This page (revision-24) was last changed on 26-Nov-2021 10:22 by jmyers

This page was created on 26-Nov-2021 10:22 by jmyers

Only authorized users are allowed to rename pages.

Only authorized users are allowed to delete pages.

Page revision history

Version Date Modified Size Author Changes ... Change note
24 26-Nov-2021 10:22 18 KB jmyers to previous
23 26-Nov-2021 10:22 18 KB jmyers to previous | to last
22 26-Nov-2021 10:22 18 KB jmyers to previous | to last
21 26-Nov-2021 10:22 18 KB jmyers to previous | to last

Page References

Incoming links Outgoing links
US Railroad Taxation
US Railroad Taxation

Version management

Difference between version and

At line 104 changed one line
For groups for Railroad Employment, the Registration tab in IDGR must have the W2 Employment Type field set to 'Railroad' along with the appropriate [IDGV] Government registrations.
For groups for Railroad Employment, the Registration tab in [IDGR] must have the W2 Employment Type field set to 'Railroad' along with the appropriate [IDGV] Government registrations.
At line 107 changed one line
If the Railroad Registration # needs to be defined or the overridden Railroad Maximums or Experience rate needs to be specified, registration types 'US RR Regist 1' up to 'US RR Regist 9' must be defined on [IDGV].
*If the Railroad Registration # needs to be defined or the overridden Railroad Maximums or Experience rate needs to be specified, registration types 'US RR Regist 1' up to 'US RR Regist 9' must be defined on [IDGV].
*The last digit of the 'US RR Regist n' is the same digit as the [IDGR] Fed Regist Type 'US Fed Regist n'.\\''For example, if [IDGR] specifies 'US Fed Regist 2', then [IDGV] should define 'US RR Regist 2' with the same Registration Set to be used for this group.''
At line 109 removed 3 lines
The last digit of the 'US RR Regist n' is the same digit as the [IDGR] Fed Regist Type 'US Fed Regist n'.
‘For example, if [IDGR] specifies 'US Fed Regist 2', then [IDGV] should define 'US RR Regist 2' with the same Registration Set to be used for this group.’
At line 129 changed one line
%%information For example, suppose the RUIA Employer Portion is 2.15% (Experience rate) or 12% up to Wage Base $1280 per month. The default tax rate of 12% will be used by [UPCALC] at all times.\\ \\If the 2.15% Experience rate is being used, this rate must be set up on the [IDGV] screen to override the default rate. Please enter the percent 2.15% as a rate of 0.0215.%%
''For example, suppose the RUIA Employer Portion is 2.15% (Experience rate) or 12% up to Wage Base $1280 per month. The default tax rate of 12% will be used by [UPCALC] at all times. If the 2.15% Experience rate is being used, this rate must be set up on the [IDGV] screen to override the default rate. Enter the percent 2.15% as a rate of 0.0215.''
At line 164 changed one line
*After the groups are defined for Railroad Employment, the jobs and/or jositions that use these groups can be defined.
*After the groups are defined for Railroad Employment, the jobs and/or positions that use these groups can be defined.
At line 168 removed one line
At line 170 changed 4 lines
*After the Position is entered it will retrieve the data for the Group field.
- when the employee is paid by this Assignment, the Group of this Assignment will be used for the Pay Header and therefore the Railroad tax will be calculated according to the W2 Employment Type of the Group.
*After the Position is entered, it will be used to automatically retrieve the data for the Group field.
*When the employee is paid by this assignment, the associated group will be used for the Pay Header and therefore the Railroad tax will be calculated according to the group's W2 Employment type.
At line 175 removed one line
At line 171 added 5 lines
*The Railroad tax methods must be set up for each Railroad employee on [IPRLU] screen.
*The Railroad Taxation Area must be set up for Railroad Employees only
*The FICA Method and Medicare Method are used when the employee is paid by groups that are not Railroad Employment.
*For Railroad employees, both the FICA/Medicare Method and the Railroad Tax section must be set up so that when the employee is transferred between Railroad and Regular employment, the corresponding tax will be calculated.
*Once all the groups have been defined for the Railroad employment and [IEAS] has been set up to pay employees with the Railroad Employment groups, a fix up script can be run to populate the [IPRLU] Railroad tax method with the default method of 'Self Adjust'. This script is called __fix_IPRLU_Railroad_default.sql__\\%%information Please note that fix_IPRLU_Railroad_default.sql only populates the Railroad tax methods, the IPRLU record must first be created.%%
At line 178 changed 13 lines
User must set up the Railroad tax methods for each Railroad employee on IPRLU screen.
- the Railroad Taxation Area must be set up for Railroad Employees only
- the FICA Method and Medicare Method are used when the employee is paid by Groups that are not Railroad Employment.
- for Railroad Employees, the user should set up both the FICA/Medicare Method and the Railroad Tax section so that when employee is transferred to and from Railroad and Regular Employment, the corresponding tax will be calculated
- once after the user defines all Groups for the Railroad employment and finishes the set up on IEAS for the employees to be paid with the Railroad Employment Groups, the user can run a fix up script to populate the IPRLU Railroad tax method to the default method of 'Self Adjust', the script is called fix_IPRLU_Railroad_default.sql
- note: fix_IPRLU_Railroad_default.sql only populates the Railroad tax methods, user must first create the IPRLU record\\ \\
The following is a list of the Database columns used for Railroad Tax calculation:
The following is a list of the database columns used for Railroad Tax calculation:
At line 203 removed one line
At line 212 changed one line
The Railroad tax methods may be overiden by Pay Categories on [IPPGU] screen.
The Railroad tax methods may be overridden by the Pay Categories on [IPPGU] screen.
At line 215 changed one line
Because the Railroad Unemployment Insurance (RUIA) is calculated at a Rate up to a Monthly Maximum Earnings, the user must turn ON the MTD Toggle on IPPR screen in order to maintain the MTD values.
Because the Railroad Unemployment Insurance (RUIA) is calculated at a rate up to the Monthly Maximum Earnings, the MTD toggle on [IPPR] must be turned on in order to maintain the MTD values.
At line 218 removed one line
At line 205 added 4 lines
*When an employee is paid with the [IEAS] assignment for the group that points to the Railroad W2 Employment Type, this employee's Pay Header is subject to Railroad Tax calculation.
*The Pay Header's group determines if this pay should calculate the Railroad tax.
*The [IPRLU] screen defines each Railroad Tax method that is eligible for this employee.
*[UPCALC] retrieves all Taxable Earnings according to [IPCU] Railroad PC Usages and passes that on to Vertex in order to calculate the Railroad taxation.
At line 221 removed 10 lines
When an employee is paid with the IEAS Assignment for the Group that points to the Railroad W2 Employment Type, this employee's Pay Header is subject to Railroad Tax calculation.
- the Pay Header's Group determines if this pay should calculate the Railroad Tax
- the IPRLU screen defines each Railroad Tax method that is eligible for this employee
- UPCALC retrieves all Taxable Earnings according to IPCU Railroad PC Usages and pass to Vertex to calculate Railroad taxation
At line 233 changed one line
*There are different Annual Maximum Earnings and Rates for different Railroad tax calculation
*There are different Annual Maximum earnings and rates for different Railroad tax calculations.
At line 242 changed 2 lines
*When an employee is paid throughout the year of 2008, the employee will first reach the Tier2 maximum earnings $75,900 and thus Tier2 contribution will stop, then the employee will reach the OASDI maximum of $102,900 while the Medicare portion will continue with no Base limit
*The Railroad Unemployment Insurance (RUIA) has a Monthly Maximum Wage Base of $1280 per month, thus the MTD Earnings and contributions are passed to Vertex to determine if the RUIA Maximums are reached for each month
*When an employee is paid throughout the year of 2008, the employee will first reach the Tier2 maximum earnings $75,900 and thus the Tier2 contribution will stop, then the employee will reach the OASDI maximum of $102,900 while the Medicare portion will continue with no Base limit.
*The Railroad Unemployment Insurance (RUIA) has a Monthly Maximum Wage Base of $1280 per month, thus the MTD Earnings and contributions are passed to Vertex to determine if the RUIA Maximums are reached for each month.
At line 246 removed one line
At line 255 removed one line
At line 257 changed one line
*An employee can transfer to and from a Railroad employment by just changing the [IEAS] Assignment position with an effective date change.
*When the Pay Headers are generated from this assignment, the effective Assignment group will be used and therefore the Railroad tax will be calculated accordingly.
*When calculating the Railroad Tier1 Social Security / Medicare portion and the Regular FICA/MEDI for the different assignments, the YTD amounts of these contributions are taken into consideration so that the employee will not contribute over the Annual maximums.
At line 259 removed 6 lines
*An employee can transfer to and from Railroad Employment by just changing the IEAS Assignment Position with an effective date change
*When the Pay Headers are generated from this Assignment, the effective Assignment Group will be used and therefore the Railroad tax will be calculated accordingly
*When calculating the Railroad Tier1 Social Security / Medicare portion and the Regular FICA/MEDI for the different Assignments, the YTD amounts of these contributions are taken into consideration so that the employee will not contribute over the Annual maximums
At line 239 added 3 lines
*An employee may be assigned with an additional assignment in order to perform either regular or railroad type of work throughout the year.
*When the employee is paid with either assignment, the Pay Header's group determines if the Railroad tax should be calculated.
*When calculating the Railroad Tier1 Social Security / Medicare portion and the regular FICA/MEDI for the different assignments, the YTD amounts of these contributions are taken into consideration so that the employee will not contribute over the annual maximums.
At line 267 changed one line
*An employee may be assigned with an additional Assignment to perform Regular or Railroad type of work throughout the year
!IEEI - Transfer with Different Employments
*An employee can be terminated and re-hired in different employments.
At line 269 changed one line
*When the employee is paid with either Assignment, the Pay Header's group determines if the Railroad tax should be calculated
For Employment with Hire Date of '01-Sep-2000', the [IEAS] Assignments are defined for this Employment.
At line 271 removed 8 lines
*When calculating the Railroad Tier1 Social Security / Medicare portion and the Regular FICA/MEDI for the different Assignments, the YTD amounts of these contributions are taken into consideration so that the employee will not contribute over the Annual maximums
!IEEI - Transfer with different Employments
An employee can be terminated and re-hired in a different Employments.
For Employment with Hire Date of '01-Sep-2000', the IEAS Assignments are defined for this Employment.
At line 283 changed one line
*When calculating the Railroad Tier1 Social Security / Medicare portion and the Regular FICA/MEDI for the different Assignments, the YTD amounts of these contributions are taken into consideration so that the employee will not contribute over the Annual maximums
*When calculating the Railroad Tier1 Social Security / Medicare portion and the Regular FICA/MEDI for the different assignments, the YTD amounts of these contributions are taken into consideration so that the employee will not contribute over the annual maximums.
At line 285 changed one line
For Employment with Hire Date of '01-Jan-2002', the IEAS Assignments are defined for this Employment.
*For an employment with Hire Date of '01-Jan-2002', the [IEAS] Assignments are defined for the employment.
At line 287 changed one line
When Pay Headers are entered for this Assignment, the Assignment Group is used to determine if the Railroad Tax should be calculated.
*When Pay Headers are entered for this assignment, the assignment's group is used to determine if the Railroad Tax should be calculated.
At line 289 changed one line
*When the employee is paid with either Employments, the Pay Header'™s group determines if the Railroad tax should be calculated
*When the employee is paid with either Employments, the Pay Header's group determines if the Railroad tax should be calculated.
At line 291 changed one line
*When calculating the Railroad Tier1 Social Security / Medicare portion and the Regular FICA/MEDI for the different Assignments, the YTD amounts of these contributions are taken into consideration so that the employee will not contribute over the Annual maximums
*When calculating the Railroad Tier1 Social Security / Medicare portion and the Regular FICA/MEDI for the different assignments, the YTD amounts of these contributions are taken into consideration so that the employee will not contribute over the annual maximum.
At line 293 removed one line
At line 295 removed one line
At line 265 added one line
__From W2 Form instructions:__
At line 299 changed one line
From W2 Form Instructions:
*Box 14 is used to report RRTA (Railroad Retirement Tax Act) Tier1 and Tier2 employee taxes.
At line 301 changed one line
*Box 14 is used to report RRTA (Railroad Retirement Tax Act) Tier1 and Tier2 employee taxes
*When reporting the Railroad Employees information, Box 3, 4, 5, 6, 7 Social Security Information should be zero.
At line 303 changed one line
*When reporting the Railroad Employees information, Box 3, 4, 5, 6, 7 Social Security Information should be zero
*When an employee has contributions to both the Railroad and Regular employments, then Box 3, 4, 5, 6, 7 Social Security Information should be reported. This is used for the scenario when an employee is transferred between Railroad and Regular employments.
At line 305 changed one line
*When an employee has contributions to both the Railroad and Regular Employments, then Box 3, 4, 5, 6, 7 Social Security Information should be reported, this is the case when employee is transferred to and from Railroad and Regular Employments
[IDFDV] Identifiers W2-OTHER-01 to W2-OTHER-nn Box 14 Information must be set up for Railroad TIER1 and TIER2 taxes as follows:
At line 275 added one line
__From EFW2 File Instructions:__
At line 308 changed one line
User must set up IDFDV Identifiers W2-OTHER-01 to W2-OTHER-nn Box 14 Information for Railroad TIER1 and TIER2 taxes as follows:
*A different Code RE Employer Record must be generated by the W2 Employment Type
*Railroad Employees who have been paid by the Code RE Federal Registration# and W2 Employment Type must be grouped and reported under this RE record.
*Social Security and Medicare information should be zero filled for these employees.
*Information from Box 14 is not reported on EFW2 File.
At line 310 removed 13 lines
From EFW2 File Instructions:
- different Code RE Employer Record must be generated by the W2 Employment Type
- Railroad Employees who have been paid by this Code RE Federal Registration# and W2 Employment Type must be grouped and reported under this RE record
- Social Security and Medicare information should be zero filled for these employees
- Box 14 information are not reported on EFW2 File
At line 324 removed one line
At line 284 added 7 lines
*When RPYEU is run, the [IPVT] Group code is used to retrieve the W2 Employment Type to be reported.
*Employee 507 will be reported under both Regular and Railroad Employment.
*When reporting the Regular Employment, the Box 3, 4, 5, 6 Social Security Information will be retrieved from [IPVT] for the Regular Employment Group which had calculated the Social Security taxes throughout the year.
*Box 14 Railroad taxes will not be reported because the Regular Employment Group will not calculate Railroad taxes.
*When reporting the Railroad Employment, the Box 3, 4, 5, 6 Social Security Information will not be retrieved from [IPVT] for the Railroad Employment Group because the Social Security taxes have not been calculated throughout the year.
*Box 14 Railroad taxes will be reported because the Railroad Employment Group has been calculated the Railroad taxes.
%%information Note that Box 7 SOC SEC TIPS are calculated and set up by users. This report is an example only, should not be used to calculate for Railroad employees%%
At line 327 removed 16 lines
*When RPYEU is run, IPVT Group Code is used to retrieve the W2 Employment Type to be reported
*Employee 507 will be reported under Regular Employment and Railroad Employment.
*When reporting the Regular Employment, the Box 3, 4, 5, 6 Social Security Information will be retrieved from IPVT of the Regular Employment Group which had calculated the Social Security taxes throughout the year
*Box 14 Railroad taxes will not be reported because the Regular Employment Group will not calculate Railroad taxes
*When reporting the Railroad Employment, the Box 3, 4, 5, 6 Social Security Information will not be retrieved from IPVT of the Railroad Employment Group because the Social Security taxes have not been calculated throughout the year
*Box 14 Railroad taxes will be reported because the Railroad Employment Group has been calculated the Railroad taxes
%%information Note that Box 7 SOC SEC TIPS are calculated and set up by users, this report is an example only, user should not calculate this for Railroad employees%%
At line 344 removed one line
At line 346 removed 3 lines
For Regular Employment:
Box 3, 4, 5, 6 Social Security Information will be printed
Box 14 Railroad information will not be printed
At line 350 changed 4 lines
For Railroad Employment:
Box 3, 4, 5, 6 Social Security Information will not be printed
For Regular Employment:\\
Box 3, 4, 5, 6 Social Security Information will be printed\\
Box 14 Railroad information will not be printed\\ \\
For Railroad Employment:\\
Box 3, 4, 5, 6 Social Security Information will not be printed\\
This page (revision-24) was last changed on 26-Nov-2021 10:22 by jmyersTop