Correcting State Unemployment rates

You may need to change the State Unemployment rate for a client after you have already processed payroll.  The system will calculate the employer’s unemployment for each check as it is processed.  Changing a rate will not change the checks that have already been processed.  You will have to run a recalculate to change the accruals for the prior payroll periods.

To change a rate and correct accruals for the affected period:

1. Select Setup>Payroll Taxes.
2. Select the SUTA Co tab.
3. Edit the incorrect rate or add a new line for the new tax year.
4. Click OK to save your changes.
   
5. Select Utilities>Payroll>Recalculate.
   
6. Select Current Year and click OK.

The unemployment liability for the current calendar year will now reflect the new rate. This process may take several minutes depending on the speed of your computer and size of your file.