Sage 100

 View Only
  • 1.  Fyi, 'Massachusetts' Paid Family & Medical Leave (FMLA) - effective 7-1-19

    Posted 05-13-2019 12:23
      |   view attached

    The following is from the attached Sage 100 Knowledgebase article (last updated 5/8) re: 'Massachusetts' Paid Family & Medical Leave (FMLA):

    Employers with 25 or more employees will be required to remit a contribution to the Department of Family and Medical Leave of 0.63 percent of eligible payroll. This contribution can be split between employee payroll deductions and an employer contribution and will support both types of leave. 

    • Payroll deductions and contributions are to begin on July 1st, 2019.
    • Effective January 1, 2021 employees who contribute to the program can take paid leave. 

    Final specifications from MA are not yet released, however, Sage Engineering and Aatrix are aware and working on a solution which is scheduled before July 1.

    Notes:

    • In order to comply with this new law you'll require two Tax ID's. It is likely that there will be required reporting for both Tax ID's, therefore Tax ID's must be specific. Employee Tax ID & Employer Tax ID.
    • Total premium contribution for 2019 is 0.63%.
    • The Medical Leave Contribution is 0.52% and the Family Leave Contribution is 0.11%.
    • The Medical Leave Contribution is shared by the employer (60% of the Medical Leave Contribution) and by the employee (40% of the Medical Leave Contribution).
    • The Family Leave Contribution is paid 100% by the employee.
    • Both taxes will calculate based on formulas created in the SPA.

    Considerations:

    • Both taxes are effective 07-01-2019. Once you've finished processing the last payroll where the check date will be in June 2019, add the taxes to the MA Tax Group. There are specific considerations for both of these taxes. Familiarize yourself with the rules and what is applicable for your company.
    • The required reporting is not finalized as yet.


    ------------------------------
    - Brett
    ------------------------------

    Attachment(s)



  • 2.  RE: Fyi, 'Massachusetts' Paid Family & Medical Leave (FMLA) - effective 7-1-19

    Posted 05-15-2019 01:38
    Washington State just went though this same thing. We are 6 months in and Washington still hasn’t release a format for remit or report the FML...

    ---------------------------------
    Jim Woodhead
    DSD Business Systems
    619-990-3946
    ---------------------------------





  • 3.  RE: Fyi, 'Massachusetts' Paid Family & Medical Leave (FMLA) - effective 7-1-19

    Posted 07-17-2019 12:10
    Edited by Brett Zimmerman 07-17-2019 12:26
    updated in following post...


  • 4.  RE: Fyi, 'Massachusetts' Paid Family & Medical Leave (FMLA) - effective 7-1-19

    Posted 07-17-2019 12:25

    Apparently the 7-1-19 'begin' date for Payroll deductions and contributions has been extended 3mo by the state of MA.

    Final specifications from MA are not yet released, however, Sage Engineering and Aatrix are aware and working on a solution before the effective date.

    ***Updated status:

    Massachusetts will delay implementation of its new paid family and medical leave program by three months, concerned that its planned rollout would cause confusion among employers.

    The state had planned to begin July 1 requiring businesses to make payroll deductions to fund the paid family and medical leave program. The payroll contributions would equal 0.63 percent of a worker's weekly wages, split between employer and employee contributions. The start date for mandatory contributions has been delayed three months, to Oct. 1, 2019.



    ------------------------------
    - Brett
    ------------------------------



  • 5.  RE: Fyi, 'Massachusetts' Paid Family & Medical Leave (FMLA) - effective 7-1-19

    Posted 07-17-2019 12:38
    I noticed a post in Sage City about another payroll change which will only be updated in the latest version 2.19.x of payroll. It's important to ensure anyone still on legacy payroll understands that by staying on that older release they undertake the risk of their payroll not being updated for critical payroll year-end 2019 or 2020.

    ------------------------------
    Wayne Schulz - Schulz Consulting - 860-516-8990
    ------------------------------



  • 6.  RE: Fyi, 'Massachusetts' Paid Family & Medical Leave (FMLA) - effective 7-1-19

    Posted 09-23-2019 12:52
    Edited by Brett Zimmerman 09-23-2019 12:53
    Update (incl apparent change to rules):  Below is the MA PFML article/info from the Sage 100 knowledgebase, which apparently is not completely up-to-date/accurate.  The mass.gov (non-Sage 100-specific) link looks to have the correct info.  Regarding any applicable exemptions (e.g. after 132,500), I assume that's built into the software.  Be sure to install the Tax Updates when prompted in Sage 100 to make sure you have the most recent installed. 


    Massachusetts Paid Family & Medical Leave

    Apparently this is not completely up-to-date/accurate; see the mass.gov (non-Sage 100-specific) link.

     

    Cause

    Employers with 25 or more employees will be required to remit a contribution to the Department of Family and Medical Leave of 0.63 percent of eligible payroll. This contribution can be split between employee payroll deductions and an employer contribution and will support both types of leave.

    Users who hire 1099 contractors are another requirement to be reported. This will not be handled via Accounts Payable. These contractors will need to be reported via the Payroll module or manual entry into Aatrix. (Instructions to come upon release targeted prior to the effective date. Currently waiting for the state of MA to finalize the reporting for the MAPFML so we have the information to map our files to Aatrix.)

    Payroll deductions and contributions were to begin on July 1st, 2019. **** This date has been extended for 3 months by the state of MAssachusetts. Until finalized this information is subject to change!!!!

    Effective January 1, 2021 employees who contribute to the program can take paid leave.

     

    Resolution

    Final specifications from MA are not yet released, however, Sage Engineering and Aatrix are aware and working on a solution before the effective date.

    ***Updated status:

    Massachusetts will delay implementation of its new paid family and medical leave program by three months, concerned that its planned rollout would cause confusion among employers.

    The state had planned to begin July 1 requiring businesses to make payroll deductions to fund the paid family and medical leave program. The payroll contributions would equal 0.63 percent of a worker's weekly wages, split between employer and employee contributions. The start date for mandatory contributions has been delayed three months, to Oct. 1, 2019.

    Notes:

    • In order to comply with this new law you'll require two Tax ID's. It is likely that there will be required reporting for both Tax ID's, therefor Tax ID's must be specific. Employee Tax ID & Employer Tax ID.
    • Total premium contribution for 2019 is 0.63%.
    • The Medical Leave Contribution is 0.52% and the Family Leave Contribution is 0.11%.
    • The Medical Leave Contribution is shared by the employer (60% of the Medical Leave Contribution) and by the employee (40% of the Medical Leave Contribution).
    • The Family Leave Contribution is paid 100% by the employee.
    • Both taxes will calculate based on formulas created in the SPA.

    Considerations:

    Both taxes are effective 10/1/2019 at this time. Once you've finished processing the last payroll where the check date will be in September 2019, add the taxes to the MA Tax Group. There are specific considerations for both of these taxes. Familiarize yourself with the rules and what is applicable for your company.

    The required reporting is not finalized as yet.

     

    Additional information

    Guide FMLA Leave (Family and Medical Leave Act)

    Paid Family Medical Leave for employers FAQ

     

     

    Defect ID

    111083 & 110925


    ID:97425Last modified:8-23-2019  



    ------------------------------
    - Brett
    ------------------------------



  • 7.  RE: Fyi, 'Massachusetts' Paid Family & Medical Leave (FMLA) - effective 7-1-19

    Posted 09-29-2019 15:21
    To get those to show up I had to delete the line in Tax Profile Maintenance and then add it back in.

    ------------------------------
    Beth Bowers
    Mom to Samson, Peanut, ChiChi, Canton, Cagney and Daisy (NO Oxford comma - shriek!)
    Beth Bowers
    269-445-1625
    ------------------------------



  • 8.  RE: Fyi, 'Massachusetts' Paid Family & Medical Leave (FMLA) - effective 7-1-19

    Posted 09-30-2019 08:50
    That's interesting, @Beth Bowers, thanks for sharing.  Have you had to implement MA PFML​​ on the old Payroll?

    ------------------------------
    - Brett
    ------------------------------



  • 9.  RE: Fyi, 'Massachusetts' Paid Family & Medical Leave (FMLA) - effective 7-1-19

    Posted 09-30-2019 09:11
    The only MA client I have on payroll was upgraded this weekend (skidding in under the wire).  I spazzed when I still didn't see the new tax in the Tax Profile.  Also, it doesn't appear that the employER portion is covered by the SPA - I had it setup with 0 percent and it calculated nothing.  You have to put in the .372.

    ------------------------------
    Beth Bowers
    Mom to Samson, Peanut, ChiChi, Canton, Cagney and Daisy (NO Oxford comma - shriek!)
    Beth Bowers
    269-445-1625
    ------------------------------



  • 10.  RE: Fyi, 'Massachusetts' Paid Family & Medical Leave (FMLA) - effective 7-1-19

    Posted 09-30-2019 12:13
    Apparently for the 'old' Payroll, it needs to be handled via 3 new Deduction Codes:  1 for employer piece set up as Employer Match, 1 Regular deduction for medical, and 1 Regular deduction for family.

    ------------------------------
    - Brett
    ------------------------------