How do I make balance adjustments for incorrect state tax jurisdictions?

Introduction, title, and music.

To fix the balances for an employee that was coded for the wrong tax jurisdiction, first go to the Payroll work area.

Start on the Home page.

Click My Client Groups.

Click Payroll.

Click Adjust Individual Balances.

Once you’ve verified their balance values, search for and select the employee.

Search for and select Patricia Smith.

In this example, when Patricia started she was entered in the system and mistakenly set to California as her work state. She actually works in Illinois. We’ll make the adjustment so her correct state income tax is reflected accurately.

In the Adjustment Values section, click Add.

If you don't see the relevant elements here, go back and make sure the element eligibility is set up and the employee meets the eligibility requirements.

Click the Adjustment Element field, enter Residence state and select Residence State Income Tax.

Next, enter the appropriate balance adjustments to negate the entry to the California jurisdiction.

In the State field field and select CA.

In the Gross field, enter -9318.72.

In the Subject Withholdable field, enter -9318.72.

In the Reduced Subject Withholdable field, enter -9318.72.

In the Tax Calculated field, enter -641.38.

Click Save.

Click Submit.

Click Refresh.

Now you can verify the adjustment you just submitted.

Click the Adjust Multiple Balances link.

Click the Smith, Patricia link.

Here are the adjustment details. Then repeat the process to perform another adjustment with positive values to the new jurisdiction, which in this case is Illinois.

Click Back.

Click Adjust Individual Balances.

Search for and select Patricia Smith.

In the Adjustment Values section, click Add.

In the Adjustment Element field select Residence State Income Tax.

In the State field select IL.

In the Gross field, enter 9318.72.

In the Subject Withholdable field, enter 9318.72.

In the Reduced Subject Withholdable field, enter 9318.72.

In the Tax Calculated field, enter 641.38.

Click Save.

Click Submit.

Click Refresh.

Again, verify the adjustment you just submitted.

Click the Adjust Multiple Balances link.

You can use the Actions menu and view the Balance Results within the context of this adjustment.

Click Actions.

Highlight Balance Results.

Click Back.

You can also search for the person you made the adjustments for and verify all adjustments.

Click Person Results.

Search for and select Patricia Smith.

Click the ellipsis for the first result and select Balance Results.

Click Back.

Click the ellipsis for the second result and select Balance Results.

Thanks for watching.