There is an article that you konw the FICA Taxes don't round correctly and it can cause a difference of cents. For example, the Pay Statements for Employee may give you an amount of $1,847.42, and what posts to the General Ledger Expense account is $1,847.40. Although this is only a difference of $0.02, this shouldn't happen. This could be significant if it involves numerous employees. Based on your information you are already aware that your system rounds in 2 different directions. When will this be fixed. This should not occur. Please fix this asap.
See Article: FICA taxes does not round properly in Sage 100 ERP
Products
Sage 100

Description
FICA taxes does not round properly in Sage 100 ERP

Cause
In Sage ERP 100, during payroll processing, the FICA tax is not rounding the same. The Employee portion is rounding up 17.205 to 17.21 while the Employer side is rounding down 17.205 to 17.20.
The expectation is the program should round both numbers the same way.



Resolution
There are minor differences in the calculations for employee and employer FICA that could cause penny differences in rare cases.

The 941 quarterly reporting form should be filed to adjust any differences in the actual employer amount to be paid.

by: Cindy S. | over a year ago | Payroll / Job Cost