2021 Form W-4 Updates

This Costpoint release updates several screens to reflect the changes in the Deductions Worksheet of the 2021 Form W-4.

Manage Employee Taxes (PRMETAX)

Note: The updates in this section also apply to the Taxes subtask of the Manage Employee Information screen.

The following are the changes to the screen:

• The field label changed from Form W-4 Version to Form W-4.

• The 2020 option in the Form W-4 drop-down list was updated to 2020 or greater.

Federal Withholding (ESMFEDWH)

The following are the changes to the screen:

• The “2020” text was removed from the labels of the tabs.

• The wording on the Deductions Worksheet section of the Multiple Jobs/Deductions Worksheet tab was updated to reflect the information on the latest Form W-4.

• Starting 01/01/2021, the 2019 W-4 subtask will no longer be available.

Life Events/New Hires (ESMLIFEEVENT)

The following are the changes to the screen:

• The “2020” text was removed from labels on the tabs for Federal Withholding.

• The wording on the Deductions Worksheet tab for Federal Withholding was updated to reflect the information on the latest Form W-4.

Manage Payroll Records (PRMPTF)

The 2020 option in the Form W-4 Version field was updated to 2020 or greater.

Manage Employee Earnings History (PRMERF)

The 2020 option in the Form W-4 Version drop-down list was updated to 2020 or greater.

View Payroll Edit Table (PRQPTF)

The 2020 option in the Form W-4 Version field was updated to 2020 or greater.

View Employee Earnings (PRQERF)

The 2020 option in the Form W-4 Version field was updated to 2020 or greater.

View Employee Taxes (PRQETAX)

The 2020 option in the Form W-4 Version field was updated to 2020 or greater.

Allow Truncation of Social Security Numbers on Printed W-2

The IRS finalized regulations to allow employers to voluntarily truncate employee social security numbers (SSNs) on copies of Forms W-2, Wage and Tax Statement, which are furnished to employees after December 31, 2020 [84 F.R. 31717, 7-3-19].

The regulations allow employers to voluntarily mask SSNs so that the numbers display in the form of IRS truncated taxpayer identification numbers (TTINs), which display only the last four digits of a taxpayer identification number (TIN) and use X’s or asterisks for the first five digits (for example, XXX-XX-1234 or ***-**-1234).

The final regulations permit employers to truncate employees’ SSNs to appear in the form of a TTIN on copies of Forms W-2 that are furnished to employees under IRC §6051 (copies B, C, and 2). The truncation of SSNs on employee copies of Form W-2 will not be required. The decision is entirely up to the employer.

The final regulations clarify that employers may not truncate an employee’s SSN to appear in the form of a TTIN on copy A of a Form W-2 filed with the Social Security Administration (SSA). Both the IRS and SSA need the full SSN on Forms W-2 to identify individuals. The IRS receives the full SSN when SSA sends the employer’s W-2 file to IRS once it has finished processing the file.

This Costpoint release provides you with the option to truncate the employees’ SSNs on the employee copies of the printed W-2. Use the following new field on the Print W-2s screen for this functionality:

Field	Description
Print only the last 4 numbers of SSN	Select this check box to display only the last 4 numbers of the employee's social security number (SSN) on the W-2. When you select this check box, the copies of the W-2 that are furnished to employees (copies B, C, and 2) display only the last 4 numbers of the employee’s SSN. An “X” will print instead of the other numbers. For example, XXX-XX-1234.

2020 New Jersey Tax Withholding

New legislation enacted September 29, 2020, made several changes to the New Jersey Gross Income Tax Act as part of New Jersey’s Fiscal Year 2021 budget. The new law increases the Gross Income Tax rate for income between $1 million and $5 million and provides a new withholding rate for the remainder of 2020.

Effective January 1, 2020, the tax rate on that income bracket increases from 8.97% to 10.75%, regardless of filing status.

Effective immediately, employers must withhold Income Tax at the rate of 21.3% from salaries, wages and other remuneration in excess of $1 million, but not in excess of $5 million, during the taxable year. This higher withholding rate allows taxpayers affected by the rate increase to “catch up” on their withholdings for the year since the new tax rate is retroactive to January 1, 2020.

The Division of Taxation will not impose interest or penalties for insufficient payment of estimated tax and/or withholdings that may be due before September 29, 2020, if the underpayment is a result of the new tax rate.

The following rates published by New Jersey represented withholdings for a full tax year and do not reflect the “catch up” rate of 21.3%.

RATE A

RATE B

RATE C

RATE D

RATE E

In order to comply with the mandated “catch-up” withholding, this Costpoint release updates New Jersey tax tables with the 21.3% “catch-up” tax rate for annualized taxable wages between 1,000,000 and 5,000,000 from September 29, 2020 through December 31, 2020. New tax tables with an effective date of January 1, 2021 will be also implemented to revert back to the 11.8% tax rate for those with annualized taxable wages greater than 1,000,000.

2021 SUTA Wage Base Updates

This Costpoint release adds tax table records effective 01/01/2021 for states where the unemployment-taxable wage base has been updated for tax year 2021.

Note: These updates require PATCH3792, PATCH3796, PATCH3802, and PATCH3804.

Iowa

The SUTA limit for 2021 is $32,400.

Missouri

The SUTA limit for 2021 is $11,000.

Montana

The SUTA limit for 2021 is $35,300.

Nevada

The SUTA limit for 2021 is $33,400.

New Jersey

The SUTA limit for 2021 is $36,200.

Oklahoma

The SUTA limit for 2021 is $24,000.

Washington

The SUTA limit for 2021 is $56,500.

Wyoming

The SUTA limit for 2021 is $27,300.

Important Information for Costpoint On-Premises Customers

For customers that have installed a Costpoint Maintenance Release (MR) for Costpoint version 7.1 or 8.0, Deltek has recently discovered the following issue and is encouraging all Costpoint customers to take corrective action immediately. The issue does not impact the functional or technical performance of Costpoint. Deltek Costpoint Cloud customers do not have to take any action.

Issue

During the MR install process the following folder, “…\applications\enterprise\DEWebApp\WEB-INF", was inadvertently copied to the IIS Server if the machine where you run the MR installer has access to the IIS server and the IIS folder is registered in Configuration Utility. This above folder, “…\DEWebApp\WEB-INF”, contains files that should not be present on the IIS server. This issue has been corrected starting with MR 7.1.10 and MR 8.0.2.

Corrective Action

Please follow one of the steps below to correct this issue.

• Delete the folder, "...\DEWebApp\WEB-INF", and all file contents from the IIS server.

• Install MR 7.1.10 or MR 8.0.2 (subsequent MRs will also correct the issue). If the machine where you run the MR installer has access to IIS server and the IIS folder is registered in Configuration Utility, then the MR installer will delete this folder and file contents if it is present on the IIS server.

Please contact Deltek Customer Care with any questions.

Defect 1364858: Material Requirements Plan (MRP) transfers were not consistent with the plan substitute part selection. As a workaround, use a substitute planning order other than the original part across projects.

Defect 1364859: The Create Transfer Reservation Action Message check box on the Configure Materials Requirements Planning Settings screen affected how supply was netted within the project planning group when Plan Substitute Part was not selected on the same screen.

Defect 1364860: Material Requirements Planning (MRP) randomly assigned purchase order (PO) lines with the same Part/Rev, Due Date, and Inventory Abbreviation to a demand.

Defect 1364861: When you did not use Substitute Part Planning, Costpoint should have used inventory in-demand abbreviation before creating a transfer message from other inventory abbreviations/projects within the project planning group. This should happen even if the other projects' inventory was not in excess, and had their own demand due at a later date.

Defect 1364876: When you ran the Material Requirements Planning (MRP) process, and you used the Shop Floor calendar, the Need Date for the planned order was incorrect. To fix this error, the MRP logic has been updated to ensure that the Need Date will not be null when the Shop Floor calendar is in use.

Defect 1349957: When you changed the Withholding State - Filing Status field value on an existing record with VI (Virgin Islands) as the withholding state, the screen did not update the value of the Federal - Filling Status field to Exempt.

 

As a workaround, you can clear the value in the State field in the Withholding State group box, and then re-enter VI in the field.

Defect 1351633: When you changed the Withholding State - Filing Status field value on an existing record with GU (Guam) as the withholding state, the screen did not update the value of the Federal - Filling Status field to Exempt.

 

As a workaround, you can clear the value in the State field in the Withholding State group box, and then re-enter GU in the field.

Defect 1367525: The application did not assign a check number to an employee with zero net pay. The application did not print the check even if you selected Print Checks with Zero Net Pay.

Defect 1367533: The application rolled up same pay types with the same entered hours into one hourly rate line even if the pay types had different hourly rates.

Defect 1368670: After you printed paychecks, the check number did not display on the Manage Payroll Records screen.

Defect 1367524: The application did not assign an advice number to an employee with zero net pay. The application did not print the advice even if you selected Print Advices with Zero Net Pay.

Defect 1367527: The application rolled up same pay types with the same entered hours into one hourly rate line even if the pay types had different hourly rates.

Defect 1368613: The application did not sort deductions based on deduction codes.

Defect 1368615: After you printed payment advices, the advice number did not display on the Manage Payroll Records screen.

Defect 1356479: The Rates Post tag in the Modified By column was overwritten when you used the Post Forward Rates to Budget application. To correct this, the Rates Post tag now displays in the new Created By column.

Defect 1364991: The application doubled holiday data, which affected rate and revenue projections.

Defect 1364992: When you updated the Escalation tab, an error occurred in Organizational Outlooks. As a result, when employees changed home orgs, duplicates occurred in multiple org budgets, causing merge errors.

Defect 1356454: When you printed the Transaction Analysis, the labor amount was not displayed when the Labor Not Suppressed option was selected.

Defect 1342597: T&M Revenue did not calculate on EAC for ETB formula types.

Defect 1346311: The Project Labor Categories subtask erroneously included the Current Bill Rate column. It was removed.

Defect 1346310: When you budgeted by period and a subperiod rate changed during that period, Costpoint Planning used the average rate when calculating revenue.

 

This was corrected as follows: When a project labor code (PLC) rate changes during a period and hours are budgeted by period, the latest PLC rate is now used when calculating revenue for the period.

Defect 1356458: When you printed the Transaction Analysis, the labor amount was not displayed when the Labor Not Suppressed option was selected.

Defect 1351332: Querying a project report name was taking too long.