Arrears and Taxes Not Taken
We are moving to using benefit arrears instead of a manual process. In order to do this we had to ensure that each benefit eligible person has a paycheck even if they did not have earnings.
In doing this, we are seeing taxable gross being calculated due to some of our life plans. This is causing ER FICA/MEDI to be taken and the EE portion being put into tax not taken.
Our payroll department has concerns regarding quarterly and annual reporting, especially if a person has not returned to work and we have not been able to take the EE portion of the taxes.