Critical Version Information!

All users should plan on updating their Sage 100 Contractor program version to Version 19. Sage has advised that they will not support Versions 18 and earlier. Specifically, the Aatrix Tax Filing capabilities will not produce documents (think W-2s and 1099s) suitable for filing with Versions 18 and earlier. The program will likely produce documents, but they will be printed with a DRAFT watermark that makes them unsuitable for filing.

Version 19.5 will be available for download to users with current support contracts in mid-December.  This version will contain the latest Federal and State Income Tax Withholding Tables for 2015 and will include capabilities to assist with compliance with the Affordable Care Act.  DO NOT install this update until after you have completed all your 2014 payroll entries and closed your payroll year.

Year End Closing

Last month, I wrote about things that users can do to prepare for year end, particularly for preparation of W-2s and 1099s. There is still time to continue with your preparations, but now I want to talk about what users should do at the end of December.  With the functionalities added in Version 19, the tasks that must be done at the end of December are significantly fewer than were required in earlier versions of the program. 

The only thing a user must do at the end of December in Version 19 is close the payroll year. Payroll must be closed only after the last payroll record for 2014 is entered, computed, printed and posted and before any payroll record for 2015 is entered in menu 5-2-2.  Payroll data entered in 5-5-1 Daily Payroll or 6-11-6 Daily Field Reports or 11-2 Service Work Orders/Invoices/Credits will survive the Close Payroll Year process and be available for 2015 Payroll processing, but any entries in 5-2-2 Payroll Records will be removed during the Close Payroll Year process.

Follow the Year-End Checklists document found in the Product Documentation area of the drop-down menu of the Home and Resources Activity Center. I strongly encourage users to read through the document and then follow the check list in the order specified.  And above all else, BACK UP your data folder before you start!

Be aware that the Maximum Wages subject to FICA (Social Security) Tax in 2015 is $118,500, up from $117,000 in 2014. While the Version 19.5 update will update the Federal and State Income Tax Withholding tables, users are expected to update their FICA, FUTA, and State Unemployment payroll calculations and push the updated data to all employees.

Other than making sure your data is shipshape, there is little that needs to be done at the end of December for 1099s or your fiscal year end closing.  The 1099s should be processed and printed or E-Filed during January 2015, and your fiscal year end data should not be archived until all entries are made and finalized for 2014 and your balances tied back to published financial statements and tax returns.