Tax Advanced Percent Questions

[seashell11]

New York State Disability insurance tax law says that the tax is supposed to be between 0.5% and 1.0% and not more than 60 cents per week. We are paying weekly, and I was wondering how this needed to be entered in so that it would not be more than 60 cents per time.

[shaunw]

You can do it with the Advanced Percent calculation. It works on annual amounts, not weekly amounts though, so you just need to multiple the weekly amount by 52.

So if the max amount is 60 cents per week, or 0.60 dollars, then 0.60 * 52 = $31.20/year.

If you are using 1%, then $31.20 is 1% of $3120, so you can use that value as the Annual Wage Base amount. This tells TimeTrex to only calculate 1% on the first $3120 of the employees income. If 1% is more then $0.60/week, you will need to use a lower percentage.

[seashell11]

OK, Thanks!