Element Set - Not showing in Payroll Process

This morning, I created a element set of type Run set in order to restrict
elements which are processed in payroll run. I included following element
classification rules
1) Earnings
2) Supplemental Earnings
3) Imputed Earnings
4) Non-Payroll Payments
5) Tax Deductions

Because only taxes should be deducted so no other deduction classifications
were included.

When I was submitting Payroll Run, element set name LOV wasn't showing
my newly created element set. So I tried to debug the situation and found
that LOV is running following query behind the scene.

SELECT element_set_name
FROM pay_element_sets e, per_business_groups_perf p
WHERE ( (e.business_group_id = p.business_group_id)
OR (e.legislation_code = p.legislation_code)
OR (e.business_group_id IS NULL AND e.legislation_code IS NULL)
)
AND element_set_type = 'R'
AND EXISTS (
SELECT NULL
FROM pay_ele_classification_rules ecr, pay_element_types_f pet
WHERE ecr.element_set_id = e.element_set_id -- element set ID
AND pet.classification_id = ecr.classification_id
AND pet.element_name = 'VERTEX'
AND NOT EXISTS (
SELECT NULL
FROM pay_element_type_rules etr
WHERE etr.element_set_id = e.element_set_id
AND etr.element_type_id = pet.element_type_id
AND etr.include_or_exclude = 'E')
UNION
SELECT NULL
FROM pay_element_type_rules etr, pay_element_types_f pet
WHERE etr.element_set_id = e.element_set_id
AND etr.element_type_id = pet.element_type_id
AND pet.element_name = 'VERTEX'
AND etr.include_or_exclude = 'I')
AND p.business_group_id = :$profiles$.per_business_group_id
ORDER BY e.element_set_name

So you have to include information element classification in order to include
your element set in payroll run process.

Exxor - Adjust amount for EFT

First let me give some introduction about Exxor tool. Exxor is a
third party tool which works on top of Oracle application. This
tool is used to create third party payment EFT file and then create
invoices in AP module. You can maintain your garnishment element
entries also with this tool.

Last payroll at my client place, was the third payroll in month (its a
Bi-weekly payroll). Employee should not have any garnishment or
child support or chapter 13 this pay period but fast formula get
broke and deductions were created in payroll. As these transactions
were direct deposit so money went to bank and can't be returned.

So we decided not to deduct amount next pay period and balance it.
In order to do that we have to adjust amount in Exxor as shown below














After making all the adjustments, you will run EFT creation process
which might error out because of employees with $0 amount. But EFT
file should be created with correct transactions.

Please let me know if someone wants more information about this problem.

SOE form not showing Check Number

The statement of earning form is showing NULL in Check Number
field even though payment details exists as shown below





















In that case check the payment methods detail for assignment,
there should be some payment method which has prenote date + 10
greater than period end date. As the SOE form is not checking
effective date so any payment method could cause this issue.

Over Limit Report

The Over Limit Report identifies employees who have taxes withheld
in excess of the legal limit. This report checks the following balances
for compliance:

• 401(k), 403(b), 457, and the associated catchups
• Roth 401(k) and Roth 403(b) withholding
• Social Security Taxable Balance (employee and employer)
• FUTA Taxable Balance
• SUI Taxable Balance (employee and employer)
• SDI Taxable Balance (employee and employer)

Note: The report does not check SDI balances for Hawaii and New
York.

Run the Over Limit Report as of a specific date either for a single
organization or location within a GRE or business group, or for all
of the organizations or locations in a GRE or business group. You
report on a single type of balance or include all of the balances in
the report.

Note: Once you identify the corrections needed, adjust the necessary
employee balances to comply with the legal limit.

Unacceptable Tax Balance Report

The Unacceptable Tax Balance Report identifies employees with
potential incorrect withheld amounts for the following taxes:

• Federal Tax:- FIT, Medicare, SS, FUTA
• State Tax:- SIT, SUI, SDI
• Local Income Tax (LIT)

This report identifies incorrect withheld on following conditions

Tax Type	Possible Warning Messages
FIT	FIT gross earnings <> FIT reduced subject whable
	FIT reduced subject whable = 0 and FIT withheld > 0
	FIT subject whable <= 0 and FIT withheld > 0
	FIT subject whable <> FIT reduced subject whable
	FIT gross earnings not = Medicare taxable + Section 125 pretax + Dependent care +401k pretax
FUTA	FIT gross earnings <> FUTA taxable
Medicare	FIT gross earnings <> Medicare EE taxable
	Medicare EE withheld not equal to Medicare ER liability
	FIT gross earnings not equal to Medicare taxable + Section 125 pretax + Dependent care +401k pretax
Social Security	FIT gross earnings <>Medicare EE taxable
	SS EE withheld not equal to Medicare ER liability
SIT	SIT subject whable <= 0 and SIT withheld > 0
	FIT subject whable <= 0 and SIT withheld > 0
	SIT subject whable <>SIT reduced subject whable
	FIT subject <> SIT Subject
	Ensure SIT Withheld = 0 when State has no SIT withheld rule
SUI	SUI EE/ER sbject whable <=0 and SUI EE/ER witheld > 0
	FIT gross earnings <> SUI ER taxable
	FIT subject whable <= 0 and SDI EE/ER withheld > 0
SDI	FIT gross earnings <> SDI EE taxable
	SDI EE subject whable = 0 and SDI EE withheld > 0
	FIT subject whable <= 0 and SDI EE/ER withheld > 0
LIT	LIT subject = 0 and LIT withheld > 0
	FIT subject whable <= 0 and LIT withheld > 0
	LIT subject whable <>LIT reduced sbject whable

SS Withheld does not = 6.2% of Taxable Balance
Medicare Withheld does not = 1.45% of Taxable Balance
FUTA Withheld does not = X% of ER FUTA Liability (X = value derived from JIT)
SUI Withheld does not = X% of SUI ER Liability (X = value derived from JIT)
SDI Withheld does not = X% of SDI Liability (X = value derived from JIT)

This report is really helpful at year end and should be run. All the error messages in report output should be resolved before running year end preprocess.

Year End Process

Various Forms required quarterly or at Year End
--------------------------------------------------

W-2
-----
Wage and Tax Statement
Employers must report to their employees the amounts paid and
withheld so the employees can complete their own income tax
returns and pay any amount owed to the Internal Revenue Service
and state and local governments.

Form 940
-----------
Employer's Annual Federal Unemployment (FUTA) Tax Return
Employers use Form 940 to determine your FUTA taxable wages for the calendar year
and the FUTA tax liability on those wages after accounting for applicable state
unemployment tax credits and FUTA tax deposits made during the year

Form 941
----------
Employer's Quarterly Federal Tax Return
Employer's total taxable wages paid and payroll tax liability, which is then reconciled
with the employer's record of tax deposits and wage and tax information provided to
employees on their W-2 forms.

Form 1099-R
--------------
Employers who make distributions of retirement income from qualified
plans are required to report those distributions and any amount withheld for
FIT/SIT/LIT on form 1099-R.
Form 1099-R requires distributions from any of the following be reported:
• Pensions
• Annuities
• Retirement or Profit sharing plans
• IRAs
• Insurance Contracts

State Quarterly Wage listing
----------------------------
At the state level, employer's electronically submit report of employee wages subject to
SUI to the states in which they have employees. Oracle payroll provide a report named state quarterly wage listing which produce this data in correct format as per state. You can compare this report with Federal/State remittance report to reconcile.

Usually year end processing has following process

1) Running pre-archival reports
2) Fixing the balance issues if there any
3) Running state quarterly wage listing process
4) Running year end pre-process.
5) Running post-archival reports.
6) Generating government mandated reports

Pre-Archival Reports
-------------------------
These reports are divided into three categories
a) Diagnostic Reports
b) Balancing Reports
c) Reconciliation Reports

Diagnostic Reports
-----------------------
Unacceptable Tax balance Report :- Identifes wrong withheld amount for various tax categories. e.g. FIT, SIT, LIT, SUI, SDI, FUTA, SS, Medicare etc.

Invalid Address Report:- list of employees who has wrong primary address

Over limit Report:- show employees with taxes withheld more than legal limit or wages in excess to wage limit or salary deferrals more than annual limit.

Balancing Reports
-------------------
GRE Total Report:- List total for all GREs or mentioned one. This report help to reconcile with W-2s

Tax Remittance Report :- Shows federal, state and local taxable wages and taxes summerized for date range

Reconciliation Reports
-----------------------
Employee Run Results Report :- shows problem with individual employees balances

Payroll Activity Report :- Shows employee and group-level payroll details for pay runs, quick pays, balance adjustments, balance initializations, voided payments, and reversals.

Federal/State Remittance Report

This report shows taxable wages and withheld for following categories
1) Federal
2) Medicare (Employee and Employer)
3) Social Security (Employee and Employer)
4) State
5) SUI (Employee and Employer)

RDF file behind this report is PAYUSFTR.rdf under $PAY_TOP/reports/US directory.

The report calculates wages and withheld based on whether Federal/State run balances are valid or not.

If balances are not valid then use package: pay_us_taxbal_view_pkg.us_gp_gre_jd_ctd otherwise uses view pay_us_state_tax_bal_gre_v which in turn calls pay_us_tax_bals_pkg.us_tax_balance.

This view use two tables
1) pay_balance_sets which provides the ability to group related balances for reporting purposes
2) PAY_US_ASG_REPORTING : denormalized table used to improve the performance of some US balance reports. This table is maintained through the Employee Tax Information form(PAYEETAX.fmb) and the assignment form. It's primary purpose is to speed access to balances by filtering the assignments based first on tax unit id and then on jurisdiction code.

The balances used in this report are group level balances with dimension GRE in JD Run. The following query you can use to check whether balances are correct or not.

SELECT prb.*
FROM pay_run_balances prb,
pay_defined_balances pdb,
pay_balance_dimensions pbd,
pay_balance_types pbt
WHERE prb.defined_balance_id = pdb.defined_balance_id
AND pdb.balance_type_id = pbt.balance_type_id
AND pdb.balance_dimension_id = pbd.balance_dimension_id
AND pbt.balance_name = 'SUI ER Taxable'
AND pbd.dimension_name = 'GRE in JD Run'
and prb.effective_date = '05-Mar-2009'

If balances are not correct then run the process Generate Run balances process with particular balance and dimension.