set up the deductions for employees and company contribution to comply with this tax.
While we are waiting for the update, we're asking you to follow the suggestion below.
Since you already have an item with the correct, you can use the Paid Family and Medical Leave Contribution Calculator to determine what portion of the tax you are subject to based on the number of covered individuals.
Once done, please manually update the taxes on the paycheck. This will make sure the figures are accurate. Here's how:
You can always refer to the Massachusetts Paid Family Leave article for the complete details.
Let me know if you have any other concerns by posting a comment below. I’ll jump right back into answer you. Have a good one.
If you have under 25 employees you have to use 40% under medical leave and 100% under family leave in each employee's set up screen and it will calculate the tax correctly. I found no way to put in once, unfortunately. It has to be done for each employee. Although, it's time consuming, it does work and you won't have to adjust it manually each time you run payroll.
Oh, for the love of GOOOOOODNESS! Thank you for this solution. We, too have less than 25 employees but are covering the contribution on their behalf. What a production to override the medical portion each week...even though its only been 3 weeks, it wouldn't take long for me to muff it up! Amen, and thank you PAY22.
I am writing to request an update on Quickbook on-line and how it implements this new tax: family paid leave in Massachusetts. I would appreciate if you could send us the instructions to follow.
Thanks in advance.
Yes, we’re creating an update for the MA Family Paid Leave for our QuickBooks Payroll platforms. Our target release date is in mid-November 2019. Your paychecks from October 1 to target date will then be recalculated to catch up for the missing taxes.
This article has more details about the leave: Massachusetts Paid Family Leave. Expand the QuickBooks Online Payroll and QuickBooks Online Full Service Payroll section to see the instructions to enter the company and employee's share of premium insurance rates.
Always feel free to ask if there's anything you want to know.