W2 WAGE AND TAX STATEMENTS
The W2 wage and tax statements will be mailed to the current H/R address that is on file. If your address has changed, please notify us via email at email@example.com before January 10, 2013.
2012--W2 wage and tax statements will have a new reporting box 12DD. The amount reported in this box is the value of the employer sponsored health coverage. THIS IS NOT TAXABLE. For additional information, please go to www.irs and search for Affordable Care Tax Act Provisions page.
W2 statements will be mailed prior to January 31, 2013.
SOCIAL SECURITY WAGE BASE ANNOUNCEMENT
The employee’s portion of the Social Security tax, which is withheld from employee’s salary and wages during 2013, will be 6.2% of the first $113,700. (The employee withholding rate of 6.2% is two percentage points higher than the 2012 rate of 4.2%) Each employee’s earnings in excess of $113,700 are not subject to the Social Security tax.
The employer’s portion of the Social Security tax for 2013 remains at 6.2% of each employee’s first $113,700 of taxable earnings. There is no employer Social Security tax on any employee’s earrings above $113,700 during 2013. Hence, the combined Social Security tax rate for 2013 is 12.40% on all employees’ earnings.
In addition to the Social Security tax, the employee must have withholdings for the Medicare tax of 1.45% of every dollar of salary or wages earned during 2013. (The Medicare tax rate did not change from 2012.)
The employer must also pay a Medicare tax of 1.45% on every dollar of every employee’s salary. Hence, the combined Medicare tax rate for 2013 remains a 2.9% on all employees’ earnings.
The IRS has implemented a new rate schedule of $.565 for the use of personal vehicles for all business miles driven from January 1 through December 31, 2013, the travel reimbursement request forms have been updated to reflect the new rate and are available on the portal. Please note any mileage incurred before January 1, 2013 will be reimbursed at the rate of $.51.
PAYROLL TIME SHEET REMITTANCE
All time sheets should be remitted per the published schedule that is available on the portal and sent to firstname.lastname@example.org, they also can be dropped off to the Controller’s Office located on the first floor of the UCoM Building.
If you need any assistance with time sheet processing or have any questions regarding the payroll information, please contact me at ext. 4654 or Susan Williams at ext.4632.
Director of Financial Services