Sage 100 ERP 2013-Q1 Tax Table Update – First Draft released

The first draft of the Sage 100 ERP 2013 Quarter 1 Tax Table Update (TTU) was released today. Here is a short list of changes that affect our clients in Florida, Georgia, and Pennsylvania:

  • Federal – Social Security wage base increase to $113,700 (currently $110,100)
  • Federal – Additional Medicare tax rate for wages over $200,000 is .9 %. Note: Payroll programs and the tax table files have been modified to calculate this Additional Medicare tax effective January 1, 2013. In order for the Additional Medicare tax to calculate, both the 2012 Year-End IRD and the 2003-Q1 TTU must be installed prior to processing your first payroll in 2013.
  • Federal – Employee FICA rate increase (temporary reduction of rate expires December 31, 2012) to 6.2%
  • Georgia
    • Personal Exemption Increase
      • Married Filing Jointly – increase to $7,400
      • Married Filing Separate – increase to $3,700
    • UI wage base increase to $9,500
  • New Jersey
    • UI wage base increase to $30,900
    • Temporary Disability Insurance (TDI) wage increase to $30,900
    • TDI rate increase to .3600
    • Family Leave Insurance (FLI) wage base increase to $30,900
    • FLI rate increase to .1000
  • Pennsylvania
    • UI wage base increase to $8,500
    • Employee UI withholding rate decrease to .07%

Other states with listed tax table changes include: Alaska, California, Colorado, Hawaii, Iowa, Idaho, Illinois, Kansas, Kentucky, Maryland, Maine, Minnesota, Montana, North Carolina, North Dakota, Nebraska, New Hampshire, New Mexico, Nevada, New York, Oklahoma, Oregon, Rhode Island, South Dakota, Utah, Washington, Wisconsin, and Wyoming. Puerto Rico also contains a change to the withholding tax tables.

As the Federal Government and states continue to make changes to their tax structure, Sage will continue to update the 2013-Q1 TTU. Remember that both the 2012 Year-end IRD and the 2013-Q1 TTU must be installed on your system prior to processing your first payroll in 2013 to correctly calculate the new Medicare changes. The IRD and TTU are only available for Sage 100 ERP (formerly Sage MAS 90 and 200 ERP) versions 4.30.0.18 and higher. If not at a supported version, you must upgrade to install the IRD and TTU.

More information on the Additional Medicare Tax can be found on the IRS website at http://www.irs.gov/Businesses/Small-Businesses-&-Self-Employed/Questions-and-Answers-for-the-Additional-Medicare-Tax.

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