THIRD PARTY PAY
DESCRIPTION: Third Party Pay allows you to enter third party pay information into Pro Fund Accounting. If your employees receive any pay from a third party (example - an insurance company) and the third party does not issue any required W-2 forms, then you will need to make entries for the pay that was from the third party. Also, you may need to provide matching amount for FICA and Medicare to the Federal Government for this pay. The third party sends you the information about the employees that they have paid, their amounts, and the date that you received this information. This date may even cross over the calendar year. As an example, employee Fred Rogers was paid on November 10 but the third party did not report the amount to you until January 5. According to the Federal Guidelines for Third Party Pay, the effective date of that pay is January 5 and not November 10.
To access: Click on the Payroll module .png)
then click the Third Party Pay menu item. .png){kind=small}
The following window will appear:
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Please see the following topic for help on setting up filters .png){kind=small}
in the grid: Exploring Grid Filters
If you have room, you should expand the width of the window to show all the fields. On the left side is a list of Employees. Select the employee that received the pay by clicking on that line.
On the right side you can click add a new row and enter the information specified from your third party provider: Date, Amount, Federal Tax, FICA Tax, Medicare Tax, State, State Tax, City, City Tax, FICA Exempt, and Description. If the pay is exempt from FICA, make sure to check the FICA Exempt box. The information will automatically be saved when you tab or click off the cell.
When you are done entering all of the pay for each employee, then click on the X in the upper right corner of the window to close the window.