FFCRA Payroll Reports - Working with GL Reports

GL Report – JE Adjustment Needed for Payrolls Processed with FFCRA Earnings

Known Issue:

The General Ledger Report is overstating the Tax Impound in the credit column due to FFCRA earnings / tax credit. Developers are currently working on a resolution

Action Needed:

On your General Ledger Report, make note of the Tax Impound Credit:

Unfortunately, this is not the actual tax impound debited from your company bank account for payroll processing. This figure includes the applicable credit for FFCRA which will be later distributed while processing the 2 nd Qtr 941. You will need to separate this into 2 lines.

You will need to create a new expense account called FFCRA Credit/Reimb in the same area as your salaries and wages in your chart of accounts. You will post as a credit to that expense line item, which will result in a total credit for the FFCRA program on your P&L.

To adjust this figure, you will need to look at your Tax Liabilities Report:

The actual Tax Impound debited from your bank account is the Total Tax Liability with FFCRA

In this example, the Tax Impound is $4695.95

The difference between the Tax Liability without FFCRA and with FFCRA will need to be booked into the FFCRA Credit/Reimb Expense Account in your journal entry as a credit.

In this example, the difference to be booked into the FFCRA Credit/Reimb account is $2571.60 (wages/medicare/ER cost of benefits)

These numbers combined will match the GL Report’s total in the Tax Impound Credit Line

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