Connecticut - Paid Family and Medical Leave Act [PMID Ref No 20568]
The State of Connecticut will be requiring a new deduction to be withheld from each employee's paycheck for Family Leave beginning in the 2021 Calendar Year. This is an employee deduction only and there is no employer portion for this tax. This deduction will be handled in the SDI Accumulator of the PRCHECKS table in the AccuBuild System. You will need to enable this on the State Payroll Tax Information Screen which is accessed from the Payroll Properties Screen.
•G/L Account - A new G/L Account should be set up in your chart of accounts to track the family leave deduction amounts.
•Tax Rate - The initial tax rate is 0.005 for 2021, however you will need to verify this rate and update as needed according to Connecticut Tax regulations.
•Cutoff Limit - Currently the cutoff limit is based on the social security cutoff limit ($142,800 for 2021) and this field will need to be updated as necessary per Connecticut Tax regulations
Currently there are no payroll tax forms provided for this tax at this time, but if and when they are provided by Aatrix (our tax forms partner), we will make them available in the AccuBuild System. If you need to track these amounts right away, you can use the AccuBuild MAR Report entitled “Subject To Earnings Report - Summary - Trans Date” which will provide both the SDI Wages and Employee (EE) SDI Withheld amounts.
Please refer to the following website link for more information: https://ctpaidleave.org/s/?language=en_US
•ENHANCEMENT - New Connecticut 941 Wage Comparison Report [PMID Ref No 20503]
A new report has been added to the Employee PR Reports section of My AccuBuild Reports (MAR) entitled Connecticut 941 Wage Comparison Report. This report can be very useful in reconciling the Federal 941 wages to the wages that should be reported on the Connecticut 941 Form for employers that are performing work in multiple states. A breakdown of wages is provided for each employee for both the State Withholding State (SWH) and the State Unemployment State (SUI). Employee subtotals as well as report grand totals are provided for five different classifications of subject wages:
•FWH - This shows the total of the Federal wages per 941.
•CT SWH - The SWH Wages for CT which is the amount that Aatrix is using on the CT Gross Wages (residents & non residents).
•CT Res Other States - The FEDERAL wages earned in other states for CT residents (transaction SUI code = CT and SWH State code <> CT) (Per the CT website, resident wages are all wages paid to an employee even if the employee works outside CT.)
•CT All - The total of the CT SWH Amount and the CT Res Other States Amount.
•Non Res Other States - Non Residents with earnings in other states
•ENHANCEMENT - W2 - Box 14 Update [PMID Ref No 26289] 10.2.0.2 BLUE
oThe employee withheld amounts for Paid Family Leave are now included in the Box 14 totals produced by Aatrix for the State of Connecticut.