Overview of Retirment Paycheck Data Entry

The data entry fields for the Paycheck Comparison are listed below. The specific data-entry fields that are displayed depend upon a number of options:

1)the Employer File,

2)if there is a spouse's paycheck, and

3)and the settings in the Paycheck Configuration Options.

The details for the fields are displayed below.

Gross Income

Gross Income is editable for the current paychecks if Allow Editing of Current Gross Income is checked in the Paycheck Options panel (discussed below) , and for the retirement paycheck if Allow Editing of Retirement Gross Income is checked. If it is a displayed value, it is the value value entered for the respective person.

Non-Taxable Income

This value is displayed if Show Non-Taxable Income is checked in the Paycheck Options panel (discussed below) . It allows for entering income that is not subject to withholding tax (e.g. Roth distributions).

Section 125

Enter the value for the Cafeteria/Section 125 values. This value is not available for the retirement paycheck.

Pension

Enter the value for the pension plan. If the Employer File is configured to calculate this value, the calculated value will be displayed. This value is not available for the retirement paycheck.

Pre-Tax Contrib.

The caption on this prompt will show the retirement plan name (e.g. 401(k) or 403(b)) from the Employer File if only the client's paycheck is displayed or if the client's and spouse's Employer File have the same primary qualified plan type selected. Otherwise it will display Pre-Tax Contrib.. The data entry field (a dollar value or a percent) is dependent on which one is selected in the Employer File.

Pre-Tax Contrib. #2

Pre-Tax Contrib. #2 will be displayed if either the client's or spouse's Employer File is configured to have a second qualified plan. Similar to the previous item, the caption on this prompt will show the retirement plan name (e.g. 457) from the Employer File if only the client's paycheck is displayed or if the client's and spouse's Employer File have the same primary qualified plan type selected. The data entry field (a dollar value or a percent) is dependent on which one is selected in the Employer File.

Other Pre-Tax Deductions

This value is displayed if Show Other Pre-Tax Deduction is checked in the Paycheck Options panel (discussed below) panel. It allows for entering deductions that reduce the income subject to taxation. It is not available for the retirement paycheck.

Federal Withholding-Tax Prompts

The retirement paycheck can use a percentage method for calculating federal and state withholding tax (the default option), or calculate using the withholding method below. This is configured by toggling Use Percentages for Federal and State Withholding Taxes in the Paycheck Options (discussed below) panel.

Use Pre-2020 Form W-4

Use Pre-2020 Form W-4 is available for the paychecks if Allow Federal Pre-2020 W-4 Election is checked in the Paycheck Options panel (discussed below) panel. It selects to use the pre-2020 federal tax withholding method or the revised method starting in 2020.

Multiple Jobs or Spouse Works

This is available if the 2020 federal withholding tax method is used. Check the box to match the person's paycheck.

Status

Select the appropriate status for the paycheck. (Note that Head of Household is not an available option with pre-2020 W-4 filings).

Allowances

This is available if the pre-2020 federal withholding tax method is used. Enter the number of federal allowances.

Additional Deduction

This is available if the 2020 federal withholding tax method is used. Check the box to match the person's paycheck. Enter the additional deduction the client entered on the W-4 form.

Additional Tax

Enter the additional withholding from the client's (or spouse's) W-4 form.

State Withholding-Tax Prompts

The specific prompt for State Withholding can vary depending up which state is selected in the Employer File for withholding calculations.

We get quite a few questions about specific state withholding options. If you have specific questions about a certain state, please refer to their withholding method before contacting support. (It is the first place we will refer to in any phone call).

Status

This will be displayed for state withholding options that have a status. Select the status the status the client filed for their state withholding option.

Allowances

If this is visible, enter the number of allowances

Additional Allowances

Additional Allowances are available in a number of states (e.g. California). If the state selected in the Employer File has additional allowances, enter the number of additional allowances.

Additional Tax

Enter any additional withholding tax the client (or spouse) has elected for their paycheck.

Local Withholding-Tax Taxes

Local Withholding Taxes, and other deductions, can be configured in the Employer File. If the values require data entry (again, configured in the Employer File), the prompt will be available when the Local Tax line is expanded.

Roth Contrib.

The prompt and data entry method (dollar or percent) for the Roth Contribution follows a similar convention as the pre-tax discussed above. It will be displayed if either the client's or spouse's primary retirement account in Employer File is configured with a Roth account. Enter the contribution value to the Roth account.

Roth Contrib. #2

Similar to the Pre-Tax Contrib #2 prompt above, Roth Contrib. #2 will be displayed if either the client's or spouse's Employer File is configured with a second contribution plan and it has a Roth account. Enter the contribution value to the Roth account.

After-Tax Deductions

Enter the total After-Tax Deduction for the specific paycheck. (Again, this field is available if it is configured in the Employe File).