We are in the process of investigating whether we can go from running 5 payrolls by processing group to running them all together without specifying a processing group and using the same deduction cycle. One of the stumbling blocks right now is that we have one for-profit group that is set up to run with deduction cycles 3 and 4 and have FUTA and SUTA taxes.
We define our deduction cycles as follows:
Cycle 1: Process all deductions – Not for Profit (NFP)
Cycle 2: Process taxes only – Not for Profit (NFP)
Cycle 3: Process all deductions – For Profit (FP)
Cycle 4: Process taxes only – For Profit (FP)
We run our bi-weekly payrolls on Cycle 1 for NFP and 3 for the one FP company. All deductions and taxes are set up with either cycle 1 & 3 or 1,2,3, 4 with the exception of SUTA and FUTA which is set up to take the deduction only on 3 and 4 and update taxable only on 1 and 2.
Thus far, we have not found a solution that will tax FUTA and SUTA properly on the FP groups and NFP groups using one deduction cycle. We thought utilizing a required code (PR03) to define only the process levels within the For Profit company was the answer but unless we are using it incorrectly, it still taxes all companies on SUTA and FUTA. We have even tried setting up different FUTA and SUTA taxes.
There is something different about taxes versus setting up a required deduction, and we are inquiring if anyone runs all of their payroll groups together that have both not-for-profit and for-profit entities. If so, what was done to make FUTA and SUTA work properly?
Thank you in advance for your assistance.
Donna
