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Other States - Frequently Asked Questions
- Are there rules about when I must pay my employees?
Yes. State law mandates how soon an employee must be paid after the end of
the payroll period or after termination.
- Besides withholding taxes, what deductions can I make from my
employees’ paychecks?
Each states Department of Labor governs the allowable deductions that may
be withheld from and employee’s payroll check.
- How is unemployment tax calculated?
Unemployment is calculated on all wages until the state imposed limit has
been met. Each state determines that rate and limit that is used to
calculate the unemployment taxes. The State unemployment tax (SUI) rate
may vary. Your annual unemployment tax expense can be increased
substantially if you experience high turnover of your staff. Please
forward this notice to us so that we can make any necessary changes at the
first of the year.
- How are my employees’ bonus and commission checks taxed?
Each state governs the rate at which supplemental earnings are taxed.
- What are the benefits of Pre-tax deductions from my employees’
paychecks?
Deductions such as cafeteria plans Simple IRA’s and 401(k)’s, if made
under qualified plans, are exempt from certain payroll taxes. Making
these deductions on a pre-tax basis results in more take-home pay for the
employees, and in the case of cafeteria plan deductions may reduce the
employer’s liability for State unemployment, Social Security and
Medicare. Each state governs the taxability for withholding and
unemployment.
- Which governmental forms do I need to forward to APS?
If you are not on our tax service, the only tax forms you need to send us
are the appropriate state withholding forms/coupons. It is very important
that you send these forms to us as you receive them. These are controlled
forms and no substitutes are allowed. We cannot guarantee that substitute
forms will be accepted by the taxing agencies and there may be additional
fees imposed if we do not have your preprinted forms. You do not need to
send us the other forms you receive during the year. Our payroll software
produces the other forms we need.
Additionally, any rate changes/notices that you receive should be
forwarded to APS to ensure that you maintain compliance with appropriate
taxing authority.
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