Start-of-Year Process Flow

Use the Start-of-Year Process flow to perform the following year-begin actions.

What you want to do	What this flow does
Clear last year's deductions limit overrides	Reviews the data of employees with an override limit for their 401 (k), 403 (b), and 457 (b) contributions. If the employee has an override on their deferred compensation element, this flow identifies and end-dates the override.
End-date the previous year's under-utilized contributions for Special 457(b) Catch-Up	If this calculation value has been defined on the employees' Benefits and Pensions Card, this flow identifies and end-dates the calculation value for the previous effective year.
Clear or update last year's federal tax exemptions and allowances	Reviews and clears the tax exemptions on the employees' Tax Withholding cards. Refer to your state tax authority for info on what exemptions expire. Run this flow in Draft mode to identify any exemption statuses at the federal and state levels, including Social Security, Medicare, and state unemployment insurance. Run it in Final mode clear those exemptions. It uses the effective date you select in the parameters.
Verify Indiana county of residence or employment	Reviews the address data of employees working or living in Indiana. It compares this data against the values in their Tax Withholding cards. If the employee has a new resident or work county as of January 1, it updates the card appropriately.

You run this flow before you run the first payrolls of the new year. For further info, see Overview of Begin-of-Year Processing for the US in the Help Center.

To run this flow:

1. From My Client Groups, click Payroll.

2. Click Submit a Flow.

3. Select your US legislative data group.

4. Search for and select Start-of-Year Process.

Flow Parameters

Payroll Flow

Meaningful name of your payroll flow.

Effective Year

Four-digit calendar year.

Payroll Statutory Unit

To include all employees in a tax reporting unit (PSU) in your report results, specify it here. Click Search to locate the PSU.

Tax Reporting Unit

To include all employees in a tax reporting unit (TRU) in your report results, specify it here. Click Search to locate the TRU.

Payroll Relationship Group

Select the payroll relationship group name, if you have defined one. Payroll relationship groups limit the persons processed by payroll, data entry, and reporting. This can be a dynamic payroll relationship group.

Note: Use the Object Groups task to define the payroll relationship group before you can select it here.

Reporting Mode

Determines the actions the flow takes when it detects an employee that meets the report criteria.

Select Draft to create a pipe-delimited output report of all employees meeting the reporting criteria.

Select Final to automatically update the employee records as of January 1. This also creates the output report.

Before running in Final mode, confirm all data is correct. You can't rollback the Final mode flow.

Data Type

Select the kind of employee info you want to check.

• 401 (k) limit update

• 403 (b) limit update

• 457 (b) limit update

• Exempt details update

• Indiana state update

Update as of

Select the effective date of the data type you're changing.

Use this field only if you have selected the Exempt details update data type.

Exempt Level

Use this field to perform exemption detail updates at different regional levels at different effective dates. You can choose from the following.

• All federal and state taxes

• All federal taxes

• All taxes for all states

• All taxes for individual state

• FLI and MLI for all states

• FLI and MLI for individual state

• Federal income tax

• Medicare

• SDI for all states

• SDI for individual state

• SIT for all states

• SIT for individual state

• SUI for all states

• SUI for individual state

• Social Security

Use this field only if you have selected the Exempt details update data type.

Exempt State

If you're performing exemption updates for an individual state, select it here.

Use this field only if you have selected a state-related exemption level.

Process Configuration Group

Select a process configuration group for logging and performance purposes.

Payroll Relationship Status

Use this field to include or exclude inactive relationships. You can choose from the following.

• Active Relationships

• Active and Inactive Relationships

Flow Results

This flow creates a pipe-delimited output file, suitable for viewing in a spreadsheet application like Microsoft Excel. It returns different info depending on the Data Type you selected.

For this data type	It does this
401 (k) limit update 403 (b) limit update 457 (b) limit update	When run in Draft mode, this flow creates an output file that includes: All employees with an override amount for the deferred compensation deduction element All employees with a calculation value for under-utilized special 457 (b) catch-up contributions Element name Input value name or override name Previous value For employees with an override amount, when run in Final mode, this flow: Removes the override with an end date of December 31. Creates a date effective change for January 1. This step doesn't apply to under-utilized contributions for special 457 (b) catch-up.
Exempt details update	When run in Draft mode, this flow creates an output file that includes: All employees with a tax-exempt status at the federal or state levels Exempted tax type Wage accumulation for the exempted tax type For employees with tax exemptions, when run in Final mode, this flow: Removes the exemption. Date stamps the effective date you selected.
Indiana state update	When run in Draft mode, this flow creates an output file that includes: All employees living or working in Indiana Their current resident or work counties Their new resident or work counties Identifier as eligible for tax card update If an employee has a new resident or work county as of January 1, when run in Final mode, this flow updates the following fields on the tax card: Indiana County of Principal Employment as of January 1 Indiana County of Residence as of January 1