Deltek Costpoint 8.1 Release Notes

Welcome to the Deltek Costpoint 8.1 Release Notes, which describe the new features, enhancements, and software corrections made from Costpoint 8.1.1 up to the present release.

These release notes address all of the modules associated with Deltek Costpoint 8.1.1 up to the current release, some of which your firm may not use. Skip the sections that do not apply to your implementation of Deltek Costpoint.

We want the release notes to be as easy to use as possible. To this end, we will continue to analyze and improve upon the format. If you have feedback, please send an email to DeltekDocumentationFeedback@deltek.com.

Costpoint Business Intelligence 8.1.18+ and Cognos Analytics with Watson

Costpoint BI 8.1.18+ is compatible with Cognos Analytics with Watson 11.2.4 only. If you are leveraging Cognos Analytics 11.1.7, the highest version of Costpoint BI MR that you can apply is Costpoint BI 8.1.17. Note that you can continue to apply the Costpoint MRs beyond 8.1.17, regardless of which Cognos version you are deploying. Costpoint and Costpoint BI MRs are independent of each other.

Update W-4 Information of Iowa Employees for 2024 Filing

Important: This action is required if you have Iowa Employees. 

Iowa revised the IA W-4 (Employee Withholding Allowance Certificate), resulting in a change to the way an employee’s Iowa withholding credit information is determined. Rather than requesting the number of allowances an employee would like to claim, the IA W-4 now requests a dollar amount.

To accommodate the employee setup, updates made in Costpoint MR 8.1.28 included the following:

• A new Credit Amount field was added to the Manage Employee Taxes screen and the Taxes subtask on the Manage Employee Information screen, allowing payroll administrators to enter the Total Allowance amount from Line 6 of the IA W-4.

• A new Credit Amount field was added to the Costpoint Employee Self Service (ESS) State Withholding screen, allowing employees to enter the total allowance amount they would like to claim.

In Costpoint MR 8.1.29, the Iowa state withholding computation has been updated so that an employee’s credit amount will be based on the Credit Amount field on the Manage Employee Taxes screen, rather than the Number of Credits field. If your Iowa employees have not already reviewed their Iowa W-4 information you should instruct them to do so before computing payroll. Costpoint Payroll customers with Iowa employees should do the following:

• Costpoint Employee Self Service (ESS) customers:

• Update the Web Address or Notes field on the Configure State Tax Settings screen with a link to the latest IA W-4.

• Instruct your Iowa employees to review their Iowa W-4 Credit Amount on the ESS State Withholding screen and update as needed using the following steps:

1. Go to People > Employee Self Service > Payroll and Benefits > State Withholding.

2. Populate the Credit Amount with the total allowance amount from line 6 of your 2024 IA W-4.

3. Click Save.

• Costpoint customers not using Costpoint ESS:

• Instruct your Iowa employees to file an updated W-4 using the 2024 IA W-4 form.

• Use the completed IA W-4 form to update the employee’s tax setup on the Costpoint Manage Employee Taxes screen or the Taxes subtask on the Manage Employee Information screen.

It is important for Iowa employees to update their IA W-4 information before payroll is computed in Costpoint MR 8.1.29 or a higher version since the Iowa tax withholding computation will be updated in those versions. If you upgrade to one of those versions and an Iowa employee has not yet updated their Iowa W-4 information, their credit amount will be 0.00 and may result in a higher withholding amount than expected.

Update Iowa Setup in ESS Configure State Tax Settings

Iowa updated their marital status options with the release of their 2024 IA W-4 employee withholding allowance certificate. To accommodate the new statuses, Costpoint MR 8.1.29 applied the following:

• Added new HEAD OF HOUSEHOLD filing status

• Changed the description for the SINGLE filing status from "Single" to "Other"

• Changed the description for the MARRIED filing status from "Married" to "Married Filing Jointly"

If your employees use Costpoint Employee Self Service (ESS) to update their state tax information, Deltek recommends you assign the new HEAD OF HOUSEHOLD status to Iowa on the Configure State Tax Settings screen and update the filing status descriptions for the MARRIED (Married Filing Jointly) and SINGLE (Other) filing statuses to be consistent with the 2024 IA W-4.

Using These Release Notes

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Downloading and Deploying Pick and Choose Hot Fixes

If your company or system supports the Pick and Choose deployment model, see the following document for instructions on downloading and deploying the Deltek Costpoint 8.1 individual Pick and Choose hot fixes: Deltek Costpoint 8.1 Deploying Pick and Choose Hot Fixes

Note: The Build Deployed In and Dependent Files lines are included in every defect description under the Software Issues Resolved section. These indicate the files that you need to install to apply the fix for the defect. For Regulatory Enhancements and Enhancements, required files are listed towards the end of the feature description. 

Checking if the Hot Fix is Installed

Follow this procedure to see if the hot fix is correctly installed:

1. Open the application that was updated.

2. Click Help » About from the Costpoint global menu. This will display a screen that shows you the latest hot fix files applied to the application that is open.

Checking if the Feature is Installed

Follow this procedure to see if the feature is correctly installed:

1. Click Help » About from the Costpoint global menu.

2. Open the Features subtask and click the feature that was just installed.

3. Open the Libraries subtask. Check the list of libraries and see if they are correct and have been successfully deployed.

4. Open the Patches subtask. Check the list of patches and see if they are correct and have been successfully deployed.

Custom Programs Affected

Sometimes, an update can cause custom programs and reports to stop working as expected. Before applying an update, consider whether you have any custom programs or reports in the application area affected by the update. If so, contact Deltek Support Center at https://deltek.custhelp.com before you install the update.

Accessing Deltek Support Center

If you need assistance installing, implementing, or using Deltek Costpoint, you can access Deltek Support Center through the following:

1. Go to https://deltek.custhelp.com.

2. Enter your Deltek Support Center Username and Password.

3. Click Login.

Note: If you forget your username or password, you can click the Login Help? button on the login screen for help.

Employees now have the ability to view, print, and email their 1095-Cs through a new 1095-Cs screen in Employee Self Service. Employees can generate 1095-Cs in PDF format for the last four years, including the current year. Employees can also opt to download and/or email the PDF file.

 

1095-Cs (ESM1095C)

The 1095-Cs screen allows employees to view and download and/or e-mail their 1095-C information. can perform the following functions in this application:

• Select the 1095-C year to display.

• View 1095-C information.

• Download and/or email 1095-C information in portrait format, if allowed by Benefits administrators.

To access the 1095-Cs screen, go to People > Employee Self Service > Payroll and Benefits > 1095-Cs.

 

Manage Taxable Entity Settings (AOMESSCS)

The screen adds the following checkboxes in the 1095-Cs group box:

Field	Description
Allow employees to download and email 1095-Cs in portrait format	Select this checkbox to allow employees to download and/or email their copies of Form 1095-C in portrait format from the 1095-Cs screen.
Truncate Payee Identification Numbers (Employer and Employee)	Select this checkbox if the Employer Identification Number (EIN) and Employee's Social Security Number (SSN) should be truncated on the printed 1095-C.

 

Print Data Dictionary Report (SYRDD)

The report provides details on the following columns added to the ESS_SETTINGS table as part of this enhancement:

• ALLOW_1095_PRNTEMAIL_FL: Allow employees to download and email 1095-Cs in portrait format

• ACA_TPIN_FL: Truncate Payee Identification Numbers (Employer and Employees)

 

This enhancement requires the following:

• cp81_dbc_820_11325_001.zip

• DeltekCostpointMaintenanceRelease_8.1.26.5007.exe

The 2024 poverty guideline for the 48 contiguous states and the District of Columbia was set to $15,060 for a one-person family/household.

This release updates the Federal Poverty Level for payroll year 2024 on the Manage Federal Taxes screen.

Attention: For more information refer to: https://aspe.hhs.gov/topics/poverty-economic-mobility/poverty-guidelines.

This enhancement requires the following:

• Patch dbc_810_11331

The draft Form 941 for 2024 removes remaining lines reporting COVID-19 federal tax credits. To accommodate the federal update, this release applies the following changes to the Print Quarterly Federal Payroll Tax Report screen:

• The application disables and sets to zero all the fields in the COVID-19 Paid Sick Leave and FMLA group box if the payroll year is 2024 or later.

• A new report layout will be applied if you generate the report for 01/01/2024 or later. Previous report layouts are retained for generating reports prior to 2024.

Attention: For more information, refer to:

• Draft Form: https://www.irs.gov/pub/irs-dft/f941--dft.pdf

• Draft Instructions: https://www.irs.gov/pub/irs-dft/i941--dft.pdf

This enhancement requires the following:

• cp81_cmnlib_cpcpr_004.zip

• cp81_prrfdtax_002.zip

• cp81_bundle_CYE2023_003.zip

• DeltekCostpointMaintenanceRelease_8.1.22.5012.exe

The IRS sets the 2024 ACA affordability threshold as 8.39%. To support this federal update, Costpoint updated the record effective 01/01/24 on the Manage Federal Taxes screen.

Attention: For more information, see: https://www.irs.gov/pub/irs-drop/rp-23-29.pdf.

This enhancement requires the following:

• Patch dbc_810_11297

• cp81_bundle_CYE2023_003.zip

• DeltekCostpointMaintenanceRelease_8.1.22.5012.exe

For 2023, employers in California, New York, and U.S. Virgin Islands will be assessed a general FUTA credit reduction on wages paid to employees for work attributed to any of these states and territory. This Costpoint release adds records on the Manage Federal Taxes screen for the corresponding states:

State	Final 2023 FUTA Credit Reduction
California	0.6%
New York	0.6%
US Virgin Islands	3.9%

This enhancement requires the following:

• cye_bundle_CYE2023_003.zip

• Patch dbc_810_11271

The Federal W-4 screen in Costpoint Employee Self Service was updated to reflect the 2024 W-4. This release updates the instructions and wording in the following sections of the W-4:

• Instructions for Steps 2-4 on Step 1 tab

• Federal W-4 Step 2 (a)

• Federal W-4 Step 2 (b)

• Exempt from federal taxes checkbox years on Step 4 tab

• Deductions Worksheet tab

Attention: For more information, see: https://www.irs.gov/pub/irs-pdf/fw4.pdf.

This enhancement requires the following:

• cp81_bundle_CYE2023_003.zip

The 2024 federal income tax withholding methods were released by the Internal Revenue Service.

• The percentage method’s tax brackets were adjusted.

• The annual additional amount if the nonresident alien employee was first paid wages before 2020 and has not submitted a Form W-4 for 2020 or later increases from $9,550 to $10,300.

• The annual additional amount if the nonresident alien employee has submitted a Form W-4 for 2020 or later or was first paid wages in 2020 or later increases from $13,850 to $14,600.

To support the federal requirements, updates were applied to the following screens:

• Manage Federal Tax Tables

• Manage Federal Taxes

Attention: For more information, see:

• Draft Pub 15-T: https://www.irs.gov/pub/irs-dft/p15t--dft.pdf

• Pub 15-T: https://www.irs.gov/pub/irs-pdf/p15t.pdf

This enhancement requires the following:

• cp81_bundle_CYE2023_003.zip

• Patch dbc_810_11283

Costpoint supports the Form W-4 for Payroll Year 2024. The basic form was updated with minimal changes, most of which are regarding the use of an estimator. The 2024 itemized deductions in Step 2 of the Deductions Worksheet have been updated:

• Married: $29,200

• Head of Household: $21,900

• Single: $14,600

To support the federal requirements, updates were applied to the Manage Federal Taxes screen.

This enhancement requires the following:

• cp81_bundle_CYE2023_003.zip

• Patch dbc_810_11283

The 2023 PDF template file for 1094-C and 1095-C forms are now available in Costpoint, which will let you create PDF files with data for the calendar year 2023. You can then use the PDF files to print the forms on plain paper.

 

Print 1094-Cs

The 2023 Form 1094-C PDF template was added to the application. The following updates were applied to the Print and Preview menus:

• The Print 1094-Cs Prior Report Layout option was removed.

• The existing Print 1094-Cs Current Report Layout option is now the Print 1094-Cs Report Layout option.

 

Print 1095-Cs

The 2023 Form 1095-C PDF template was added to the application. The following updates were applied to the Print and Preview menus:

• The Print 1095-Cs Prior Report Layout option was removed.

• The existing Print 1095-Cs Current Report Layout option is now the Print 1095-Cs Report Layout option.

Costpoint now provides the ability to generate manifest and data files that comply with the latest tax year 2023 schema for the UI transmission channel. This release updates the Create 1094-C and 1095-C Electronic File screen to support the following federal requirements:

• The system table S_SOFTWARE_ID was inserted with the following data:

• CAL_TY_NO = 2023

• SOFTWARE_ID = 23A0017797

• FIRST_NAME = <carry over the value from 2022>

• MID_NAME = <carry over the value from 2022>

• LAST_NAME = <carry over the value from 2022>

• NAME_SFX_CD = <carry over the value from 2022>

• PHONE_ID = <carry over the value from 2022>

• The tax year in all applicable namespaces was updated to "ty23" in the manifest and data files.

• The following are used to generate manifest and data files for calendar year 2023 if Government Agency is “Federal”:

• Manifest file from tax year 2023 schema package

• Form data file from tax year 2023 schema package

• PaymentYr value “2023”

• Software ID for 2023

Attention: For more information, refer to:

• Affordable Care Act Assurance Testing System (AATS) Information Returns

• Tax Year 2023 Affordable Care Act Information Returns (AIR) Known Issues, Schemas and Business Rules

This enhancement requires the following:

• cp81_bundle_CYE2023_003.zip

• Patch dbc_820_11257

Costpoint has been fully tested to support the pre-printed Form W-2c from Deltek’s partner form vendors for the 2024 filing. If you encounter alignment issues when you print on pre-printed forms, you may need to adjust the margins on your printer settings or Costpoint’s page setup. Refer to your printer’s documentation for information on how to configure the margins of your printer.

This enhancement requires the following:

• cp81_bundle_CYE2023_003.zip

You can now print recipient statements (copies 1, B, 2, and C) of 1099 forms directly onto plain paper or blank stock. This feature eliminates the need for pre-printed forms and, at the same time, enhances convenience and reduces costs.

The recipient statements you can print in Costpoint are fully compliant with the specifications outlined in IRS Publication 1179: General Rules and Specifications for Substitute Forms. This ensures that your printed forms meet all necessary legal requirements.

In addition, print alignment settings on the Print/Create 1099s and Magnetic Media screen have been enhanced to ensure optimal output quality, simplify your 1099 printing process, and reduce the risk of errors.

To support this feature, multiple updates were implemented for the Print/Create 1099s and Magnetic Media screen. These enhancements are designed to provide a more user-friendly interface and improve the overall functionality of the feature. This means a more efficient and seamless experience for you when managing your tax forms.

 

Print/Create 1099s and Magnetic Media (APR1099) Screen Updates

The Print/Create 1099s and Magnetic Media interface has been revamped to support blank paper printing. This update includes the addition of several new elements, relocation of existing ones, and the removal and replacement of others. 

 

Taxable Entity Field

Since you can print or create 1099 magnetic media for only one entity at a time, the taxable entity selection ranges have been removed from the interface and replaced with a straightforward Taxable Entity field. You can directly enter the entity in this text field or use the Lookup function to select the entity for which you want to print or create 1099 magnetic media.

 

1099 Types to Include Group Box

The 1099 Types to Include group box, which allows you to select the types of 1099 to be included in the magnetic media file, has been relocated. Previously part of the Selection Ranges group box, it now resides in the Magnetic Media Information group box. The elements and functionality remain the same, providing you with a familiar experience in a more accurate location.

 

Print Options Group Box

The previous Options group box has been upgraded to the Print Options group box. This new group box is a hub for various group boxes, each serving a unique purpose. 

Some of these group boxes contain settings for the newly introduced blank paper printing feature, others house elements that have been relocated from different sections of the screen, while the Copy B Options group box and the NEC Pre-Printed Copy to Print group box, formerly named NEC Copy to Print, continue to hold their elements and functionality from the former Options group box.

The following are the new contents of the Print Options group box.

 

1099 Type

Use the options in this group box to select the type of 1099 form that you want to print.

• 1099-MISC

• 1099-NEC

 

1099 Paper

This new group box now integrates the functionalities of the previous Print Option drop-down list in the Generate group box and the former Print Format group box. In addition, it introduces the ability to print 1099s on plain paper or blank stock.

Use the options in this group box to select the print media for your 1099.

• Test

• Self-Mailer Test

• Pre-Printed

• Self-Mailer

• Blank Stock / Plain Paper

 

Blank Stock/Plain Paper Group Box

Use the fields in this group box to configure the settings for printing on plain paper. The fields in this group box are enabled only if you select Blank Stock / Plain Paper in the 1099 Paper group box.

This group box contains the following elements:

• Copy B: Select this option to print Copy B - For Recipient.

• Copy C: Select this option to print Copy C - For Payer.

• Copy 1: Select this option to print Copy 1 - For State Tax Department.

• Copy 2: Select this option to print Copy 2 - To be filed with recipient's state income tax return, when required.

• Copy B and Copy 2: Select this option to print both copies B and 2.

• One PDF File per Vendor: Select this checkbox to create a separate PDF file for each vendor.

• File Location: Enter or select the directory where the PDF file will be saved.

 

Global Toolbar Updates 

The new Create 1099 Forms option has been added to the drop-down menu of the Default Action button on the Global Toolbar. This option displays only if you access the toolbar from the Print/Create 1099s and Magnetic Media screen. 

If you selected the Blank Stock / Plain Paper option, you must use the Create 1099 Forms process to generate the PDF file for printing 1099s on blank paper. You can also run this process in batch mode.

 

This enhancement requires the following files:

• cp81_bundle_CYE2023_002.zip

• DeltekCostpointMaintenanceRelease_8.1.22.5012.exe

The following are the 401(k) limits for 2024:

• 401(k) Deferral Limit: $23,000.00

• 401(K) Wage Limit: $345,000.00

To support the federal update, this release adds records to the Manage Federal Taxes screen.

This enhancement requires the following files:

• cp81_bundle_CYE2023_001.zip

• DeltekCostpointMaintenanceRelease_8.1.22.5012.exe

• Patch dbc_810_11258.

The Old-Age, Survivors, and Disability Insurance taxable wage base increases from $160,200 to $168,600 in 2024.

To support the federal update, this release adds records to the Manage Federal Taxes screen.

This enhancement requires the following files:

• cp81_bundle_CYE2023_001.zip

• DeltekCostpointMaintenanceRelease_8.1.22.5012.exe

• Patch dbc_810_11255.

When you generate W-2s/W-2Cs from the Create W-2 Table screen or enter the W-2s/W-2Cs on the Manage W-2s and Manage W-2Cs screens, Costpoint now stores the following information:

• Employer Tax ID

• Employer Address

• Employer Name

• Employee SSN

• Employee Name

• Employee Address

This enhancement will allow Payroll managers to reprint the employee and taxable entity information for a W-2/W-2C that displays all the W-2 data as it was at the time of the original printing and not use current data for Employer Tax ID, Employer Address, Employer Name, Employee SSN, Employee Name, and Employee Address.

 

Create W-2 Table (PRPCW2)

The application features the following updates:

• New fields were added to the FED_W2_FILE and FED_W2C_FILE tables to hold the following values:

• Employer Tax ID

• Employer Address

• Employer Name

• Employee SSN

• Employee Name

• Employee Address

• The application now populates the new fields for W-2s.

• The application now populates the following fields for W-2Cs from the saved values in FED_W2_FILE table:

• Employee SSN

• Employee Name

• Upon conversion, the application populates FED_W2_FILE and FED_W2C_FILE tables with existing employee and taxable entity data.

 

Manage W-2s (PRMW2)

The application now displays the employee’s name and address at the time of the W-2 creation using the new fields in the FED_W2_FILE table.

 

Manage W-2Cs (PRMW2C)

The application now populates the previously reported SSN and employee name from the new fields in the FED_W2_FILE table. The fields will remain enabled.

 

Print W-2s (PRRW2)

The application now populates the employer and employee name and address information from new fields in the FED_W2_FILE table. This will show the employee and employer information at the time the W-2 was created.

 

W-2s (ESMELECW2)

The application now displays the Employer Tax ID, Employer Address, Employer Name, Employee SSN, Employee Name, and Employee Address from the W-2 table (FED_W2_FILE) instead of from the associated table (TXBLE_ENTITY, EMPL). This allows employees to view the original addresses.

 

Print Data Dictionary Report (SYRDD)

The Print Data Dictionary Report now includes information about the new columns in the FED_W2_FILE and FED_W2C_FILE tables.

This enhancement requires the following files:

• cp81_bundle_CYE2023_001.zip

• DeltekCostpointMaintenanceRelease_8.1.22.5012.exe

Costpoint has been fully tested to support the pre-printed Form W-2 from Deltek’s partner form vendors for the 2024 filing. If you encounter alignment issues when you print on pre-printed forms, you may need to adjust the margins on your printer settings or Costpoint’s page setup. Refer to your printer’s documentation for information on how to configure the margins of your printer.

Employers can now allow their employees to view and print their W-2s in the correct format from Employee Self Service. New print options are available for employees on the W-2s screen in ESS, which administrators can control through the Manage Taxable Entity Settings screen.

 

W-2s (ESMELECW2)

A new Download and Email button allows employees to download and/or send via email their copies of Form W-2 as a PDF file. This process is applicable only if the payroll year of the W-2 is 2023 or later. The button launches a parameter window with the following fields.

Field	Description
Payroll Year	From the drop-down list, select the tax year of the Form W-2. The printing of Form W-2 on actual forms is applicable beginning tax year 2023 only. The values in this drop-down list include the system year and the last four years. The tax years will be further limited based on the Minimum W-2 year and Maximum W-2 Year on the Manage Taxable Entity Settings screen. Examples: If the system year is 2023 and the range of W-2 years on the Manage Taxable Entity Settings screen is 2019-2023, then the drop-down list will have 2023 only. If the system year is 2023 and the range of W-2 years on the Manage Taxable Entity Settings screen is 2023-2027, then the drop-down list will have 2023 only. If the system year is 2024 and the range of W-2 years on the Manage Taxable Entity Settings screen is 2023-2027, then the drop-down list will have 2024 and 2023. If the system year is 2028 and the range of W-2 years on the Manage Taxable Entity Settings screen is 2020-2029, then the drop-down list will have 2028, 2027, 2026, 2025, and 2024. The default value is the year of the current selected record.
Download	Select this option to download the Form W-2 PDF file. This is the default selection.
E-mail	Select this option to send via email the Form W-2 PDF file as an attachment.
Download and E-mail	Select this option to download and send via email the Form W-2 PDF file.
E-mail Address	This field displays the work email if specified on the Manage Employee Information screen as the default. Otherwise, it shall default from the home email. You may also specify another email address.
Company Name	Enter, or click Lookup to select, the company name.
Submit	Select this button to perform the downloading and/or sending via email of Form W-2.
Close	Select this button to close the parameter window.

 

Manage Taxable Entity Settings (AOMESSCS)

The Manage Taxable Entity Settings screen provides the following new fields and subtask:

Field	Description
Allow download and email of W-2s	Select this checkbox to allow employees to download or send via email their copies of Form W-2 (B, C, 2, Instructions).
Print only the last 4 numbers of SSN	When this checkbox is selected, employees’ SSN will display only the last four numbers on the employees’ copies of the tax forms.
Tax Forms Subtask	Use this subtask to configure settings related to the electronic delivery of tax forms. This subtask contains the following fields: Tax Form: From the drop-down list, select which employee tax form to set up. Valid options are 1095-C and W-2/W-2c. From: Enter the email address that will display when tax forms are sent to employees' email address. Subject: Enter the email subject that will display when tax forms are sent to employees' email address. If this field is blank, then the default email subject that will be used by ESS is: <Calendar Year>space<Tax Form>. Body: Enter the email text that will display when tax forms are sent to employees’ email address. If this is blank, then the default email text that will be used by ESS is: “The <Tax Form> is attached to this email.”

 

Print Data Dictionary Report (SYRDD)

The Print Data Dictionary Report now provides information about the following, which were added for this feature.

• SSN4ONLY_FL and ALLOW_W2_PRNTEMAIL_FL columns in the ESS_SETTINGS table

• ESS_TAX_FORMS table

 

This enhancement requires the following files:

• cp81_bundle_CYE2023_001.zip

• DeltekCostpointMaintenanceRelease_8.1.22.5012.exe

The United States Congress passed the Secure Act 2.0 which requires employees who made above a certain amount in the prior year to make catch-up contributions to a post-tax Roth individual retirement account (IRA) instead of a pre-tax 401k. The Secure Act 2.0 implementation was later deferred by Congress until 2026.

To address the requirements of the new legislation, Costpoint added a new report to display employees who qualify for catch-up contributions, their deductions, age, and income. On the Manage Federal Taxes screen, a new field was also added to hold the prior year’s income requirement threshold for Roth IRA’s.

In addition, the Secure Act 2.0 section 127 permits employers to offer short-term emergency savings accounts (ESAs) to non-Highly Compensated Employees. A new deduction was added for Emergency Savings Accounts.

 

Print Employees Eligible for Retirement Catch-Up (PRPCATCHUP)

Use this screen to print information relating to employees over 50 with catch-up retirement contributions. Print this report any time to see if employees have reached their catch-up limit or to determine which employees meet the high-income threshold for the previous year. The high-income threshold is part of the Secure Act 2.0, which was deferred until 2026.

You can print the report for:

• All or one pay cycles

• A specific date in time which will be used to calculate employee ages, YTD contributions, and deductions, and determine the previous year for wage purposes.

• Specific deduction types (Deferred or Roth only)

• Employees by earning group (High earners, regular earners, or both types)

• Employees by age group

The application will use the new Roth Catch-Up Wage Threshold field on the Manage Federal Taxes screen to determine the threshold for high earners. The report displays the employee’s prior year earnings, age, earning type, deduction code, deduction type, YTD deduction amount, contribution code, contribution type, YTD contribution amount, and the total YTD deduction/contribution amount. When the first sort is by employee, the report has a subtotal for each employee for YTD deduction/contribution amounts and the total of deduction/contribution amount.

Warning: The new Print Employees Eligible for Retirement Catch-Up screen is included in the CYE Package (cp81_bundle_CYE2023_001.zip). However, you will need to install MR 8.1.23 or higher to access the new application from the Costpoint menu. If you need to install the application but do not want to update your MR, please contact Deltek Support Center.

 

Manage Federal Taxes (PRMFTI)

The Manage Federal Taxes screen adds the following field:

Field	Description
Roth Catch-Up Wage Threshold	Enter the prior year wage threshold amount that was defined by the U.S. government at which retirement contribution catch-ups will be required to be in a post-tax Roth IRA. This amount will be used by the Print Employees Eligible for Retirement Catch-Up screen to determine which employees must make retirement catch-up contributions to a post-tax Roth IRA.

 

Manage Deductions (PRMDED)

A new Emergency Savings Accounts (ESA) deduction type, which can be used by employers who offer short-term ESAs to non-Highly Compensated Employees, was added to the Manage Deductions screen.

 

This enhancement requires the following files:

• cp81_bundle_CYE2023_001.zip

• DeltekCostpointMaintenanceRelease_8.1.23.5001.exe

• DeltekCostpointMaintenanceRelease_8.1.22.5012.exe

Form I-9 Updated Edition

The U.S. Citizenship and Immigration Services (USCIS) released a new version of Form I-9, Employment Eligibility Verification. Employers must use Form I-9 to verify the identity and employment authorization of their employees.

The Form I-9 changes are:

• The citizenship or immigration status in Section 1 has been renamed to “noncitizen authorized to work." This was “alien authorized to work” in the 2019 edition.

• A checkbox has been added in Section 2 for E-Verify employers to indicate when they have remotely examined Form I-9 documents.

Checkbox Label

Checkbox Information

Check here if you used an alternative procedure authorized by DHS to examine documents

Certain employers who participate in E-Verify are qualified to examine their employee’s documentation remotely by using the optional alternative procedure to physical document examination authorized by the Secretary of DHS. Employers who examine documentation remotely for some employees must offer this option to all employees. To examine your employee’s documentation remotely, you must be enrolled in good standing in E-Verify, and complete the following steps: Examine copies (front and back, if the document is two-sided) of Form I-9 documents or an acceptable receipt to ensure that the documentation presented reasonably appears to be genuine; Conduct a live video interaction with the individual presenting the document(s) to ensure that the documentation reasonably appears to be genuine and related to the individual. The employee must first transmit a copy of the document(s) to the employer (per Step 1 above) and then present the same document(s) during the live video interaction; Indicate on the Form I-9, by completing the corresponding box, that an alternative procedure was used to examine documentation to complete Section 2 or for reverification in Supplement B, as applicable; and Retain a clear and legible copy of the documentation (front and back if the documentation is two-sided).

Employers may begin using the new edition by August 1, 2023, or may choose to continue to use the 2019 version of the form through October 31, 2023. After October 31, 2023, the prior version of Form I-9 will be obsolete and no longer valid for use.

Starting November 1, 2023, employers who fail to use the August 1, 2023 edition of Form I-9 may be subject to all applicable penalties under section 274A of the INA, 8 U.S.C. 1324a, as enforced by U.S. Immigration and Customs Enforcement (ICE).

Attention: For more information, refer to:

• 4.5 Remote Documentation Examination (Optional Alternative Procedure to Physical Document Examination)

• https://www.uscis.gov/sites/default/files/document/fact-sheets/FormI9SummaryofChangesFactSheet.pdf

• https://www.uscis.gov/sites/default/files/document/forms/i-9.pdf

• https://www.uscis.gov/sites/default/files/document/forms/i-9instr.pdf

 

Manage Employee I-9 Data (HPMI9DAT)

The following options in the Status drop-down list were replaced:

• The Alien Authorized to Work option was replaced with the Noncitizen Authorized to Work option.

• The Non-Citizen National option was replaced with U.S. Noncitizen National option.

The following checkbox was added:

Field

Description

Used an alternative procedure authorized by DHS to examine documents

Select this checkbox if you used an optional alternative procedure to physical document examination authorized by the Secretary of DHS. Certain employers who participate in E-Verify are qualified to examine their employee’s documentation remotely by using the optional alternative procedure to physical document examination authorized by the Secretary of DHS. Employers who examine documentation remotely for some employees must offer this option to all employees. To examine your employee’s documentation remotely, you must be enrolled in good standing in E-Verify.

Prior to this release, you can print Form W-2c only on pre-printed forms from recommended vendors. To avoid alignment problems in using pre-printed forms, Costpoint adds the ability to print Form W-2c on plain paper on the Print W-2s screen.

 

Print W-2s (PRRW2)

A new W-2c (Form with Data) group box provides the following options for printing W-2c copies to plain paper.

Field	Description
Substitute Copy A (SSA-Approved)	Select this option if you want to print a black and white Copy A. A separate PDF file for the W-3c will be created and saved in the same location as the Form W-2c Copy A. The Copy A PDF file should be printed on 8.5 x 11-inch single-sheet paper only, not on continuous pin-fed paper. The option to print only the last 4 numbers of SSN will be cleared and disabled for Copy A.
Copy 1	Select this option if you want to print W-2c Copy 1 - For State, City, or Local tax Department.
Copy D	Select this option if you want to print W-2c Copy D - For Employer.
Employee's W-2c Set (B, C, 2, Instructions)	Select this option if you want to print a set of W-2cs per employee with only one W-2c form per page. This set includes Copy B, Copy C, Copy 2, and a copy of filing instructions per employee. If you want a separate PDF file for each set of W-2cs per employee, then you must select the One PDF File per Employee checkbox.

Note: The printing of Form W-2c on plain paper is only applicable beginning Tax Year 2023. As of this release, Deltek is still awaiting Form W-2c/Form W-3c for 2023 to be approved by the SSA. An error will display if you select the Substitute Copy A (SSA-Approved) option.

 

Manage W-2Cs (PRMW2C)

The existing (b) Employer’s Federal EIN field is now the (b) Employer identification number (EIN) field.

 

This enhancement requires the following files:

• cp81_bundle_CYE2023_001.zip

• DeltekCostpointMaintenanceRelease_8.1.25.5000.exe

• DeltekCostpointMaintenanceRelease_8.1.22.5012.exe

The Internal Revenue Service (IRS) requires that the Substitute Black-and-White Forms W-3 and W-2 (Copy A) for Tax Year 2023 must comply with the IRS Publication 1141. Forms W-3 and W-2 (Copy A) must be approved by Social Security Administration (SSA).

The Print W-2s application was updated to reflect the updated forms. The changes to the forms are as follows:

• 2023 Form W-3

• Changed Form W-3 tax year from 2022 to 2023

• Updated the “Reminder” section instructions to show tax year 2023

• Updated the “E-Filing” section to show filing deadline of January 31, 2024

• Updated the “When to File Paper Forms” section to show filing deadline of January 31, 2024

• Updated the “Revised” date to 08/23

• 2023 Form W-2

• Changed the Form W-2 tax year from 2022 to 2023

• Updated the “Revised” date to 08/23

The IRS provides the following reminders to employers:

• Do not mail your company’s payroll to the Copy A mailing address. You must mail your forms to the address listed on Form W-3.

• Do not truncate the employees’ SSN on Copy A of Forms W-2.

• Verify that the template prints on each W-2 submission before you mail them to the SSA.

• Approvals are valid for only one tax year (January through December). In general, each new filing season requires new approval, even if the official form does not change.

• All forms and data must be printed in non-reflective black ink only.

• Both the top Form W-2 and the bottom Form W-2 must have the Void checkbox printed on the form.

• Please ensure printed versions of the approved forms meet the required margin guideline. The top, left, and right margins for Form W-2 (Copy A) and Form W-3 are 0.50 inches (½ inch).

Attention: For more information, refer to:

• Employer Form W-2 Filing Instructions & Information: https://www.ssa.gov/employer/

• New IRS instructions for electronic filing requirements for Forms W-2: https://www.irs.gov/forms-pubs/new-electronic-filing-requirements-for-forms-w-2

• 2023 General Instructions for Forms W-2 and W-3: https://www.irs.gov/pub/irs-pdf/iw2w3.pdf

This enhancement requires the following files:

• cp81_bundle_CYE2023_001.zip

• DeltekCostpointMaintenanceRelease_8.1.25.5000.exe

• DeltekCostpointMaintenanceRelease_8.1.22.5012.exe

Costpoint now automatically calculates Federal Income Tax Withheld for Forms 1099-NEC and 1099-MISC. 

In the previous process, you must manually enter a negative amount for voucher lines which correspond to federal withholding tax, but the negative amounts are not included when calculating the amount for Box 4 of Forms 1099-NEC and 1099-MISC. You must then manually convert the negative amount to a positive amount on the Edit 1099 Information screen for the federal withholding tax to be correctly calculated when you print Forms 1099-NEC and 1099-MISC.

To simplify this process and eliminate manual adjustment, the Create 1099 Information screen has been updated to automatically process and calculate federal withholding tax amounts, and the Print/Create 1099s and Magnetic Media screen has been updated to automatically convert the negative federal withholding tax amounts and display them as positive values when you print 1099 forms or create magnetic media files.

The new 1099 Type, FEDMIS, has also been added to multiple screens for easier identification and tracking of miscellaneous federal withholding tax, while the existing FED type remains for non-employee compensation federal withholding tax.

The following Accounting screens have been updated to support these enhancements.

 

Manage Vendors (APMVEND)

In the 1099s group box, the Print 1099-MISC Form has been renamed to Print 1099 Form, and the new FEDMIS option has been added to the Type drop-down list. 

 

Manage Accounts Payable Vouchers (APMVCHR)

The new 1099 type, FEDMIS, has been added to the lookup of the 1099 Type field.

 

Manage Purchase Order Vouchers (POMPOVCH)

On the Account Distribution subtask, the new 1099 type, FEDMIS, has been added to the lookup of the 1099 Type field.

 

Manage Vendor History (APMVENDH)

The new 1099 type, FEDMIS, has been added to the lookup of the 1099 Type field of the Voucher Line table window.

 

Create 1099 Information (APP1099C)

This screen has been updated to automatically process and calculate federal withholding tax and include them in 1099 reports and printed forms, and to include partial payments, voided or reissued checks, and voucher discounts when calculating the Total 1099 Amount and Total Taxable Amount for the Taxable Entity or Pay Vendor, and Calendar Year you entered.

 

Edit 1099 Information (APM1099)

The new 1099 type, FEDMIS, has been added to the lookup of the 1099 Type field of the Edit 1099 Information Detail table window.

 

Print 1099 Edit Report (APR1099E)

This screen has been updated to display the following information on the 1099 Edit Report:

• Total Amount Paid for <Pay Vendor>: This is the total 1099 amount paid by the Taxable Entity to a specific vendor minus federal withholding taxes (FED and FEDMIS amounts).

• Total Federal WH Amount: This is the sum of all the amounts under the FED and FEDMIS 1099 types. This field always displays on the report even if the amounts are below the 1099 box threshold and the Include Vendors where payments are below the reportable amount checkbox is cleared. However, this field does not display if the FED or FEDMIS amount is zero.

If you selected Taxable Entity as the sorting method, a single Total Federal WH Amount displays for the Taxable Entity. If you selected Pay Vendor, the Total Federal WH Amount for each Pay Vendor displays on the report.

• Total Taxable Amount: This is the total amount paid for all 1099 types, including FED and FEDMIS amounts.

 

Print/Create 1099s and Magnetic Media (APR1099)

When you print 1099s or create magnetic media, Costpoint now uses either the FED or FEDMIS code to populate the 1099 forms or magnetic media, depending on the other options you select. In addition, you can no longer print or create 1099 magnetic media using the old formats and calculation methods for calendar years prior to 2023.

The following updates have been applied to the 1099 Types to Include group box to support the new 1099 calculation process when you create magnetic media with a File Code of NEW in the Issuer 'A' Record:

• If you select Non-Employee Compensation, Costpoint uses the FED (Federal Income Tax Withholding) code to populate field positions 91-102 for the B (Payee) Record and populates positions 70-87 of Record C with the sum of the amounts in positions 91-102 of the B (Payee) Record.

• If you select All Other Types, Costpoint uses the FEDMIS (Federal Income Tax Withholding) code to populate field positions 91-102 for the B (Payee) Record and populates positions 70-87 of Record C with the sum of the amounts in positions 91-102 of the B (Payee) Record.

The following updates have also been applied to the Print Format group box to support the new 1099 calculation process when you print 1099s:

• If you select 1099-MISC Standard or 1099-MISC Self-Mailer, Costpoint uses the FEDMIS (Federal Income Tax Withholding) code to populate Box 4 of Form 1099-MISC.

• If you select 1099-NEC or 1099-NEC Self-Mailer, Costpoint uses the FED (Federal Income Tax Withholding) code to populate Box 4 of Form 1099-NEC.

2023 Federal Poverty Level

The 2023 poverty guideline for the 48 contiguous states and the District of Columbia is $14,580.

Note: This update requires patch dbc_810_11051.

2023 Form 941 Updates

A draft of Form 941 for use in the first quarter of 2023 was issued by the Internal Revenue Service.

The Form 941, Employer’s Quarterly Federal Tax Return verbiage was updated as follows:

Section	Current	New
The text at the rightmost column of Lines 5a, 5a(i), 5a(ii)	*Include taxable qualified sick and family leave wages paid in 2022 for leave taken after March 31, 2021, and before October 1, 2021, on line 5a. Use lines 5a(i) and 5a(ii) only for taxable qualified sick and family leave wages paid in 2022 for leave taken after March 31, 2020, and before April 1, 2021.	*Include taxable qualified sick and family leave wages paid in this quarter for leave taken after March 31, 2021, and before October 1, 2021, on line 5a. Use lines 5a(i) and 5a(ii) only for taxable qualified sick and family leave wages paid in this quarter for leave taken after March 31, 2020, and before April 1, 2021.
Worksheet 1	Worksheet 1: Credit for Sick and Family Leave Wages for Leave Taken After March 31, 2020, and Before April 1, 2021	Worksheet 1. Credit for Qualified Sick and Family Leave Wages Paid This Quarter for Leave Taken After March 31, 2020, and Before April 1, 2021
Worksheet 2	Worksheet 2: Credit for Qualified Sick and Family Leave Wages Paid in 2022 for Leave Taken After March 31, 2021, and Before October 1, 2021	Worksheet 2: Credit for Qualified Sick and Family Leave Wages Paid This Quarter for Leave Taken After March 31, 2021, and Before October 1, 2021

The labels in the Print Quarterly Federal Payroll Tax Report were updated to reflect the changes to the Form 941.

Attention: For more information, refer to:

• Form: http://www.irs.gov/pub/irs-pdf/f941.pdf

• Instruction: http://www.irs.gov/pub/irs-pdf/i941.pdf

Affordable Care Act Updates

This Costpoint release provides the following ACA - 1095-C updates:

• Code 1A will only be assigned to employees on Line 14 of form 1095-C if the Qualifying Offer Method checkbox is selected on the Create 1094-C and 1095-C Data screen.

• An employee’s employment history is used to determine the Line 14 and Line 16 codes on form 1095-C. Because some clients track employment using the Affirmative Action Effective Date is Hire Date and Effective Date is Term Date checkboxes on the Manage Employee Salary Information screen, we added the ability to use those checkboxes when determining an employee’s employment history.

• An employee will now be eligible to receive a form 1095-C if they were offered and elected coverage in the year prior to their hire date. If an employee’s hire date is in the following year but elected self-insured coverage for one or more months of the calendar year being analyzed, code 1G would be entered on Line 14.

• An employee will now be eligible to receive a form 1095-C if they were offered and elected coverage in the year following their termination date. If an employee was terminated in the prior year but elected self-insured coverage for one or more months of the calendar year, code 1G would be entered on Line 14.

• The priority order for the Form 1095-C Line 14 codes will be updated.

• Code 1E will take priority over code 1K

1E. Minimum essential coverage providing minimum value offered to employee and at least minimum essential coverage offered to dependent(s) and spouse. Do not use code 1E if the coverage for the spouse was offered conditionally. Instead, use code 1K.

1K. Minimum essential coverage providing minimum value offered to employee; at least minimum essential coverage offered to dependents; and at least minimum essential coverage conditionally offered to spouse. (See Conditional offer of spousal coverage, earlier, for an additional description of conditional offers.)

• Code 1C and 1D will take priority over code 1K

1C. Minimum essential coverage providing minimum value offered to employee and at least minimum essential coverage offered to dependent(s) (not spouse).

1D. Minimum essential coverage providing minimum value offered to employee and at least minimum essential coverage offered to spouse (not dependent(s)). Do not use code 1D if the coverage for the spouse was offered conditionally. Instead, use code 1J.

• The priority order for the Form 1095-C Line 16 codes will be updated. 2D must be done before 2B and after all other codes. According to the IRS instructions, if an employee is in an initial measurement period, enter code 2D (employee in a section 4980H(b) Limited Non-Assessment Period) for the month, and not 2B (employee not a full-time employee).

This release also applies minor alignment adjustments that are necessary to accommodate the 2022 ACA Form 1094-C and 1095-C.

Create 1094-C and 1095-C Data (HBP109XC)

The Create 1094-C and 1095-C Data screen provides the following new options:

Field

Description

Employment History Source

Select one of the two methods of tracking an employee’s employment history with the company. Manage Employee Information: This option will use the Employment History subtask on the Manage Employee Information screen to determine whether an employee was employed for a given month. If you use this method of tracking employment history, select this option. Manage Employee Salary Information: Though it is not a common setup, some employers use the Affirmative Action Effective Date is Hire Date and Effective Date is Term Date settings on the HR Information tab of the Manage Employee Salary Information screen to track employment history. If you use this method of tracking employment history, select this option.

2022 Forms 1094-C/1095-C Updates

Costpoint now allows you to print 1094-C and 1095-C data on forms that will be accepted by the IRS for tax year 2022 filing. The 2022 PDF template file for 1094-C and 1095-C forms are now available in Costpoint, which will let you create PDF files with data for the calendar year 2022. You can then use the PDF files to print the forms on plain paper.

 

Print 1094-Cs (HBR1094C)

The Print 1094-Cs application now uses the 2022 1094-C PDF template file if you print for calendar year 2022.

 

Print 1094-C Forms with Data on Plain Paper

Use the Print 1094-Cs screen to print 1094-C forms on plain paper instead of on pre-printed forms. To print 1094-C forms on plain paper:

1. On the Print 1094-Cs screen, enter the selection ranges for the calendar year and taxable entity for the 1094-C Form.

2. In the Options group box, select the options for the report.

Field	Description
1094-C Type	Select Regular, Correcting, or Correcting 1095-Cs.
PDF File Options	Select One PDF File for all Taxable Entities if you want to create only one PDF file for all 1094-C forms. The generated PDF file will have the following file name format: 1094C_<Calendar Year>_<Timestamp>.pdf   Select One PDF File per Taxable Entity if you want to create a separate PDF file for each taxable entity so that only one 1094-C form is included in each file. The generated PDF file will have the following file name format: <Taxable Entity>_1094C_<Calendar Year>_<Timestamp>.pdf
File Location	Enter the location where to save the PDF files.

3. Select the Print 1094-C Forms with Data option from the Action Menu to generate 1094-C PDFs with data.

The application saves the forms as PDF files in the specified file location.

4. In a PDF reader, open the generated PDF files and review the data on the 1094-C forms.

5. Load your printer with the appropriate plain paper and print the forms using black ink. You must configure your printer settings to print the forms in actual size. If you opt to print the form on plain paper, you must use 8.5 x 11-inch plain paper.

 

Print 1095-Cs (HBR1095C)

The Print 1095-Cs screen provides the following updates:

• The application uses the 2022 1095-C PDF template file if you print for calendar year 2022.

• You now have the option to create the PDF file in portrait mode.

• You now have the following new option on the screen:

Field	Description
Exclude Instructions for Recipient (Portrait Orientation)	Select this checkbox if you want to exclude the Instructions to Recipient page in the PDF file. This option is applicable only for the portrait orientation of Form 1095-C. You must not select this checkbox if you are printing the PDF file to plain paper. However, you must select this checkbox if you are printing to a portrait blank stock with backer (with instructions at the back).

• The application now allocates two lines for the names in Part III – Covered Individuals.

• The existing Options for Printing Forms with User Data group box is now the Options for Printing Forms with Data group box.

 

Print 1095-C Forms with Data on Blank Stock or Plain Paper

Use the Print 1095-Cs screen to print 1095-C forms on blank stock or plain paper instead of on pre-printed forms. To print 1095-C forms on blank stock/plain paper:

1. On the Print 1095-Cs screen, enter the selection ranges for the 1095-C Form.

• Employee Name/Employee ID/Social Security Number/Home Organization/Mailing Address State/Mailing Address Postal Code/Locator Code

• Taxable Entities

• Calendar Year

2. In the Report Options group box, select the options for the report.

• 1095-C Type

• Orientation

• 1st Sort

• 2^nd Sort

• Print Test Pattern

• Truncate Payee Identification Numbers (Employer and Employees)

3. In the Options for Printing Forms with Data, select the applicable options and enter the PDF file location.

Field	Description
PDF File Options	Select One PDF File for all Employees if you want to create only one PDF file for all 1095-C forms. The generated PDF file will have the following file name format: 1095C_<Calendar Year>_<Timestamp>.pdf Select One PDF File per Employee if you want to create a separate PDF file for each employee so that only one 1095-C form is included in each file. The generated PDF file will have the following file name format: <Employee ID>_1095C_<Calendar Year>_<Timestamp>.pdf
File Location	Enter the location where to save the PDF files.
Exclude Instructions for Recipient (Portrait Orientation)	Select this checkbox if you want to exclude the Instructions to Recipient page in the PDF file. This option is applicable only for the portrait orientation of Form 1095-C. You must not select this checkbox if you are printing the PDF file to plain paper. However, you must select this checkbox if you are printing to a portrait blank stock with backer (with instructions at the back).

4. Select the Print 1095-C Forms with Data option from the Action Menu to generate 1095-C PDFs with data.

The application saves the forms as PDF files in the specified file location.

5. In a PDF reader, open the generated PDF files and review the data on the 1094-C forms.

6. Load your printer with the appropriate plain paper or blank stock and print the forms using black ink. You must configure your printer settings to print the forms in actual size. If you opt to print the form on plain paper, you must use 8.5 x 11-inch plain paper.

2023 Federal Income Tax Withholding

The 2023 federal income tax withholding methods were released by the Internal Revenue Service.

• The percentage method‘s tax brackets were adjusted.

• The annual additional amount, if the nonresident alien employee was first paid wages before 2020 and has not submitted a Form W-4 for 2020 or later, increases from 8,650 to $9,550.

• The annual additional amount, if the nonresident alien employee has submitted a Form W-4 for 2020 or later or was first paid wages in 2020 or later, increases from 12,950 to $13,850.

• The deductions in the W-4 Deductions Worksheet were updated.

• Head of Household: 20,800

• Married: 27,700

• Single: 13,850

• The ACA Safe Harbor Affordability Rate is 0.0912 (9.12%) for 2023.

To support the federal requirements, Costpoint adds updates to the following screens:

• Manage Federal Tax Tables

• Manage Federal Taxes

• Compute Payroll

Attention: For more information, refer to the following:

• Federal Income Tax Withholding: https://www.irs.gov/pub/irs-pdf/p15t.pdf

• W-4 Amounts: https://www.irs.gov/forms-pubs/about-form-w-4

• Safe Harbor Affordability Rate: https://www.irs.gov/pub/irs-drop/rp-22-34.pdf

Note: This update requires patch dbc_810_11039.

Affordable Care Act Updates

This Costpoint release provides the following ACA - 1095-C updates:

• Code 1A will be assigned only to employees on Line 14 of form 1095-C if the Qualifying Offer Method checkbox is selected on the Create 1094-C and 1095-C Data screen.

• An employee’s employment history is used to determine the Line 14 and Line 16 codes on form 1095-C. Because some clients track employment using the Affirmative Action Effective Date is Hire Date and Effective Date is Term Date checkboxes on the Manage Employee Salary Information screen, we added the ability to use those checkboxes when determining an employee’s employment history.

• An employee will now be eligible to receive a form 1095-C if they were offered and elected coverage in the year prior to their hire date. If an employee’s hire date is in the following year but elected self-insured coverage for one or more months of the calendar year being analyzed, code 1G would be entered on Line 14.

• An employee will now be eligible to receive a form 1095-C if they were offered and elected coverage in the year following their termination date. If an employee was terminated in the prior year but elected self-insured coverage for one or more months of the calendar year, code 1G would be entered on Line 14.

• The priority order for the Form 1095-C Line 14 codes will be updated.

• Code 1E will take priority over code 1K.

1E. Minimum essential coverage providing minimum value offered to employee and at least minimum essential coverage offered to dependent(s) and spouse. Do not use code 1E if the coverage for the spouse was offered conditionally. Instead, use code 1K.

1K. Minimum essential coverage providing minimum value offered to employee; at least minimum essential coverage offered to dependents; and at least minimum essential coverage conditionally offered to spouse. (See Conditional offer of spousal coverage, earlier, for an additional description of conditional offers.)

• Code 1C and 1D will take priority over code 1K.

1C. Minimum essential coverage providing minimum value offered to employee and at least minimum essential coverage offered to dependent(s) (not spouse).

1D. Minimum essential coverage providing minimum value offered to employee and at least minimum essential coverage offered to spouse (not dependent(s)). Do not use code 1D if the coverage for the spouse was offered conditionally. Instead, use code 1J.

• The priority order for the Form 1095-C Line 16 codes will be updated. 2D must be done before 2B and after all other codes. According to the IRS instructions, if an employee is in an initial measurement period, enter code 2D (employee in a section 4980H(b) Limited Non-Assessment Period) for the month, and not 2B (employee not a full-time employee).

This release also applies minor alignment adjustments that are necessary to accommodate the 2022 ACA Form 1094-C and 1095-C.

 

Create 1094-C and 1095-C Data (HBP109XC)

The Create 1094-C and 1095-C Data screen provides the following new options:

Field

Description

Employment History Source

Select one of the two methods for tracking an employee’s employment history with the company. Manage Employee Information: This option will use the Employment History subtask on the Manage Employee Information screen to determine whether an employee was employed for a given month. If you use this method of tracking employment history, select this option. Manage Employee Salary Information: Though not as common, some employers use Affirmative Action Effective Date is Hire Date and Effective Date is Term Date settings on the HR Information tab of the Manage Employee Salary Information screen to track employment history. If you use this method of tracking employment history, select this option.

2022 Federal ACA Electronic Filing Updates

Costpoint now provides the ability to generate manifest and data files that comply with the latest tax year 2022 schema for the UI transmission channel. This release applies the following updates for the Create 1094-C and 1095-C Electronic File screen to support the latest federal requirements:

• The software ID "22A0014924" for Calendar Year 2022 must be added.

• The tax year in all applicable namespaces must be updated to "ty22".

Attention: For more information, refer to:

• Release Memo for Tax Year 2022 Forms 1094-B, 1095-B, 1094-C, and 1095-C (irs.gov)

• Schema: https://www.irs.gov/pub/irs-schema/aca-schemas-ty2022-v1.zip

Note: This update requires patch dbc_810_11001.

2022 Federal Poverty Level

The 2022 federal poverty guideline for the 48 contiguous states and the District of Columbia is $13,590. This Costpoint release updates the Federal Poverty Level for Payroll Year 2022 on the Manage Federal Taxes screen.

Attention: For more information, refer to: https://aspe.hhs.gov/topics/poverty-economic-mobility/poverty-guidelines.

Note: This update requires patch dbc_810_11006.

2022 FUTA Credit Reductions 

For 2022, employers in California, Connecticut, Illinois, and New York will be assessed a general FUTA credit reduction of 0.3% on wages paid to employees for work attributed to any of these states. The reduction will cause employers to pay an effective tax rate of 0.9% or up to $63 for each employee when applied to the federal unemployment-taxable wage base of $7,000.

Employers in the US Virgin Islands will be assessed a general FUTA credit reduction of 3.6% on wages paid to employees for work attributed to the territory. The reduction will cause employers in the US Virgin Islands to pay an effective federal unemployment tax rate of 4.2%, or up to $294 for each employee when applied to the federal unemployment-taxable wage base.

This Costpoint release adds records on the Manage Federal Taxes screen for the corresponding states:

State	Final 2022 FUTA Credit Reduction
California	0.3%
Connecticut	0.3%
Illinois	0.3%
New York	0.3%
US Virgin Islands	3.6%

Note: This update requires patch dbc_810_11019.

2023 Social Security Wage Base

The maximum amount of earnings subject to the Social Security tax increases from $147,000 to $160,200. To support the new limit, Costpoint adds a 2023 payroll year with an updated Social Security Wage Limit on the Manage Federal Taxes screen.

Attention: For more information, refer to: https://www.ssa.gov/news/press/factsheets/colafacts2023.pdf.

Note: This update requires patch dbc_810_11007.

2023 401(k) Limits

The IRS provided the following 401(k) updates for 2023:

• The salary deferral limit increased from $20,500 in 2022 to $22,500 in 2023.

• The annual compensation limit increased from $305,000 in 2022 to $330,000 in 2023.

To support the 2023 limits, Costpoint sets the 401(k) Deferral Limit to $22,500 and 401(k) Wage Limit to $330,000 for payroll year 2023 on the Manage Federal Taxes screen.

Attention: For more information, refer to:

• IRS website: https://www.irs.gov/retirement-plans/401k-plans-deferrals-and-matching-when-compensation-exceeds-the-annual-limit

• Notice 2022-55: https://www.irs.gov/pub/irs-drop/n-22-55.pdf

Note: This update requires patch dbc_810_11014.

2022 Form 1099-MISC Updates

The IRS released the 2022 updates to form 1099-MISC.

Note: The 1099-MISC updates discussed in this section are retrieved from the IRS 2022 Instructions for Forms 1099-MISC and 1099-NEC document. Download the official IRS document through this link: https://www.irs.gov/pub/irs-pdf/i1099mec.pdf.

Form 1099-MISC has the new Box 13, which is assigned to the Foreign Account Tax Compliance (FATCA) filing requirement checkbox. Furthermore, the previous box numbers 13 to 17 have been renumbered to box numbers 14 to 18, respectively.

 

Print/Create 1099s and Magnetic Media

The Print/Create 1099s and Magnetic Media screen has been updated to accommodate the IRS 2022 updates to forms 1099-MISC and 1099-NEC. 

When you set the Calendar Year to 2022 and you print 1099s on this screen, the output displays using the 2022 format and layout for the 1099 forms.

The magnetic media format has also been updated according to the 2022 Specifications for Electronic Filing of Forms. 

Note: For details on the 2022 specifications for electronic filing, download the IRS Publication 1220 through this link: https://www.irs.gov/pub/irs-pdf/p1220.pdf.

2022 Additional Amount for Nonresident Alien Employees

The Compute Payroll application now supports the updated additional amount for a nonresident alien employee who has not submitted a Form W-4 for 2020 or later. The application will now use the following amounts in the withholding tax calculation of both federal and territory:

• Nonresident alien additional amount is 8,650 if the employee’s Form W-4 is 2019 or earlier, and check date is from tax year 2022.

• Nonresident alien additional amount is 8,250 if the employee’s Form W-4 is 2019 or earlier, and check date is within tax year 2021.

• Nonresident alien additional amount is 8,100 if the employee’s Form W-4 is 2019 or earlier, and check date is within tax year 2020.

2022 Form 941 Updates (DRAFT)

The draft Form 941, which has a March 2022 revision date, contained several changes when compared with the version in effect for the second through fourth quarters of 2021. The changes are the following:

• The note next to Lines 5a to 5d was revised to clarify the reporting of qualified paid sick and family leave wages. Qualified wages paid in 2022 for leave taken in the second and third quarters of 2021 are to be included in Line 5a. Lines 5ai and 5aii are to be used only for qualified leave wages paid in 2022 for leave taken after March 31, 2020, and before April 1, 2021.

• Lines 11c, 13d, 21, and 22, which were previously used to report amounts pertaining to the employee retention credit, were labeled “Reserved for future use” in the draft 2022 version. Lines 13h and 13i, which pertained to Form 7200 advances, were similarly labeled.

A draft of revised instructions for Form 941, Employer’s Quarterly Federal Tax Return, were released January 31 by the Internal Revenue Service. The changes are the following:

• The credits for qualified paid sick and paid family leave wages may be claimed only for wages paid for leave taken after March 31, 2020, and before Oct. 1, 2021. However, employers that pay qualifying wages in 2022 for leave taken in that time period still may claim the credit; Lines 11b, 11d, 13c, and 13e may be used only for this purpose.

• The COBRA premium assistance credit expired Sept. 30, 2021. However, employers still may claim the credit if an eligible person elected coverage in the first quarter of 2022 for periods between April 1 and Sept. 30, 2021.

• The worksheets that allowed employers to calculate the employee retention credit, formerly named Worksheets 2 and 4, were removed.

• The worksheet for calculating the credit for qualified leave wages for leave taken in the second and third quarters of 2021, formerly named Worksheet 3, was renamed Worksheet 2 and updated to remove lines that referred to the employee retention credit.

• The worksheet for calculating the COBRA premium assistance credit, formerly Worksheet 5, was renamed Worksheet 3.

Earlier versions of Form 941 may not be used for reporting in 2022.

 

Print Quarterly Federal Payroll Tax Report (PRRFDTAX)

When you enter 2022 or later in the Payroll Year field, the screen disables the fields in the Employee Retention Credit group box.

• Eligible for Employee Retention Credit check box

• Qualified health plan expenses field

• Qualified health plan expenses for Mar 13 – 31, 2020 field

The Quarterly Federal Payroll Tax Report features the following updates:

• The report uses a new layout if the screen start date is 01/01/2022 or later.

• The report prints the previous report layout if the screen start date falls on 04/01/2021 - 12/31/2021.

• The report prints the layout prior to 04/01/2021 if the screen start date falls before 04/01/2021.

The following changes are implemented in the new report:

• Federal 941 Data

• The employee retention credit (Line 11c, Line 13d) was removed.

• The label of Line 11d was updated to "Nonrefundable portion of credit for qualified sick and family leave wages for leave taken after March 31, 2021, and before October 1, 2021."

• The label of Line 13e was updated to "Refundable portion of credit for qualified sick and family leave wages for leave taken after March 31, 2021, and before October 1, 2021."

• Worksheet 1

• The Worksheet 1 label was updated to "Worksheet 1: Credit for Sick and Family Leave Wages for Leave Taken After March 31, 2020, and Before April 1, 2021."

• Worksheet 2 (This is Worksheet 3 in the previous report layout.)

• The Worksheet 2 label was updated to "Worksheet 2: Credit for Qualified Sick and Family Leave Wages Paid in 2022 for Leave Taken After March 31, 2021, and Before October 1, 2021."

• The employee retention credit lines (2n, 2q) were removed.

• Line 2p will now contain the nonrefundable portion of credit, which is now the smaller of 1f or 2m.

• Line 2q will now contain the refundable portion of credit, which is now 2m-2p.

• Worksheet 3 (This is Worksheet 5 in the previous report layout.)

• The Worksheet 3 label was updated to "Worksheet 3: COBRA Premium Assistance Credit."

• The employee retention credit lines (2d, 2e) were removed.

• Line 2d will now subtract 2c from 1g (1g - 2c).

• Line 2e will now contain the nonrefundable portion of COBRA premium assistance credit, which is now the smaller of 2a or 2d.

• Line 2f will now contain the refundable portion of COBRA premium assistance credit, which is now 2a-2e.

2022 Federal Tax Tables

The IRS finalized Publication 15-T-Federal Income Tax Withholding Methods. The following are the updates:

• The IRS updated their percentage method tables effective January 1, 2022.

• The following deduction amounts from the W-4 Step 4(b)—Deductions Worksheet have been updated:

• $12,950 for single individuals

• $25,900 for married couples filing jointly

• $19,400 for heads of households

• The annual amount to add to the wages of nonresident alien employees is to be $12,950 when calculating withholding from Forms W-4 filed in 2020 and later.

• The safe harbor affordability rate decreases to 9.61% in 2022.

Attention: For more information, refer to: https://www.irs.gov/pub/irs-pdf/p15t.pdf.

Note: This enhancement requires patch dbc_810_10793.

2022 401(k) Amounts

The IRS provided the following 401(k) updates for 2022:

• The 401(k), 403(b), and 457 contribution limit increases from $19,500 to $20,500.

• The compensation limit for qualified plans rises from $290,000 to $305,000.

To support the 2022 limits, Costpoint sets the 401(k) Deferral Limit to 20,500 and the 401(k) Wage Limit to 305,000 for payroll year 2022 on the Manage Federal Taxes screen.

Attention: For more information, refer to:

• https://www.irs.gov/pub/irs-drop/n-21-61.pdf

• https://www.irs.gov/newsroom/irs-announces-401k-limit-increases-to-20500

Note: This enhancement requires patch dbc_810_10780.

2021 Forms 1099-MISC and 1099-NEC Updates

 

The IRS released the 2021 updates to forms 1099-MISC and 1099-NEC.

 

Note: The 1099-MISC and 1099-NEC updates discussed in this section are retrieved from the IRS 2021 Instructions for Forms 1099-MISC and 1099-NEC document. Download the official IRS document through this link: https://www.irs.gov/pub/irs-pdf/i1099mec.pdf.

 

Form 1099-MISC Updates

The following are the changes to form 1099-MISC:

• Title Change: The title for form 1099-MISC has been changed from Miscellaneous Income to Miscellaneous Information.

• Box 11: Box 11 includes any reporting under section 6050R regarding cash payments for the purchase of fish for resale purposes, from an individual or corporation who is engaged in catching fish.

 

Form 1099-NEC Updates

• Box 1: Box 1 will not be used for reporting under section 6050R regarding cash payments for the purchase of fish for resale purposes.

• Box 2: Payers may use either box 2 on Form 1099-NEC or box 7 on Form 1099-MISC to report any sales totaling $5,000 or more of consumer products for resale, on buy-sell, deposit-commission, or any other basis.

• Resizing: The IRS has reduced the height of the form so it can accommodate 3 forms on a page.

 

Print/Create 1099s and Magnetic Media

The Print/Create 1099s and Magnetic Media screen has been updated to accommodate the IRS 2021 updates to forms 1099-MISC and 1099-NEC. When you print 1099s on this screen, the output displays using the 2021 layout for the 1099 forms.

The magnetic media format has also been updated according to the 2021 Specifications for Electronic Filing of Forms.

Note: For details on the 2021 specifications for electronic filing, download the IRS Publication 1220 through this link: https://www.irs.gov/pub/irs-pdf/p1220.pdf.

The new NEC Copy to Print group box, which allows you to select the NEC copy you want to print, is now available.

 

Option	Description
Copy A	Select this option to print the IRS Service Center copy of form 1099-NEC.
Other Copies	Select this option to print the receiver and payer copies of form 1099-NEC.

 

The options in this group box are enabled if the Calendar Year is 2021 and when you select 1099-NEC in the Print Options group box.

U.S. Virgin Islands FUTA Credit Reduction

For 2021, the U.S. Virgin Islands is the only credit reduction state. The credit reduction rate is 3.3%.

This Costpoint release adds a record on the FUTA Credit Reduction States table of the Manage Federal Taxes screen for the Virgin Islands.

Note: This enhancement requires patch dbc_810_10780.

2022 Federal Social Security Wage Base

The Social Security (Old-Age, Survivors, and Disability Insurance) taxable wage base increases from $142,800 to $147,000 for 2022.

Note: This enhancement requires patch dbc_810_10751.

Costpoint adds the ability to create quarterly state unemployment tax files for the Maine Department of Labor’s ReEmployME system. Electronic filing is an option provided by the state, but it is currently not required.

Attention: For more information, see: ReEmployME File Formatting Specifications for Electronic Transmittal of Quarterly Unemployment Contributions and Wage Reporting.

 

Manage SUTA Tax File Data (PRMSMM)

You can now enter ME (Maine) in the SUTA State field. The screen enables the following fields:

• Contact Name

• Telephone Number

• Ext

• Reporting ID/UI Account Number

 

Create Quarterly SUTA Tax File (PRPSMM)

You can now generate quarterly state unemployment tax files for Maine. The application will use the Maine quarterly SUTA file layout for the file creation process.

The labels of the following fields were updated to accommodate the Unemployment Program Administrative Fund (UPAF) Assessment Rate and Competitive Skills Scholarship Fund (CSSF) Assessment Rate.

Field	Description
Surcharge / SCUF / UPAF Rate	Enter the unemployment insurance (UI) surcharge rate, the Service Capacity Upgrade Fund (SCUF) rate, or the Unemployment Program Administrative Fund (UPAF) Assessment Rate for the year being reported. This value will be reported in Record T in the electronic file. This field is applicable if you are creating a file for KY (Kentucky) or ME (Maine).
EAF / Rate	Enter the Employment Administration Fund (EAF) Tax Rate or Competitive Skills Scholarship Fund (CSSF) Assessment Rate to be reported in Record T in the electronic file. This field is applicable if you are creating a file for MT (Montana), WA (Washington), or ME (Maine).

 

This enhancement requires the following:

• cp81_bundle_cye2023_003.zip

• cp81_prmsmm_003.zip

• cp81_prpsmm_004.zip

• DeltekCostpointMaintenanceRelease_8.1.22.5012.exe

Virginia updated its formula for computing tax to be withheld effective for wages paid after April 1, 2024, for taxable year 2024 and after filers. The standard deduction increased from $8,000 to $8,500.

Attention: For more information, refer to https://www.tax.virginia.gov/sites/default/files/vatax-pdf/employer-withholding-tables.pdf.

This enhancement requires the following:

• cp81_dbc_810_11301_001.zip

• cp81_dbc_810_11372_001.zip

• DeltekCostpointMaintenanceRelease_8.1.22.5012.exe

California Pay Data Reporting requirements were updated for the 2023 reporting year due May 8, 2024. Employers must now report whether employees worked remotely during the snapshot period. The new data to be reported includes:

• Number of employees that do not work remotely

• Number of remote employees located within California

• Number of remote employees located outside of California

For Labor Contractor Employee Reports, reporting “unknown” race/ethnicity or sex of a labor contractor employee is no longer permitted.

Attention: For more information, see: https://calcivilrights.ca.gov/wp-content/uploads/sites/32/2021/01/CA-Pay-Data-Reporting-User-Guide.pdf

 

Print EEO-1 Report (HAREEO1)

The Payroll Employee Report and the Labor Contractor Employee Report for California Pay Data now display the following:

• Number of employees that do not work remotely

• Number of remote employees located within California

• Number of remote employees located outside of California

A warning message will display in the California Pay Data Warning Report if employees in the Labor Contractor Employee Report belong to one of the following Race/Ethnicity/Sex code.

• U10 - Unknown Race/Ethnicity, Known Male

• U20 - Unknown Race/Ethnicity, Known Female

• U30 - Unknown Race/Ethnicity, Known Non-binary

• UU - Unknown Race/Ethnicity, Unknown Sex

 

Manage Employee Salary Information (LDMEHIS)

The following field was added on the HR Information tab of the Manage Employee Salary Information screen:

Field

Description

California Pay Data Reporting Remote Worker Status

From the drop-down list, select the employee’s remote worker status for California Pay Data Reporting purposes. Ensure that the information is true for the snapshot period you normally use for the California Pay Data Report. Does not work remotely: This is a non-remote employee assigned to a California establishment during the snapshot period. This is the default value. Remote employee located within California: This is a remote employee assigned to a California or non-California establishment whose state of residence is California during the snapshot period. Remote employee located outside California: This is a remote employee assigned to a California establishment whose state of residence is not in California during the snapshot period. This field will be used in the California Pay Data Report on the Print EEO-1 Report (HAREEO1) application.

 

Note: The California Pay Data Reporting Remote Worker Status field has been also added to the following screens:

• Salary Details subtask of the Manage Employee Information screen

• View Salary Information and History screen

 

Print Data Dictionary Report (SYRDD)

The Print Data Dictionary Report now provides information for the new CA_REMOTE_WORKER columns that have been added to the following database tables for this enhancement:

• EMPL_LAB_INFO

• EMPL_LAB_INFO_ADT

 

This enhancement requires the following:

• cp81_bundle_cye2023_003.zip

• cp81_cmnlib_ldmeinfolib_005.zip

• cp81_dbc_810_11341_001.zip

• cp81_hareeo1_002.zip

• cp81_ldmehis_001.zip

• cp81_ldmeinfo_004.zip

• cp81_prqehis_001.zip 

• DeltekCostpointMaintenanceRelease_8.1.22.5012.exe

• Deltekcostpointmaintenancerelease_8.1.23.5001.exe

Vermont created a new payroll tax called the Child Care Contribution to fund its Child Care Financial Assistance Program under a bill that will partially go into effect on July 1, 2024.

• The payroll tax is 0.44% of an employee’s covered wages, or 0.11% of a self-employed individual’s self-employment income.

• Employers are responsible for at least three-quarters of the tax but can choose to pay more.

• Employers may deduct one quarter of the tax, or 0.11%, from employees’ wages.

• Employers are responsible for withholding the employees' share.

• Under the bill, the tax applies to employers that are required to withhold Vermont income tax from employee wages and to employees who have Vermont income tax withheld from their wages.

• Employers must remit the tax to the state tax department using the same requirements as Vermont’s income tax, including the time and manner of payment.

• Wages subject to federal income tax withholding are subject to the tax.

The bill holds employers responsible for the full amount of any unpaid contributions.

To support the state requirements, Costpoint now provides the abilty to set up, withhold, and report Vermont’s Child Care Contribution payroll tax.

Attention: For more information, see: https://legislature.vermont.gov/Documents/2024/Docs/ACTS/ACT076/ACT076%20As%20Enacted.pdf

 

Manage Local Taxes (PRMLTI)

You can now select Child Care Contribution Tax option from the Tax Type drop-down list when you set up the new payroll tax for Vermont.

New validations were added for the W-2 reporting setup of Vermont Child Care Contribution payroll tax.

 

Set Up the Employee-Paid Vermont Child Care Contribution Payroll Tax

Use the following steps to create an employee-paid local tax record for Vermont's Child Care Contribution Payroll Tax.

1. On the Manage Local Taxes screen, enter a local tax code to represent the employee-paid Child Care Contribution Payroll Tax and set other local values as needed.

Field	Description
Locality	Enter a local tax code that represents the employee-paid Child Care Contribution Payroll Tax.
State	Enter VT.
Tax Paid By	Select Employee.
Tax Type	Select Child Care Contribution Tax. Note: If this option is not yet available, you may select Other Income Tax temporarily and then replace it with Child Care Contribution Tax (once available).
W-2 Box 14 Usage	Select which line number to print Child Care Contribution withheld.
Box 14 Description	Enter CCC.
Local Tax Details	Effective Date: 07/01/2024 Tax Based On: Gross Pay

2. On the Manage Local Tax Tables screen, add a record for the employee-paid Child Care Contribution Payroll Tax local tax code and enter the corresponding field values for each filing status.

Field	Description
Effective Date	Enter 07/01/2024.
For Taxable Income Over	Enter 0.00.
Base Tax Plus	Enter 0.00.
Percent of Excess	Enter 0.11%.

Note: An employer may choose to withhold up to one-quarter of the Child Care Contribution from an employee's wages. The total CCC payroll tax on wages is 0.44% (or 0.0044), which means that the maximum an employer may elect to withhold from an employee is 0.11% (or 0.0011) of the employee's wages.

3. On the Manage Local Standard Deductions screen, add a record for the employee-paid Child Care Contribution Payroll Tax local tax code for 07/01/2024 and set all values to 0.00.

4. On the Manage Employee Taxes screen, assign the employee-paid local tax code to applicable employees.

 

Set Up Employer-Paid Vermont Child Care Contribution Payroll Tax

Use the following steps to create an employer-paid local tax record for Vermont's Child Care Contribution Payroll Tax.

1. On the Manage Local Taxes screen, enter a local tax code to represent the employee-paid Child Care Contribution Payroll Tax and set other local values as needed.

Field	Description
Locality	Enter a local tax code that represents the employee-paid Child Care Contribution Payroll Tax.
State	Enter VT.
Tax Paid By	Select Employer.
Tax Type	Select Child Care Contribution Tax. Note: If this option is not yet available, you may select Other Income Tax temporarily and then replace it with Child Care Contribution Tax (once available).
W-2 Box 14 Usage	Not Applicable. Only the employee-paid amount is reported on the W-2 form. The employer should report the portion of CCC withheld from the employee for the tax year on Box 14 of the employee's W-2.
Box 14 Description	Blank
Local Tax Details	Effective Date: 07/01/2024 Tax Based On: Gross Pay

2. On the Manage Local Tax Tables screen, add a record for the employer-paid Child Care Contribution Payroll Tax local tax code and enter the corresponding field values for each filing status.

Field	Description
Effective Date	Enter 07/01/2024.
For Taxable Income Over	Enter 0.00.
Base Tax Plus	Enter 0.00.
Percent of Excess	Enter 0.33%.

Note: Employers are responsible for at least three-quarters of the tax but can choose to pay more.

3. On the Manage Local Standard Deductions screen, add a record for the employer-paid Child Care Contribution Payroll Tax local tax code for 07/01/2024 and set all values to 0.00.

4. On the Manage Employee Taxes screen, assign the employer-paid local tax code to applicable employees.

 

This enhancement requires the following:

• cp81_bundle_CYE2023_003.zip

• cp81_prmlti_003.zip

• DeltekCostpointMaintenanceRelease_8.1.22.5012.exe

This Costpoint release adds tax table records effective January 1, 2024 on the Manage State Taxes screen for states where the unemployment-taxable wage base has been updated for tax year 2024.

 

West Virginia

The unemployment-taxable wage base increased from $9,000 to $9,521.

When Colorado Paid Family Leave Reporting was added, the state defined wages as SUTA eligible wages. Colorado later changed the wages definition to gross wages. This enhancement updates the Create Quarterly Family and Medical Leave File (LDPPFML) screen to support Colorado’s latest requirements.

Note: For more information, refer to: https://content.govdelivery.com/accounts/CODLE/bulletins/3705eb4

 

Create Quarterly Family and Medical Leave File

The calculations for Colorado FAMLI subject wages were updated to use gross wages. The report and application logic will now use total gross wages, instead of total SUTA subject wages, in the TotalWagesThisPeriod column.

Warning: You must update your existing FAMLI deduction setup, whether you created a local tax or a deduction for this purpose.

• If you created a local tax, you must update the existing Colorado FAMLI record on the Manage Local Taxes screen and select Gross Pay instead of SUTA Subject Wages in the Tax Based On field. You can also enter a new local tax that is calculated on gross pay. You may exclude pay types from the subject wages by entering that pay type on the Local Taxes subtask of the Manage Pay Type Taxability screen. Severance pay types will have to be excluded from subject wages.

• If you created a deduction, you must update the existing Colorado FAMLI deduction on the Manage Deductions screen and select PCTGRS in the Computation Method field. You can also enter a new deduction. You can exclude any pay types from the subject wages by entering them on the Manage Deduction Modify Codes screen. Severance pay types will have to be excluded from subject wages.

 

This enhancement requires the following:

• cp81_ldppfml_002.zip

• deltekcostpointmaintenancerelease_8.1.22.5012.exe

Currently, there is no indication when the District of Columbia will transition to the new file format (DCETS Wage File Format) from the old ESSP Wage File Format. For now, the Costpoint Create Quarterly SUTA Tax File screen has been updated to continue supporting the ESPP Wage File Format for 2024 reporting. The new DCETS Wage File Format will be automatically applied in Costpoint for payroll year 2025.

This enhancement requires the following:

• cp81_prpsmm_003.zip

• cp81_bundle_CYE2023_003.zip

• DeltekCostpointMaintenanceRelease_8.1.22.5012.exe

The State of Iowa revised the IA W-4 (Employee Withholding Allowance Certificate) for 2024. The revised form requires employees to enter a dollar allowance amount, rather than the number of allowances. The withholding formula has also been updated to base the standard deduction on the allowance amount claimed by the employee in the revised IA W-4 instead of the number of allowances.

To calculate Iowa’s state withholding taxes correctly, MR 8.1.29 introduces changes to Costpoint’s Compute Payroll process. Before running the Compute Payroll process, employers should instruct Iowa employees to update the Credit Amount on the State Withholding screen in Employee Self Service or instruct employees to file a paper IA W-4 so the Manage Employee Taxes screen can be manually updated with the new information.

Effective January 1, 2024, Iowa updated their withholding formula with the following:

• The withholding formula now uses three tax brackets of 4.4%, 4.82%, and 5.7%, instead of the four used in 2023.

• The state standard deduction amount depends on the state allowances (Credit Amount) claimed.

• The standard deduction amounts increased to $14,600 or $29,200 annually, up from $13,850 or $27,700.

 

Manage State Standard Deductions (PRMSSD)

• HR/Payroll Administrators can now base the standard deduction amount on the state Credit Amount assigned to the employee in Manage Employee Taxes.

• The following field was added to the screen:

Field	Description
Credit Amount	If the state allows a credit amount (reduction in the tax), enter credit amount basis for the standard deduction. For example, Iowa bases the standard deduction amount on the allowance amount (Credit Amount) claimed by the employee on the IA W-4. As of January 1, 2024, if the employee’s Credit Amount is less than $80, the standard deduction will be $14,600; otherwise, it will be $29,200.

 

Compute Payroll (PRPCPR)

The application was updated based on the new Iowa withholding formula. When you compute payroll for an Iowa employee, the process will now:

• Apply the standard deduction using the employee’s state credit amount as basis.

• Deduct the employee’s state credit amount from the annualized state tax liability.

 

Manage Payroll Records (PRMPTF)

The application was updated based on the new Iowa withholding formula. When you recalculate a record for an employee with Iowa withholding, the process will now:

• Apply the standard deduction using the employee’s state credit amount as basis.

• Deduct the employee’s state credit amount from the annualized state tax liability.

The following field was added to the State Taxes subtask:

Field	Description
Credit Amount	This field displays the state credit amount used to calculate the employee’s Iowa state tax withholding. This is the Credit Amount assigned to the employee on the Manage Employee Taxes screen when payroll was computed.

 

Manage Employee Earnings History (PRMERF)

The following field was added to the State Taxes subtask:

Field	Description
Credit Amount	This field displays the state credit amount used to calculate the employee’s Iowa state tax withholding. This is the Credit Amount assigned to the employee on the Manage Employee Taxes screen when payroll was computed.

 

View Payroll Edit Table (PRQPTF)

The following field was added to the State Taxes subtask:

Field	Description
Credit Amount	This field displays the state credit amount used to calculate the employee’s Iowa state tax withholding. This is the Credit Amount assigned to the employee on the Manage Employee Taxes screen when payroll was computed.

 

Post Payroll Journal (PRPPPCLS)

The application now includes the employee’s state credit amount when you run the Post Payroll process.

 

Print Soc Sec and Medicare Reconciliation Report (PRRFICA)

The dynamic tables used by the application were updated.

 

Print Quarterly Federal Payroll Tax Report (PRRFDTAX)

The dynamic tables used by the application were updated.

 

Recompute Taxable Wages (PRPRCOMP)

If you select the State checkbox in the Apply Employee’s Current Taxability group box, the application includes the employee’s state credit amount when recomputing state taxable wages.

 

Void/Replace Posted Paychecks (PRPAVCK)

When you run the Void/Replace Posted Paychecks process, the application populates the employee’s state credit amount on the Manage Payroll Records screen for void and replacement checks (V and W records).

 

Tax Table Updates

To support the state requirements, this release adds 01/01/2024 Iowa records with 2024 values on the following screens:

• Manage State Taxes (PRMSTI)

• Manage State Standard Deductions (PRMSSD)

• Manage State Tax Withholding Adjustments (PRMSTAC)

• Manage State Tax Tables (PRMSTT)

 

Filing Status Updates

Iowa updated their marital status options with the release of their 2024 IA W-4 employee withholding allowance certificate. To accommodate the new statuses, Costpoint MR 8.1.29 was updated as follows:

• Added new HEAD OF HOUSEHOLD filing status

• Changed the description for the SINGLE filing status from “Single” to “Other”

• Changed the description for the MARRIED filing status from “Married” to “Married Filing Jointly”

If your employees use Costpoint Employee Self Service (ESS) to update their state tax information, Deltek recommends you assign the new HEAD OF HOUSEHOLD status to Iowa on the Configure State Tax Settings screen and update the filing status descriptions for the MARRIED (Married Filing Jointly) and SINGLE (Other) filing statuses to be consistent with the 2024 IA W-4.

 

This enhancement requires the following:

• cp81_cmnlib_cpcpr_004.zip

• cp81_cmnlib_ldmeinfolib_004.zip

• cp81_prmerf_003.zip

• cp81_prmssd_001.zip

• cp81_prmptf_004.zip

• cp81_prpavck_003.zip

• cp81_prpcpr_003.zip

• cp81_prpppcls_004.zip

• cp81_prprcomp_003.zip

• cp81_prqerf_003.zip

• cp81_prqetax_003.zip

• cp81_prqptf_003.zip

• cp81_prrfdtax_002.zip

• cp81_dbc_810_11301_001.zip

• cp81_dbc_810_11311_001.zip

• cp81_bundle_CYE2023_003.zip

• DeltekCostpointMaintenanceRelease_8.1.22.5012.exe

To support New Jersey’s latest NJ-927 quarterly reporting requirements, the following were added to the Print Local Withholding Report (PRRLCWH):

• Subject Wages and Excess Wages to the existing report

• Quarter field as a parameter in the Selection Ranges group box

Note: This Costpoint update removes the following from the Query options:

• Payroll Year Option

• Taxable Entity Option

This enhancement requires the following:

• cp81_dbc_810_11333_001.zip

• cp81_prrlcwh_001.zip

• deltekcostpointmaintenancerelease_8.1.22.5012.exe

The ICESA Washington Bulk Format Specification S Record layout was updated with a new field in positions 221-275 to report the employee’s job title. To support the latest change to the state’s file format, the Create Quarterly SUTA Tax File screen and Export Payroll Taxes screen have been updated.

 

Create Quarterly SUTA Tax File (PRPSMM)

The application now populates positions 221-275 of Washington’s S Record with the employee’s detail job title description.

 

Export Payroll Taxes (PRPEXTAX)

The tax file has been updated as follows:

• A new Field 91 has been added to all ET records.

• The new Field 91 will be populated with the employee’s job title description in the SUTA record.

Attention: For more information, see: https://media.esd.wa.gov/esdwa/Default/ESDWAGOV/employer-Taxes/ICESA-bulk-filing-specs.pdf.

 

This enhancement requires the following:

• cp81_prpextax_002.zip

• cp81_prpsmm_003.zip

• cp81_bundle_CYE2023_003.zip

• DeltekCostpointMaintenanceRelease_8.1.22.5012.exe

This Costpoint release adds tax table records effective January 1, 2024 on the Manage State Taxes screen for states where the unemployment-taxable wage base has been updated for tax year 2024.

 

North Carolina

The unemployment-taxable wage base increased from $29,600 to $31,400.

 

Hawaii

The unemployment-taxable wage base increased from 56,700 to $59,100.

 

Idaho

The unemployment-taxable wage base increased from 49,900 to $53,500.

 

Kentucky

The unemployment-taxable wage base increased from 11,100 to $11,400.

 

New Mexico

The unemployment-taxable wage base increased from $30,100 to $31,700.

 

Oklahoma

The unemployment-taxable wage base increased from $25,700 to $27,000.

 

Virgin Islands

The unemployment-taxable wage base increased from 30,200 to $31,000.

 

This enhancement requires the following:

• Patch dbc_810_11297

• Patch dbc_810_11294

The tax tables of Guam were updated based on 2024 federal tax tables.

To support the state requirements, Costpoint adds updated records to the following screens:

• Manage State Standard Deductions (PRMSSD)

• Manage State Tax Tables (PRMSTT)

• Manage State Tax Withholding Adjustments (PRMSTAC)

• Manage State Taxes (PRMSTI)

Attention: For more information, refer to https://www.irs.gov/forms-pubs/about-publication-15-t.

This enhancement requires the following:

• Patch dbc_810_11312

• cp81_bundle_CYE2023_003.zip

• DeltekCostpointMaintenanceRelease_8.1.22.5012.exe

The value of a state allowance increased from $2,425 to $2,775.

To support the state requirements, this update adds records to the following screens:

• Manage State Taxes (PRMSTI)

• Manage State Tax Withholding Adjustments (PRMSTAC)

• Manage State Standard Deductions (PRMSSD)

• Manage State Tax Tables (PRMSTT)

This enhancement requires the following:

• Patch dbc_810_11294

• cp81_bundle_CYE2023_003.zip

• DeltekCostpointMaintenanceRelease_8.1.22.5012.exe

The State of Iowa provided the revised IA-W4 (Employee Withholding Allowance Certificate) for 2024. The revised form requires employees to enter a dollar credit amount. The standard deduction will now depend on the allowance amount claimed by the employee in the revised IA-W4 instead of the number of allowances.

To calculate Iowa’s state withholding taxes correctly, the upcoming MR 8.1.29 will introduce changes to Costpoint Compute Payroll process. Before you apply the payroll computation changes, you can install MR 8.1.28, which applies changes to multiple Costpoint screens that will enable Iowa employees to update their W-4 information.

 

State Withholding (ESMSTATEWH)

• A new Credit Amount field was added to the State Withholding and Other Withholding State(s) to store the employee’s state credit amount.

Field	Description
Credit Amount	Enter the total state credit amount. For Iowa, if you are not exempt, then this is the total allowance amount on 2024 IA W-4. This field is enabled for Iowa only.

• The application populates the new column on the EMPL_TAX_ADT table that is used to track changes to the state credit amount.

Note: In addition to the changes for Iowa, the references to WH-4 line numbers were removed from the screen’s information message on adopted child exemption. The updates on the State Withholding screen also apply to the State Withholding tab on the Life Events/New Hires screen.

 

Manage Employee Taxes (PRMETAX)

• A new Credit Amount field was added to the State tab and Multi-State Taxes subtask to store the employee’s state credit amount. This field will be enabled only if the Withholding State is Iowa.

Field

Description

Credit Amount

If the state allows a credit amount (reduction in the tax), enter the employee's credit amount. The field does not provide a default credit amount value since you must update this field based on the W-4 Form. For example, Iowa allows a credit amount beginning January 1, 2024 and you will need to enter the credit amount based on the 2024 IA W-4 Form. According to the Iowa Department of Revenue website: "Employers who expect to receive updated W-4 forms from employees using the 2024 IA-W-4 form, but who have not yet received the updated W-4 form, may temporarily use $40 as the total allowance amount and $0 as the additional withholding amount when calculating these employees’ withholding amounts. Alternatively, for employees who have furnished Form W-4 in any year before 2024, employers may continue to compute withholding based on the information from the employee's most recently furnished Form W-4 but, if they do, must make the following modification: Multiply the number of allowances claimed on line 6 of the pre-2024 W-4 by $40 to determine the amount of allowances. For example, if an employee claims 6 total allowances on a 2023 IA W-4, when calculating the 2024 Iowa withholding the employer should use $240 (6*$40) of total allowances." This field is enabled for Iowa only.

• Populate the new column in the EMPL_TAX_ADT table with changes to the State Credit Amount field.

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

 

View Employee Taxes (PRQETAX)

• A new Credit Amount field was added to the State tab and Multi-State Taxes subtask to store the employee’s state credit amount. This field will be enabled only if the Withholding State is Iowa.

Field	Description
Credit Amount	This field displays the employee's state credit amount.

• A column was added to the EMPL_TAX_ADT table to track changes to the new State Credit Amount column in the EMPL_TAX table.

 

Print Data Dictionary Report (SYRDD)

The report now provides information for the new State Credit Amount (ST_CREDIT_AMT) column in the following tables.

• EMPL_TAX

• EMPL_TAX_ADT

• EMPL_TAX_MULTI

• EMPL_TAX_MULTI_ADT

 

This enhancement requires the following:

• cp81_bundle_CYE2023_003.zip

• cp81_cmnlib_benefitslib_003.zip  

• cp81_cmnlib_ldmeinfolib_003.zip 

• cp81_dbc_810_11293_001.zip

• cp81_ldmeinfo_003.zip

• DeltekCostpointMaintenanceRelease_8.1.22.5012.exe

Three Maryland counties made changes to their income tax rates for 2024.

 

Cecil County

The local tax rate decreased from 2.8% to 2.75%.

 

Anne Arundel County

For taxpayers with filing statuses of Single, Married Filing Separately, or Dependent, the local tax rates are as follows:

1. .0270 of Maryland taxable income of $1 through $50,000;

2. .0281 of Maryland taxable income of $50,001 through $400,000; and

3. .0320 of Maryland taxable income of over $400,000

For taxpayers with filing statuses of Married Filing Jointly, Head of Household, or Qualified Surviving Spouse, the local tax rates are as follows:

1. .0270 of Maryland taxable income of $1 through $75,000;

2. .0281 of Maryland taxable income of $75,001 through $480,000; and

3. .0320 of Maryland taxable income of over $480,000

 

Frederick County

For taxpayers with filing statuses of single, married filing separately, and dependent taxpayer, the local tax rates are as follows:

1. .0225 for taxpayers who have a net taxable income between $1 and not exceeding $25,000;

2. .0275 for taxpayers who have a net taxable income between $25,001 and not exceeding $50,000;

3. .0296 for taxpayers who have a net taxable income between $50,001 and not exceeding $150,000; and

4. .0320 for taxpayers who have a net taxable income of $150,001 or more

For taxpayers with filing statuses of married filing jointly, head of household, or qualified surviving spouse, the local tax rates are as follows:

1. .0225 for taxpayers who have a net taxable income between $1 and not exceeding $25,000;

2. .0275 for taxpayers who have a net taxable income between $25,001 and not exceeding $100,000;

3. .0296 for taxpayers who have a net taxable income between $100,001 and not exceeding $250,000; and

4. .0320 for taxpayers who have a net taxable income of $250,001 or more

The minimum and maximum standard deduction increased to $1,800 and $2,700 annually, up from $1,700 and $2,550.

 

To support the state requirements, this update adds records to the following screens:

• Manage State Taxes (PRMSTI)

• Manage State Tax Withholding Adjustments (PRMSTAC)

• Manage State Standard Deductions (PRMSSD)

• Manage State Tax Tables (PRMSTT)

Attention: For more information, see: https://www.marylandtaxes.gov/forms/24-forms/Withholding-Guide.pdf.

This enhancement requires the following:

• Patch dbc_810_11296

• cp81_bundle_CYE2023_003.zip

• DeltekCostpointMaintenanceRelease_8.1.22.5012.exe

The following state tax updates are effective 01/01/2024:

• The surtax, which is 4% on income of more than $1,053,750 for 2024, has been included in the withholding method.

• The amounts that could be added to state allowances for heads of households or blindness were removed, leaving only amounts that can instead be subtracted from the tax owed by heads of households or blind individuals.

• A similar percentage method applies to pension or annuity payments with the same surtax threshold.

To support the state requirements, this update adds records to the following screens:

• Manage State Taxes (PRMSTI)

• Manage State Tax Withholding Adjustments (PRMSTAC)

• Manage State Standard Deductions (PRMSSD)

• Manage State Tax Tables (PRMSTT)

Attention: For more information, see: https://www.mass.gov/doc/massachusetts-circular-m-income-tax-withholding-tables-at-50-effective-january-1-2024/download.

This enhancement requires the following:

• Patch dbc_810_11294

• cp81_bundle_CYE2023_003.zip

• DeltekCostpointMaintenanceRelease_8.1.22.5012.exe

The following state tax updates are effective 01/01/2024:

• The state plans to return its flat income tax rate to 4.25% in 2024 after it decreased in 2023.

• The value of a state allowance increased from $5,400 to $5,600.

• The withholding rate is 4.25% of compensation after deducting the personal and dependency exemption allowance.

To support the state requirements, this update adds records to the following screens:

• Manage State Taxes (PRMSTI)

• Manage State Tax Withholding Adjustments (PRMSTAC)

• Manage State Standard Deductions (PRMSSD)

• Manage State Tax Tables (PRMSTT)

Attention: For more information, see: https://www.michigan.gov/taxes/business-taxes/withholding/calendar-year-tax-information.

This enhancement requires the following:

• Patch dbc_810_11296

• cp81_bundle_CYE2023_003.zip

• DeltekCostpointMaintenanceRelease_8.1.22.5012.exe

The following state tax updates are effective 01/01/2024:

• The value of a state allowance increased from $4,800 to $5,050.

• The tax brackets used in the percentage method were adjusted.

To support the state requirements, this update adds records to the following screens:

• Manage State Taxes (PRMSTI)

• Manage State Tax Withholding Adjustments (PRMSTAC)

• Manage State Standard Deductions (PRMSSD)

• Manage State Tax Tables (PRMSTT)

Attention: For more information, refer to: https://www.revenue.state.mn.us/sites/default/files/2023-12/wh-inst-24_1.pdf.

This enhancement requires the following:

• Patch dbc_810_11294

• cp81_bundle_CYE2023_003.zip

• DeltekCostpointMaintenanceRelease_8.1.22.5012.exe

The flat tax rate decreased from 5%. to 4.7% for 2024.

To support the state requirements, this update adds records to the following screens:

• Manage State Taxes (PRMSTI)

• Manage State Tax Withholding Adjustments (PRMSTAC)

• Manage State Standard Deductions (PRMSSD)

• Manage State Tax Tables (PRMSTT)

Attention: For more information, see: https://www.dor.ms.gov/sites/default/files/Business/Computer%20Payroll%20Flowchart%20-%2009-26-23.pdf.

This enhancement requires the following:

• Patch dbc_810_11294

• cp81_bundle_CYE2023_003.zip

• DeltekCostpointMaintenanceRelease_8.1.22.5012.exe

New Jersey updated their 1095-C reporting requirements to require all employers (non-self-insured and self-insured) to report 1095- C Part 3 for their New Jersey employees. Previously, only self-insured employers had to report that information.

This release updates Costpoint applications to comply with New Jersey’s latest 1095-C requirements.

 

Create 1094-C and 1095-C Data (HBP109XC)

The following updates were applied to the Create 1094-C and 1095-C Data screen:

• The application will populate Part III (covered individuals) for New Jersey employees working for non-self-insured employers. Parts I, II, and III will be created for new employees.

• Costpoint populates the FED_EXCLUDE_PART3_FL field on the HB_1095C_COVERED tables to indicate that Part III has been populated for a New Jersey employee for a non-self-insured employer.

 

Create 1094-C and 1095-C Electronic File (HBP1094C)

The following updates were applied to the Create 1094-C and 1095-C Electronic File screen:

• The application can now generate the pipe-delimited file layout for New Jersey employees. For the federal file, the application will not include any Part III data for NJ employees whose employers are not self-insured.

• You can now select New Jersey from the State drop-down list in the Government Agency group-box.

 

Manage 1095-C Data (HBM1095C)

The following updates were applied to the Manage 1095-C Data screen:

• Part III (covered individuals) is now fully editable for NJ employees with non-self-insured employers, if applicable.

• A new checkbox was added to the Part III – Covered Individuals subtask.

Field	Description
Exclude from Part III in Federal Filing	This checkbox indicates if the Part III data will be excluded in the federal filing. A Part III record is created for New Jersey employees with a non-self-insured employer plan. This data is reported to New Jersey but should not be included in the federal filing.

• The following message displays for New Jersey on Part III – Covered Individuals subtask: “Part III data should not be added for non-self-insured employer plans unless the reporting state is New Jersey.”

 

Print 1095-Cs (HBR1095C)

The Print 1095-Cs screen fully supports printing reports for New Jersey employees with non-self-insured employers.

 

Print Data Dictionary Report (SYRDD)

The report now provides information for the new FED_EXCLUDE_PART3_FL field on the HB_1095C_COVERED table.

 

Attention: For more information, see: https://www.nj.gov/treasury/njhealthinsurancemandate/employers.shtml.

This enhancement requires the following:

• cp81_dbc_810_11300_001.zip

• cp81_hbm1095c_001.zip

• cp81_hbp1094c_002.zip

• cp81_hbr1095c_003.zip

• cp81_hbp109xc_001.zip

• cp81_bundle_CYE2023_003.zip

• DeltekCostpointMaintenanceRelease_8.1.22.5012.exe

The tax brackets used in the percentage method were adjusted.

To support the state requirements, this update adds records to the following screens:

• Manage State Taxes (PRMSTI)

• Manage State Tax Withholding Adjustments (PRMSTAC)

• Manage State Standard Deductions (PRMSSD)

• Manage State Tax Tables (PRMSTT)

Attention: For more information, see: https://www.tax.nd.gov/sites/www/files/documents/forms/business/it-withholding/income-tax-withholding-rates-and-instructions-booklet.pdf.

This enhancement requires the following:

• Patch dbc_810_11294

• cp81_bundle_CYE2023_003.zip

• DeltekCostpointMaintenanceRelease_8.1.22.5012.exe

The Oregon Department of Revenue (DOR) issued guidance on withholding tax formulas, effective January 1, 2024.

• The federal tax adjustment amount increased from $7,800 to $8,250 for an employee with annual wages up to $50,000.

• The federal tax adjustment phase out amounts for an employee with annual wages of $50,000 or greater has changed in 2024.

• The tax table has changed for an employee with annual wages up to $50,000.

• The tax table has changed for an employee with annual wages $50,000 or higher.

• The allowance amount increased from $236 to $249.

• The standard deduction amount increased from $2,605 to $2,745 for an employee filing Single with fewer than 3 allowances.

• The standard deduction amount increased from $5,210 to $5,495 for an employee filing Single with 3 or more allowances.

• The standard deduction amount increased from $5,210 to $5,495 for an employee filing Married.

To support the state requirements, this update adds records to the following screens:

• Manage State Taxes (PRMSTI)

• Manage State Tax Withholding Adjustments (PRMSTAC)

• Manage State Standard Deductions (PRMSSD)

• Manage State Tax Tables (PRMSTT)

Attention: For more information, see: https://www.oregon.gov/dor/programs/businesses/Documents/withholding-tax-formulas_206-436_2024.pdf.

This enhancement requires the following:

• Patch dbc_810_11296

• cp81_bundle_CYE2023_003.zip

• DeltekCostpointMaintenanceRelease_8.1.22.5012.exe

The tax tables of Virgin Islands were updated based on 2024 federal tax tables.

To support the state requirements, Costpoint adds updated records to the following screens:

• Manage State Standard Deductions (PRMSSD)

• Manage State Tax Tables (PRMSTT)

• Manage State Tax Withholding Adjustments (PRMSTAC)

• Manage State Taxes (PRMSTI)

Attention: For more information, refer to https://www.irs.gov/forms-pubs/about-publication-15-t.

This enhancement requires the following:

• Patch dbc_810_11312

• cp81_bundle_CYE2023_003.zip

• DeltekCostpointMaintenanceRelease_8.1.22.5012.exe

This Costpoint release adds tax table records effective January 1, 2024 on the Manage State Taxes screen for states where the unemployment-taxable wage base has been updated for tax year 2024.

 

Alaska

The unemployment-taxable wage base increases from $47,100 to $49,700.

 

Colorado

The unemployment-taxable wage base increases from 20,400 to $23,800.

 

Illinois

The unemployment-taxable wage base increases from $13,271 to $13,590.

 

Minnesota

The unemployment-taxable wage base increases from $40,000 to $42,000.

 

Montana

The unemployment-taxable wage base increases from $40,500 to $43,000.

 

North Dakota

The unemployment-taxable wage base increases from $40,800 to $43,800.

 

Oregon

The unemployment-taxable wage base increases from $50,900 to $52,800.

 

Rhode Island

The unemployment-taxable wage base increases:

• From $29,700 to $30,700 for employers assigned the highest tax rate.

• From $ 28,200 to $29,200 for all other employers.

 

Utah

The unemployment-taxable wage base increases from $44,800 to $47,000.

 

This enhancement requires the following:

• cp81_bundle_CYE2023_003.zip

• Patch dbc_810_11271

• Patch dbc_810_11274

• Patch dbc_810_11280

• Patch dbc_810_11285

Arkansas provided the following tax updates for 2024:

• The highest rate decreases from 4.7%. to 4.4%.

• The standard deduction used in the formula increases from $2,270 to $2,340.

• The Formula Method for computing the amount of withholding was updated.

To support the state requirements, this release updates the tax calculation in Payroll and adds new records on the following screens for Arkansas:

• Manage State Taxes (PRMSTI)

• Manage State Standard Deductions (PRMSSD)

• Manage State Tax Tables (PRMSTT)

• Manage State Tax Withholding Adjustments (PRMSTAC)

• Manage Payroll Records (PRMPTF)

• Compute Payroll (PRPCPR)

Attention: For more information, refer to: https://www.dfa.arkansas.gov/images/uploads/incomeTaxOffice/whformula_2023.pdf

This enhancement requires the following:

• Patch dbc_810_11263

• cp81_bundle_CYE2023_003.zip

The following state tax updates are effective 01/01/2024:

• For employees with a federal filing status of married filing jointly or qualifying surviving spouse, the standard deduction amount increases from $9,000 to $10,000.

• For all other filing statuses, the standard deduction amount increases from $4,500 to $5,000.

Attention: For more information, see:

• Colorado Employee Withholding Certificate: https://tax.colorado.gov/DR0004

• Withholding Worksheet: https://tax.colorado.gov/sites/tax/files/documents/DR1098_2023.pdf

To support the state requirements, this update adds records/changes to the following screens:

• Manage State Taxes (PRMSTI)

• Manage State Tax Withholding Adjustments (PRMSTAC)

• Manage State Standard Deductions (PRMSSD)

• Manage State Tax Tables (PRMSTT)

• State Withholding (ESMSTATEWH)

• Life Events/New Hires (ESMLIFEEVENT)

This enhancement requires the following:

• cp81_bundle_CYE2023_003.zip

• Patch dbc_810_11273

The following state tax updates are effective 01/01/2024:

• The two lowest tax rates in the withholding calculation rules were reduced to 2% and 4.5%, instead of 3% and 5%, for all withholding codes.

• The Phase-Out Add-Back tax rate decreases from 3% to 2%.

• The Tax Recapture table has been updated.

To support the state requirements, this update adds records to the following screens:

• Manage State Taxes (PRMSTI)

• Manage State Tax Withholding Adjustments (PRMSTAC)

• Manage State Standard Deductions (PRMSSD)

• Manage State Tax Tables (PRMSTT)

This enhancement requires the following:

• cp81_bundle_CYE2023_003.zip

• Patch dbc_810_11273

Florida has added schema version 1.3 for 2023. Costpoint now supports Florida’s updated Reemployment Tax XML package, in which the pattern [ -)|+-ÿ]+ has been replaced with ([A-Za-z0-9'\-] ?)[ -)|+-ÿ]+ for the name fields, address fields, and title field.

The Create Quarterly SUTA Tax File screen was updated to comply with Florida’s XML requirements.

Attention: Please refer to the RT_changes.xlsx file in the Reemployment Tax XML Package for all the changes from version 1.2.

This enhancement requires the following:

• cp81_bundle_CYE2023_003.zip

The following state tax updates are effective 01/01/2024:

• The 2024 withholding methods use a flat tax rate of 5.49%.

• The graduated tax rates used for supplemental payments were mostly unchanged, except the highest rate decreased from 5.75% to 5.49%.

• The standard deduction amount increases from $7,100 to $24,000 for employees that are Married Filing Joint Return.

• The standard deduction amount increases from $5,400 to $12,000 for employees that are Single or Head of Household.

• The standard deduction amount increases to $3,550 to $12,000 for employees that are Married Filing Separate Return.

• The personal allowance that depended on filing status has been removed.

Attention: For more information, see: https://dor.georgia.gov/employers-tax-guide.

To support the state requirements, this update adds records to the following screens:

• Manage State Taxes (PRMSTI)

• Manage State Tax Withholding Adjustments (PRMSTAC)

• Manage State Standard Deductions (PRMSSD)

• Manage State Tax Tables (PRMSTT)

This enhancement requires the following:

• cp81_bundle_CYE2023_003.zip

• Patch dbc_810_11280

The Indiana Department of Revenue added a new exemption for qualifying dependents claimed for the first time. The new exemption is effective for withholding on or after September 15, 2023. Employees are entitled to deduct $1,500 per year per qualifying first-time dependent exemption claimed on line 7 of their Form WH-4.

Costpoint can now store the data on the employee’s first-time claimed additional dependent exemptions. You can now enter the employee’s first-time claimed additional dependent exemptions when calculating state and county tax for Indiana.

Attention: For more information, refer to:

• Departmental Notice #1: https://www.in.gov/dor/files/dn01.pdf

• Form WH-4: https://www.in.gov/dor/tax-forms/withholding-tax-forms/

 

Manage Employee Taxes (PRMETAX)

The following fields were added on the State tab, Multi-State Taxes subtask, and Local Taxes subtask of the Manage Employee Taxes screen:

Field	Description
First-time claimed dependents	Enter the number of additional dependent exemption being claimed for the first time. This exemption is good only for the calendar year in which the WH-4 claiming the exemption is submitted. The first-time claimed dependents year is required if the number of first-time claimed dependents is not zero. This field will be enabled only for the State of Indiana.
First-time claimed dependents year	Enter the year of the additional dependent exemption being claimed for the first time. The first-time claimed dependent exemption will be applied only in the year specified on this field. This field is required if the number of first-time claimed dependents is not zero and is only applicable for State of Indiana.

Note: These updates are also reflected on the Taxes subtask of the Manage Employee Information screen.

 

View Employee Taxes (PRQETAX)

The following fields were added on the State Withholding tab, Multi-State Taxes subtask, and Local Taxes subtask of the View Employee Taxes screen:

Field	Description
First-time claimed dependents	This field displays the number of additional dependent exemption being claimed for the first time.
First-time claimed dependents year	This field displays the year the additional dependent exemption is being claimed for the first time.

 

State Withholding (ESMSTATEWH)

The following fields were added on the main screen and on the Other Withholding State(s) subtask of the State Withholding screen:

Field	Description
Number of first-time claimed dependents	If an additional dependent exemption on Line 6 is being claimed for one or more children for the first time, enter the number of children for whom you are claiming. This exemption is good only for the calendar year in which the WH-4 claiming the exemption is submitted. If you claim this in multiple tax years, you must submit a new WH-4 each year for which this exemption is claimed. Do not claim this exemption if the child was eligible for the additional dependent exemption in any previous year, regardless of whether the exemption was claimed. This includes instances where the child was eligible for the additional dependent exemption before 2023. This also includes instances where the child was eligible to be claimed for the additional dependent exemption by another individual. This field will be enabled only for the State of Indiana.
First-time claimed dependents year	This field displays the year the additional dependent exemption is being claimed for the first time.

Note: These updates are also reflected on the State Withholding tab of the Life Events/New Hires screen.

 

Manage State Tax Withholding Adjustments (PRMSTAC)

You can now select First-Time Claimed Dependent Exemption from the Type drop-down list. When you select this this option, the screen sets the Wage Type to Gross Wages, and you can enter the Amount per Credit/Exemption value.

 

Manage Local Taxes (PRMLTI)

The following field was added in the Local Tax Details table of the Manage Local Taxes screen:

Field	Description
Exempt Amount First-Time Claimed Dependent	Enter the first-time claimed dependent exemption amount (used as a deduction from income) for the employee's first-time claimed dependents. The locality exemption allowance is used in the computation of the amount of locality income tax withheld from each employee paycheck.

 

Compute Payroll (PRPCPR)

The Compute Payroll process applies the following:

• Deduct first-time claimed dependent exemption amount for the applicable year when determining the annual state taxable wages.

• Deduct first-time claimed dependent exemption amount for the applicable year when determining the annual local taxable wages.

 

Manage Payroll Records (PRMPTF)

The Manage Payroll Records screen applies the following:

• Deduct first-time claimed dependent exemption amount for the applicable year when determining the annual state taxable wages.

• Deduct first-time claimed dependent exemption amount for the applicable year when determining the annual local taxable wages.

The following fields were added on the State Taxes and Local Taxes subtasks of the screen.

Field	Description
First-time claimed dependents	This field displays the number of additional dependent exemption being claimed for the first time.
First-time claimed dependents year	This field displays the year the additional dependent exemption is being claimed for the first time.

 

View Payroll Edit Table (PRQPTF)

The following fields were added on the State Taxes and Local Taxes subtasks of the View Payroll Edit Table screen.

Field	Description
First-time claimed dependents	This field displays the number of additional dependent exemption being claimed for the first time.
First-time claimed dependents year	This field displays the year the additional dependent exemption is being claimed for the first time.

 

Manage Employee Earnings History (PRMERF)

The following fields were added on the State Taxes and Local Taxes subtasks of the Manage Employee Earnings History screen.

Field	Description
First-time claimed dependents	This field displays the number of additional dependent exemption being claimed for the first time.
First-time claimed dependents year	This field displays the year the additional dependent exemption is being claimed for the first time.

 

View Employee Earnings (PRQERF)

The following fields were added on the State Taxes and Local Taxes subtasks of the View Employee Earnings screen.

Field	Description
First-time claimed dependents	This field displays the number of additional dependent exemption being claimed for the first time.
First-time claimed dependents year	This field displays the year the additional dependent exemption is being claimed for the first time.

 

Post Payroll Journal (PRPPPCLS)

The Post Payroll process now includes the number and the year of first-time claimed dependents.

 

Print Soc Sec and Medicare Reconciliation Report (PRRFICA)

The dynamic tables used by the Print Soc Sec and Medicare Reconciliation Report screen were updated to support this enhancement.

 

Print Quarterly Federal Payroll Tax Report (PRRFDTAX)

The dynamic tables used by the Print Quarterly Federal Payroll Tax Report screen were updated to support this enhancement.

 

Recompute Taxable Wages (PRPRCOMP)

The Recompute Taxable Wages process now includes the first-time claimed dependent exemption if you select the State checkbox in the Apply Employee’s Current Taxability group box.

 

Void/Replace Posted Paychecks (PRPAVCK)

The Void/Replace Posted Paychecks process now populates the number of first-time claimed dependents and its year on the Manage Payroll Records screen for void and replacement checks (V and W records).

 

Print Data Dictionary Report (SYRDD)

The report now provides information for the new columns that were added in the following tables:

• EMPL_TAX

• EMPL_TAX_ADT

• EMPL_TAX_MULTI

• EMPL_TAX_MULTI_ADT

• EMPL_PR_STATE

• EMPL_PR_STATE_ADT

• EMPL_EARN_STATE

• EMPL_E_STATE_ADT

• EMPL_TAX_LOCAL

• EMPL_TAX_LOCAL_ADT

• EMPL_PR_LOCAL

• EMPL_PR_LOCAL_ADT

• EMPL_EARN_LOCAL

• EMPL_E_LOCAL_ADT

• LOCAL_TAX_HS

This enhancement requires the following:

• cp81_bundle_CYE2023_003.zip

• Patch dbc_810_11254

• Patch dbc_810_11256

• Patch dbc_810_11260

The following state tax updates are effective 01/01/2024:

• The state withholding rate decreases from 3.15% to 3.05%.

• The employer is not required to withhold state or county income tax on some employees if the employee will work in Indiana for 30 days or less during the taxable year.

Attention: For more information, see: https://www.in.gov/dor/files/dn01.pdf.

To support the state requirements, this update adds records to the following screens:

• Manage State Taxes (PRMSTI)

• Manage State Tax Withholding Adjustments (PRMSTAC)

• Manage State Standard Deductions (PRMSSD)

• Manage State Tax Tables (PRMSTT)

This enhancement requires the following:

• cp81_bundle_CYE2023_003.zip

• Patch dbc_810_11285

The following state tax updates are effective 01/01/2024:

• The value of a state allowance increased from $4,700 to $5,000.

• The maximum standard deduction increased from $11,000 to $11,750 for single employees and from $24,850 to $26,350 for married employees.

• The standard deduction decreases according to a formula for single employees who earn more than $97,150 annually, up from $91,500, or for married employees who earn more than $194,300 annually, up from $183,050.

• The deduction reaches zero when a single employee earns at least $172,150 annually, up from $166,500, or when a married employee earns at least $344,300 annually, up from $333,050.

• The tax brackets used in the percentage method were also adjusted.

Attention: For more information, see: https://www.maine.gov/revenue/sites/maine.gov.revenue/files/inline-files/24_wh_tab_instr.pdf.

To support the state requirements, this update adds records to the following screens:

• Manage State Taxes (PRMSTI)

• Manage State Tax Withholding Adjustments (PRMSTAC)

• Manage State Standard Deductions (PRMSSD)

• Manage State Tax Tables (PRMSTT)

This enhancement requires the following:

• cp81_bundle_CYE2023_003.zip

• Patch dbc_810_11271

The RW record must now be included in the electronic file according to the 2023 Maryland Employer Reporting of W2s Instructions and Specifications.

Attention: For more information, see: 2023 Maryland Employer Reporting of W2s Instructions and Specifications.

The Create State W-2 File (PRPW2S) screen was updated to support the latest electronic file W-2 file format for Maryland.

• The NAICS Code field should be a 6-digit value for Maryland.

• The following values are set in the file for Maryland:

• RE record, Location 26 (Terminating Business Indicator) is now set to 0.

• RE record, Location 31-39 (Other EIN) is now set to blank.

This enhancement requires the following:

• cp81_bundle_CYE2023_003.zip

The following state tax updates are effective 01/01/2024:

• The withholding formula now uses tax rates of zero to 4.8%, instead of the previous range of zero to 4.95%.

• The state’s standard deductions have increased for all filing statuses.

• The state’s supplemental tax rate decreased to 4.8%.

Attention: For more information, see: https://dor.mo.gov/forms/Withholding%20Formula_2024.pdf.

To support the state requirements, this update adds records to the following screens:

• Manage State Taxes (PRMSTI)

• Manage State Tax Withholding Adjustments (PRMSTAC)

• Manage State Standard Deductions (PRMSSD)

• Manage State Tax Tables (PRMSTT)

This enhancement requires the following:

• cp81_bundle_CYE2023_003.zip

• Patch dbc_810_11274

The following state tax updates are effective 01/01/2024:

• Employees are now required to use the same filing status they use for federal purposes.

• New tax brackets are now used in the withholding formula.

• The supplemental tax rate decreased from 6% to 5%.

To support the state requirements, this update adds records to the following screens:

• Manage State Taxes (PRMSTI)

• Manage State Tax Withholding Adjustments (PRMSTAC)

• Manage State Standard Deductions (PRMSSD)

• Manage State Tax Tables (PRMSTT)

This enhancement requires the following:

• cp81_bundle_CYE2023_003.zip

• Patch dbc_810_11273

The following state tax updates are effective 01/01/2024:

• The annual state allowance increased from $2,140 to $2,250.

• The percentage method tables have been updated.

Attention: For more information, see: https://revenue.nebraska.gov/sites/revenue.nebraska.gov/files/doc/business/Cir_En_2023/2024cir_en_whole.pdf.

To support the state requirements, this update adds records to the following screens:

• Manage State Taxes (PRMSTI)

• Manage State Tax Withholding Adjustments (PRMSTAC)

• Manage State Standard Deductions (PRMSSD)

• Manage State Tax Tables (PRMSTT)

This enhancement requires the following:

• cp81_bundle_CYE2023_003.zip

• Patch dbc_810_11271

Effective,01/01/2024, the tax brackets were updated in the New Mexico Wage Withholding Tables for Percentage Method of Withholding.

To support the state requirements, this update adds records to the following screens:

• Manage State Taxes (PRMSTI)

• Manage State Tax Withholding Adjustments (PRMSTAC)

• Manage State Standard Deductions (PRMSSD)

• Manage State Tax Tables (PRMSTT)

This enhancement requires the following:

• cp81_bundle_CYE2023_003.zip

• Patch dbc_810_11274

The following state tax updates are effective 01/01/2024:

• The rate used for withholding decreases from 4.85%. to 4.6%.

• The supplemental tax rate decreases from 4.85%. to 4.6%.

Attention: For more information, see: https://www.ncdor.gov/tax-forms/2024-nc-30/open.

To support the state requirements, this update adds records to the following screens:

• Manage State Taxes (PRMSTI)

• Manage State Tax Withholding Adjustments (PRMSTAC)

• Manage State Standard Deductions (PRMSSD)

• Manage State Tax Tables (PRMSTT)

This enhancement requires the following:

• cp81_bundle_CYE2023_003.zip

• Patch dbc_810_11280

Costpoint now supports the new and updated file formats to be used in the new North Carolina State Unemployment Insurance Tax System (NCSUITS) beginning Q4. NCSUITS is a new, modernized system to administer North Carolina’s unemployment insurance tax program.

Attention: For more information, see:

• https://www.des.nc.gov/documents/files/suits-wage-report-and-payment-file-specification/open

• https://www.des.nc.gov/documents/files/employer-efw2-interface-file-definition/open

 

Create Quarterly SUTA Tax File (PRPSMM)

• The following are the changes to the file format for North Carolina:

• N and RS records were removed.

• The RE record was updated.

• RA, RW, RT, and RF records were added.

• The screen displays a warning if the file name is blank or its extension is not “.efw.”

• Validations were added for Configure Company Information screen fields.

 

Manage SUTA Tax File Data (PRMSMM)

• The following fields are now enabled for North Carolina:

• Contact Name

• Telephone Number

• Ext

• E-mail

• Unit/Division Location/Plant Code

• Pay Types Excluded in Hours Worked

• The following fields are now required for North Carolina:

• Contact Name

• E-mail

• The following fields are now disabled for North Carolina:

• Remitter Number/Employees Outside County

• Seasonal Wage Code

 

Manage SUTA Quarterly Reporting Data (PRMQRD)

This update adds adjustment reason codes for North Carolina on the S_SUTA_ADJ_RSN_CD table.

 

Manage Employee Taxes (PRMETAX)

The Owner/Officer and Occupational/SOC Code fields are now applicable to North Carolina.

Note: This update also applies to the View Employee Taxes screen and the Taxes subtask of the Manage Employee Information screen.

 

This enhancement requires the following:

• cp81_bundle_CYE2023_003.zip

North Dakota updated its 2023 Income Tax Withholding and Instructions to correct errors in an earlier revision. The correct supplemental withholding rate in North Dakota is 1.5%, as noted in the revision released in July. The previous instructions released in May listed the rate as 1.84%. In an example, the July revision uses the incorrect 1.84% rate.

This release updates the Supplemental Tax Rate to 1.5000% on North Dakota’s record effective 01/01/2023 on the Manage State Taxes screen.

This enhancement requires the following:

• Patch dbc_810_11263

• cp81_bundle_CYE2023_003.zip

The top tax bracket was increased for married employees.

To support the state requirements, this update adds records to the following screens:

• Manage State Taxes (PRMSTI)

• Manage State Tax Withholding Adjustments (PRMSTAC)

• Manage State Standard Deductions (PRMSSD)

• Manage State Tax Tables (PRMSTT)

This enhancement requires the following:

• cp81_bundle_CYE2023_003.zip

• Patch dbc_810_11271

The following state tax updates are effective 01/01/2024:

• The brackets used in the percentage method were adjusted.

• The annual wage threshold above which the value of a state allowance is zero increased from $260,550 to $274,650.

Attention: For more information, refer to: https://tax.ri.gov/sites/g/files/xkgbur541/files/2023-12/2024%20Withholding%20Tax%20Booklet.pdf.

To support the state requirements, this update adds records to the following screens:

• Manage State Taxes (PRMSTI)

• Manage State Tax Withholding Adjustments (PRMSTAC)

• Manage State Standard Deductions (PRMSSD)

• Manage State Tax Tables (PRMSTT)

This enhancement requires the following:

• cp81_bundle_CYE2023_003.zip

• Patch dbc_810_11280

The following state tax updates are effective 01/01/2024:

• The value of a state allowance increased from $4,310 to $4,610.

• The maximum standard deduction increased from $6,475 to $6,925.

• The tax brackets used in the percentage method were also adjusted.

Attention: For more information, see: https://dor.sc.gov/forms-site/Forms/WH1603F_2024.pdf.

To support the state requirements, this update adds records to the following screens:

• Manage State Taxes (PRMSTI)

• Manage State Tax Withholding Adjustments (PRMSTAC)

• Manage State Standard Deductions (PRMSSD)

• Manage State Tax Tables (PRMSTT)

This enhancement requires the following:

• cp81_bundle_CYE2023_003.zip

• Patch dbc_810_11271

The following state tax updates are effective 01/01/2024:

• The value of a state allowance increased from $4,850 to $5,100, annually.

• The tax brackets used in the percentage method were adjusted.

Attention: For more information, see: https://tax.vermont.gov/sites/tax/files/documents/GB-1210-2024.pdf.

To support the state requirements, this update adds records to the following screens:

• Manage State Taxes (PRMSTI)

• Manage State Tax Withholding Adjustments (PRMSTAC)

• Manage State Standard Deductions (PRMSSD)

• Manage State Tax Tables (PRMSTT)

This enhancement requires the following:

• cp81_bundle_CYE2023_003.zip

• Patch dbc_810_11285

This Costpoint release adds tax table records effective January 1, 2024 on the Manage State Taxes screen for states where the unemployment-taxable wage base has been updated for tax year 2024.

 

Connecticut

The unemployment-taxable wage base increases from $15,000 to $25,000.

 

Iowa

The unemployment-taxable wage base increases from $36,100 to $38,200.

 

Missouri

The unemployment-taxable wage base decreases from $10,500 to $10,000.

 

Nevada

The unemployment-taxable wage base increases from $40,100 to $40,600.

 

New Jersey

The unemployment-taxable wage base increases from $41,100 to $42,300.

 

New York

The unemployment-taxable wage base increases from $12,300 to $12,500.

 

Vermont

The unemployment-taxable wage base increases from $13,500 to $14,300.

 

Washington

The unemployment-taxable wage base increases from $67,600 to $68,500.

 

Wyoming

The unemployment-taxable wage base increases from $29,100 to $30,900.

 

This enhancement requires the following files:

• cp81_bundle_CYE2023_001.zip

• DeltekCostpointMaintenanceRelease_8.1.22.5012.exe

• Patch dbc_810_11255

• Patch dbc_810_11258

The following are the tax table updates for California effective 01/01/2024:

• The annual low income exemption threshold increases to $17,769 or $35,538, up from $17,252 or $34,503, depending on the employee’s filing status and, for married employees, the number of allowances claimed.

• The annual standard deduction increases to $5,363 or $10,726, up from $5,202 or $10,404, depending on the employee’s filing status and, for married employees, the number of allowances claimed.

• The value of a state allowance increases from $154 to $158.40 annually.

• The tax rates used in Method B continue to range from 1.1% to 14.63%. The tax brackets used are to be adjusted compared to 2023.

To support the state updates, this release adds records effective 01/01/2024 on the following screens:

• Manage State Taxes

• Manage State Standard Deductions

• Manage State Tax Withholding Adjustments

• Manage State Tax Tables

This enhancement requires the following files:

• cp81_bundle_CYE2023_001.zip

• DeltekCostpointMaintenanceRelease_8.1.22.5012.exe

• Patch dbc_810_11258

Costpoint now supports the California garnishment calculation to allow Payroll users to comply with the state’s garnishment regulations. This release adds a new calculation method on the Manage Employee Garnishments application to allow Payroll users to set up the new CA garnishment calculation.

 

Manage Employee Garnishments (PRMEGARN)

The Manage Employee Garnishments screen features the following updates:

• A new calculation method, (DI-(MxSMW))xP: Disposable Income - (Limit 1 Weekly Multiplier x State Minimum Wage) x Limit 1 Percentage, was added to the Limit 1 Calculation Method field.

• The Limit 1 Calculation Method field was changed from a drop-down list to a data field with Lookup.

• The following field was added to the Garnishment Calculation subtask:

Field	Description
Limit 1 Percentage	Enter the percent for Limit 1. This will be used when the Limit 1 Calculation Method is set to (DI-(MxSMW))xP: Disposable Income - (Limit 1 Weekly Multiplier x State Minimum Wage) x Limit 1 Percentage.

 

Compute Payroll (PRPCPR)

The Compute Payroll application’s garnishment calculation was updated to calculate the correct amount when the new Limit 1 Calculation Method, (DI-(MxSMW))xP, is selected for the employee on the Manage Employee Garnishments screen.

 

View Garnishments (PRQEGARN)

The View Garnishments screen features the following updates:

• A new calculation method, (DI-(MxSMW))xP: Disposable Income - (Limit 1 Weekly Multiplier x State Minimum Wage) x Limit 1 Percentage, was added to the Limit 1 Calculation Method field.

• The following field was added to the Garnishment Calculation subtask:

Field	Description
Limit 1 Percentage	This field displays a value when the Limit 1 Calculation Method is set to (DI-(MxSMW))xP: Disposable Income - (Limit 1 Weekly Multiplier x State Minimum Wage) x Limit 1 Percentage.

 

Print Data Dictionary Report (SYRDD)

The report now provides information for the new Limit 1 Percentage (GRN_L1_PCT) column on the following tables:

• Employee Garnishments Calculation Rules (EMPL_GRN_CALC)

• Employee Garnishments-Garnishment Calculation (EMPL_GRN_CALC_ADT)

 

This enhancement requires the following files:

• cp81_bundle_CYE2023_001.zip

• DeltekCostpointMaintenanceRelease_8.1.22.5012.exe

• Patch dbc_810_11223

The ICESA file format in the old MyUI Employer system has been updated in the new MyUI Employer+ system for Q3 2023 reporting.

The following are updates to the ICESA file format allowed by Colorado:

• Records

  • Old: The file will include two distinct types of records: the Record A and Record S.

  • New: The file will include Record S only.

• Fields

Location	Old	New
S 46	Blank	Adjustment Reason Code (0 or blank for original, 1-9 for adjustment) Numeric - Reason code for adjustment (if any) to employee wages. 0 or a blank space means original filing. Valid adjustment reason codes are 0,1,2,3,4,5,6,7,8, and 9. The code descriptions are the following: 0 or blank: Original submission 1: Employment and Wages adjusted because of incorrectly reported wages 2: Wages adjusted because worker(s) were mistakenly included/excluded 3: Employment and Wages adjusted to correct computer system, data entry or accounting errors 4: Employment and Wages adjusted because they were reported to the wrong state 5: Employment and Wages adjusted because the workers performed services for a different business 6: Employment details adjusted to reflect correct 12th of the month employment information 7: Employment and Wages Adjusted as a result of an Audit 8: SSN or name changed 9: Other
S 210	Blank	Officer Code Y or N or Blank. If blank, system will default to N.
S 212	Blank	Employment Data (Month 1) 1 if yes, 0 if no. If blank, system will default to 1 for yes.
S 213	Blank	Employment Data (Month 2) 1 if yes, 0 if no. If blank, system will default to 1 for yes.
S 214	Blank	Employment Data (Month 3) 1 if yes, 0 if no. If blank, system will default to 1 for yes.

 

Create Quarterly SUTA Tax File (PRPSMM)

The ICESA file format generated by the application reflects the following changes:

• Record A was removed.

• The new fields were added to Record S.

 

Manage SUTA Tax File Data (PRMSMM)

The following validations were removed from the application:

• Validation of Colorado's Reporting ID/UI Account Number as we no longer validate the format of the value of this field for each state moving forward.

• All validations related to Contact Information fields as Record A is no longer reported.

 

Manage SUTA Quarterly Reporting Data (PRMQRD)

The application now allows one-character adjustment reason codes.

The following Colorado adjustment reason codes were added to the S_SUTA_ADJ_RSN_CD table. You can now select these codes from the Adjustment Reason Code field lookup.

• 0 (Original submission)

• 1 (Employment and Wages adjusted because of incorrectly reported wages)

• 2 (Wages adjusted because worker(s) were mistakenly included/excluded)

• 3 (Employment and Wages adjusted to correct computer system, data entry or accounting errors)

• 4 (Employment and Wages adjusted because they were reported to the wrong state)

• 5 (Employment and Wages adjusted because the workers performed services for a different business)

• 6 (Employment details adjusted to reflect correct 12th of the month employment information)

• 7 (Employment and Wages Adjusted as a result of an Audit)

• 8 (SSN or name changed)

• 9 (Other)

 

Manage Employee Taxes (PRMETAX)

The Owner field is now the Owner/Officer field. The field now is now applicable to Colorado (CO).

Note: This change is also reflected on:

• The Taxes subtask of the Manage Employee Information screen

• View Employee Taxes screen

 

This enhancement requires the following files:

• cp81_bundle_CYE2023_001.zip

• DeltekCostpointMaintenanceRelease_8.1.22.5012.exe

Kentucky provided the following tax updates for the 2024:

• Income tax rate decreases from 4.5% to 4%.

• Standard deduction increases from $2,980 to $3,160.

Attention: For more information, refer to https://revenue.ky.gov/Forms/42A003(TCF).pdf.

This enhancement requires the following files:

• cp81_bundle_CYE2023_001.zip

• DeltekCostpointMaintenanceRelease_8.1.22.5012.exe

• Patch dbc_810_11255

Ohio updated its withholding methods effective November 1, 2023. This release applies the following:

• Updated values on the Manage State Tax Tables for Ohio effective 11/01/2023

• Updated the effective date to 11/01/2023 in all Ohio tax tables

• Set the Round W/H Amount to N on the Manage State Taxes screen for Ohio effective 11/01/2023 as the optional computer formula did not indicate rounding for the withholding deduction

Attention: For more information, refer to: https://tax.ohio.gov/static/employer_withholding/wht_optionalcomputerformula_2023.pdf.

This enhancement requires the following files:

• cp81_bundle_CYE2023_001.zip

• DeltekCostpointMaintenanceRelease_8.1.22.5012.exe

• Patch dbc_810_11247

California Pay Data Report Updated as of 2022 Reporting Year

Costpoint adds the ability to generate a Payroll Employee Report and Labor Contractor Employee Report according to the latest requirements of the California Pay Data Report.

The California Pay Data Report generated by Costpoint’s Print EEO-1 Report application was updated with the following:

• The two sections, Payroll Employee Report and Labor Contractor Employee Report, have the following changes:

• Mean Hourly Rate and Median Hourly Rate are now included.

• The pay band thresholds were updated.

• The Row-Level Clarifying Remark that displays if W-2 Box 1 total earnings will be used for at least one employee in the report was updated to “W-2 Box 1 earnings data have been used for at least one employee.” (from “At least one employee uses W-2 Box 1 earnings.”)

• The following Race/Ethnicity/Sex combinations were applied to the Labor Contractor Employee Report only:

• U10 - Unknown Race/Ethnicity, Known Male

• U20 - Unknown Race/Ethnicity, Known Female

• U30 - Unknown Race/Ethnicity, Known Non-binary

• UU - Unknown Race/Ethnicity, Unknown Sex

• To identify the particular pay band to count the payroll employee, the earnings shown in W-2c will be used if there is a record; otherwise, the earnings shown in W-2 will be used.

• An information message regarding the snapshot period was added.

• A California Pay Data Warning Report was added. This report lists all employees with no W-2 or W-2c record for the payroll year and taxable entity who are selected in the snapshot period.

Costpoint now supports Florida’s updated Reemployment Tax XML package, which includes the following changes:

• A new amended reason “56 - Employee Eligibility Certification” for Filing Action Reason has been added.

• E-Verify Name and E-Verify Date are now required if E-Verify is included.

The Create Quarterly SUTA Tax File screen was updated to comply with Florida’s XML requirements.

Note: For more information, refer to:

• Software Developer Information and Specifications

• Reemployment Tax XML Package (ZIP archive) - Includes XML schema, XPath, guide, and test files for Forms RT-6 and RT-8A: https://floridarevenue.com/taxes/Documents/flRtXmlPkg.zip

This enhancement requires the following files:

• cp81_bundle_CYE2023_001.zip

• DeltekCostpointMaintenanceRelease_8.1.25.5000.exe

• DeltekCostpointMaintenanceRelease_8.1.22.5012.exe

Arkansas decreased the tax rate for supplemental payments from 4.9%. to 4.7%, effective 06/01/2023.

To support the state requirements, this release sets the Arkansas Supplemental Tax Rate to 4.7%, effective 06/01/2023, on the Manage State Taxes (PRMSTI) screen.

This enhancement requires the following files:

• cp81_bundle_CYE2023_001.zip

• DeltekCostpointMaintenanceRelease_8.1.24.5000.exe

• DeltekCostpointMaintenanceRelease_8.1.22.5012.exe

• Patch dbc_810_11193

The WA Cares Fund is a new program that gives working Washingtonians access to long-term care coverage when they need it. Workers contribute 0.58% of each paycheck during their working years to be able to access a $36,500 lifetime benefit (adjusted annually for inflation) that can help pay for long-term care services when needed. Workers begin contributing to WA Cares on July 1, 2023, and benefits become available July 1, 2026. To use your benefit, you must meet a contribution requirement as well as a care need requirement.

The Employment Security Department also released the new (v8) CSV (comma-separated value) file specifications and templates. The new file format now includes a field for date of birth. It also added the requirement to not include employees who have zero hours and zero wages.

In relation to state updates, employers are now required to:

• Submit electronic files containing the combined quarterly wage data of Washington PFML and WA Cares beginning October 2023.

• Submit quarterly reporting information for the waived employee for PFML.

Warning: Washington Paid Family & Medical Leave must be set up on either the Manage Deductions screen or the Manage Local Taxes screen, but not on both.

 

Create Quarterly Family and Medical Leave File (LDPPFML)

The application now has the option to generate a quarterly file for Washington PFML and WA Cares.

• Washington was added to the State drop-down list.

• A wage report titled “Washington Paid Family & Medical Leave and WA Cares Report” was added.

• The generated wage file for Washington is in CSV format.

 

Print Washington State Paid Family & Medical Leave Report (LDRPFML)

The application can now report PFML wages from local taxes and include PFML waived employees.

• The source of wages in the report was updated to use either the employee earnings gross amount or the local tax subject wages amount.

• The total hours worked is now based on the hours worked in Washington (SUTA State is WA).

• The report header was renamed from “Gross Wages” to “Total Wages”.

• The source of employee premium is now either the WA PFML local withholding amount or WAPFML deduction amount.

• The report excludes employees with zero total hours worked, zero wages, and zero employee premium.

Effective October 2023, WA Cares reporting will be fully integrated with Paid Leave reporting. The Paid Leave report using the old format will still be accepted until reporting for WA Cares begins in October 2023.

To support the state requirements, Costpoint adds the ability to track employee exemptions and the corresponding effective dates of the exemption. The Manage Employee Taxes screen provides a new WA Cares Fund Exemption checkbox, which allows you to track employees with an approved WA Cares exemption. If an employee is flagged for exemption, effective dates must be provided.

 

Manage Employee Taxes (PRMETAX)

A new Other Payroll Taxes group box, which contains the new fields needed for WA Cares exemption tracking, has been added to the screen.

Field	Description
WA Cares Fund Exemption	Select this checkbox if the employee has an approved WA Cares exemption. If this is selected, the date listed in the approval letter for an exemption from WA Cares coverage must be entered in the Effective Date field. The value in this field will be reported in the integrated Paid Leave and WA Cares quarterly reporting. This field will always be enabled regardless of the SUTA state.
Effective Date	Enter, or click Calendar Lookup to select, the date the employee’s Washington Cares Fund exemption takes effect. This is the date listed in the employee’s approval letter for an exemption from WA Cares coverage. This field will be enabled if the WA Cares Fund Exemption checkbox is selected, and disabled if the WA Cares Fund Exemption checkbox is deselected.
End Date	Enter, or click Calendar Lookup to select, the date the employee’s Washington Cares Fund conditional exemption ended. This field will be enabled if the WA Cares Fund Exemption checkbox is selected, and disabled if the WA Cares Fund Exemption checkbox is deselected.

 

View Employee Taxes (PRQETAX)

New fields needed for WA Cares exemption tracking have been added to the screen.

Field	Description
WA Cares Fund Exemption	If this checkbox is selected, the employee has an approved WA Cares exemption as of the transaction date/time.
WA Cares Fund Exemption Effective Date	This field displays the date the employee’s WA Cares Fund exemption takes effect.
WA Cares Fund Exemption End Date	This field displays the end date of the employee’s Washington Cares Fund conditional exemption.

 

Manage Employee Deductions (PRMEDED)

The screen now has validations and defaulting for WA Cares deduction to align with the WA Cares Fund Exemption effective dates on the Manage Employee Taxes screen.

 

Manage Employee Contributions (PRMECNT)

The screen displays the following warning message if a Contribution code with a WACARE deduction type was saved: "There is no employer share of WA Cares Fund premiums."

 

Print Data Dictionary Report (SYRDD)

The Print Data Dictionary Report displays information for the new fields in the EMPL_TAX and EMPL_TAX_ADT tables:

• WACARES_EXEMPT_FL (Washington Cares Fund Exemption Flag)

• WACARES_EXEMPT_EFFECT_DT (Washington Cares Fund Exemption Effective Date)

• WACARES_EXEMPT_END_DT (Washington Cares Fund Exemption End Date)

This enhancement requires the following files:

• cp81_bundle_CYE2023_001.zip

• DeltekCostpointMaintenanceRelease_8.1.24.5000.exe

• DeltekCostpointMaintenanceRelease_8.1.22.5012.exe

Arkansas 2023 Tax Table Updates

Arkansas updated its withholding formula effective June 1, 2023. The highest rate decreases from 4.9%. to 4.7%.

To support the state requirements, this release adds/updates records for Arkansas effective June 1, 2023 on the following screens:

• Manage Payroll Records (PRMPTF)

• Manage State Standard Deductions (PRMSSD)

• Manage State Tax Tables (PRMSTT)

• Manage State Tax Withholding Adjustments (PRMSTAC)

• Manage State Taxes (PRMSTI)

Attention: The Arkansas Supplemental Tax Rate on the Manage State Taxes screen should be 4.7% effective 06/01/2023, and the corresponding patch will be included in the next release, MR 8.1.24.

For more information, see:

• https://www.dfa.arkansas.gov/income-tax/withholding-tax-branch/withholding-tax-forms-and-instructions/

• https://www.dfa.arkansas.gov/images/uploads/incomeTaxOffice/whformula_2023.pdf

This enhancement requires the following files:

• cp81_bundle_CYE2023_001.zip

• DeltekCostpointMaintenanceRelease_8.1.23.5001.exe

• DeltekCostpointMaintenanceRelease_8.1.22.5012.exe

• Patch dbc_810_11161

The Reemployment Tax XML Package has been updated, and New XML elements for certifying E-Verify compliance have been added to the XML file.

Florida’s E-Verify System Requirements

Effective July 1, 2023, public agencies and private employers with 25 or more employees are required to use the E-Verify system. This free system is an internet-based application operated by the United States Department of Homeland Security that allows employers to electronically verify employment eligibility of newly hired employees.

• An employer must verify each new employee’s employment eligibility within three business days of the new employee working for pay.

• Each private employer required to use the system must certify on its first Reemployment Tax return filed each calendar year that it used the E-Verify system to confirm employment eligibility of each new employee.

• If the E-Verify system is unavailable for three business days after the first day the new employee begins working for pay, an employer must use the Employment Eligibility Verification (Form I-9) to verify employment eligibility.

• Private employers required to use E-Verify or Form I-9 must attest to the use of this system or form on one of the following reports:

• Employer's Quarterly Report, Form RT-6

• Employer's Quarterly Report for Employees Contracted to Governmental or Nonprofit Educational Institutions, Form RT-6EW

• Employer's Quarterly Report Continuation Sheet, Form RT-6A

• Quarterly Report for Out-of-State Wages, Form RT 6NF

• Correction to Employer's Quarterly or Annual Domestic Report, Form RT-8A

• Private employers that file reemployment tax electronically will certify their compliance in the electronic file and pay application or extensible markup language (XML) file.

• To support the state requirements, the Create Quarterly SUTA Tax File screen adds an E-Verify group box that contains the following fields.

Field	Description
Name	Enter the name of the person who is certifying the use of E-Verify system. This person must be the (1) the individual owner; (2) the corporate president, treasurer, or other principal officer; or (3) a partner or member/managing member.
Title	Enter the title of the person who is certifying the use of E-Verify system. This person must be the (1) the individual owner; (2) the corporate president, treasurer, or other principal officer; or (3) a partner or member/managing member.
Date	Enter the date of E-Verify system certification.

Attention: For more information, see:

• Software Developer Information and Specifications webpage: https://floridarevenue.com/taxes/eservices/Pages/developerinfo.aspx

• Reemployment Tax XML Package: https://floridarevenue.com/taxes/Documents/flRtXmlPkg.zip

This enhancement requires the following files:

• cp81_bundle_CYE2023_001.zip

• DeltekCostpointMaintenanceRelease_8.1.23.5001.exe

• DeltekCostpointMaintenanceRelease_8.1.22.5012.exe

Illinois updated its withholding formula on July 5 after a tax bill reduced the value of a state allowance to its 2022 level. The value of a state allowance was set at $2,425, instead of the 2023 value of $2,625.

An additional formula was added to Illinois’s withholding methods to correct withholdings for existing employees for the remainder of 2023. The formula is the same as the standard formula but uses an allowance value of $2,225. A formula with an allowance value of $2,425 is also included but should only be used for new employees.

This release adds a Personal Exemption Allowances record effective 06/07/2023 on the Manage State Tax Withholding Adjustments screen, which sets the Amount per Credit/Exemption to $2,425 for Illinois.

The Compute Payroll application adds special programming that sets the Illinois personal exemption allowance amount to $2,225 for existing employees for check dates within 06/07/2023 and 12/31/2023 only.

Attention: For more information, see Revised 2023 Booklet IL-700-T: https://tax.illinois.gov/content/dam/soi/en/web/tax/forms/withholding/documents/currentyear/il-700-t.pdf.

This enhancement requires the following files:

• cp81_bundle_CYE2023_001.zip

• DeltekCostpointMaintenanceRelease_8.1.23.5001.exe

• DeltekCostpointMaintenanceRelease_8.1.22.5012.exe

• Patch dbc_810_11183

Indiana's Departmental Notice No. 1 was updated to add a third deduction constant table for a new exemption for adopted children. The $3,000 annual exemption for adopted children was added in the legislation.

The Actual Number of Adopted Children field was recently added on the Manage Employee Taxes screen and in ESS, where you were instructed to specify the actual number of adopted children claimed by the employee on the Form WH-4. This value was not used with the first phase of the Indiana 2022 tax withholding updates. You were also instructed to temporarily include the number of adopted children for both state and local dependents in order for payroll to calculate the withholding tax, even when there was not yet an adopted children exemption type on the Manage State Tax Withholding Adjustments screen.

You must now use the Reduce Employee Number of Dependents for Indiana toolkit to reduce the state's number of dependents, based on the number of adopted children.

Warning: This maintenance release updates the Toolkit Status table for each company that has no employees in Indiana. You cannot run Compute Payroll until you have run the toolkit for any company that has employees in Indiana.

Note: This update requires patch dbc_810_11154.

 

Reduce Employee Number of Dependents for Indiana (EMPTOOLKITINDIANA)

When you run this toolkit, the number of Indiana's dependents for both state and local taxes is reduced based on the number of adopted children. This also populates the newly added Number of Adopted Children field in Local Taxes with the same value as the State's Number of Adopted Children if the State of the Local Tax is IN and its Tax Type is County Income Tax.

For example, if an employee has 3 additional dependent exemptions (Form WH-4 line 6) and 2 adopted child dependent exemptions (Form WH-4 line 7), with Phase 1 we instructed you to enter 7 as the total number of exemptions for State and Local Taxes Dependents (3 dependent exemptions plus 4 exemptions for the 2 adopted children). Because, in Phase 2, Compute Payroll will be updated to use the Number of Adopted Children value when computing for Indiana, the toolkit reduces the number of dependents based on the number of adopted children. So, using the same example, the Number of Dependents will be updated from 7 to 3 (to remove the 4 exemption credits for the 2 adopted children). The Number of Adopted Children field in Local Taxes will then be populated with 2.

This toolkit will not reduce the number of dependents for Indiana in the Multi-State Taxes subtask of Manage Employee Taxes screen. This means that you must manually remove the number of adopted child dependent exemptions from the number of dependents field and transfer it to the Actual number of adopted children field in the Multi-State Taxes subtask.

 

Manage Employee Taxes (PRMETAX)

• The Actual Number of Adopted Children field is now the Number of Adopted Children field on the State tab.

• The Number of Adopted Children field was added to Multi-State Taxes and Local Taxes subtasks.

Note: This update also applies to the Taxes subtask of the Manage Employee Information screen.

 

Manage Employee Taxes Data Setup for Indiana

To comply with the state requirements, you must use the following data setup on the Manage Employee Taxes screen for Indiana employees.

Field	Instruction
Withholding State Filing Status	ALL FILERS (All Filers, Married and Single): Select as the filing status for all employees.
Withholding State Exemptions	Enter the number of personal exemptions that the employee is claiming on line 5 of his/her WH-4 form.
Withholding State Dependents	Enter the number of additional dependent exemptions that the employee is claiming on line 6 of Form WH-4. Note: The number of dependent exemptions for Indiana county tax (local) withholding must be the same as the number of dependent exemptions for Indiana state withholding.
Local Taxes Dependents	Enter the number of additional dependent exemptions that the employee is claiming on line 6 of Form WH-4. Note: The number of dependent exemptions for Indiana county tax (local) withholding must be the same as the number of dependent exemptions for Indiana state withholding.
Number of adopted children (State Tax)	If the employee is claiming adopted child dependent exemptions on line 7 of Form WH-4, use this field to specify the number of adopted children. Note: The number of adopted children for Indiana county tax (local) withholding must be the same as the number of adopted children for Indiana state withholding.
Number of adopted children (County Tax)	If the employee is claiming adopted child dependent exemptions on line 7 of Form WH-4, use this field to specify the number of adopted children. Note: The number of adopted children for Indiana county tax (local) withholding must be the same as the number of adopted children for Indiana state withholding.

 

View Employee Taxes (PRQETAX)

• The Actual Number of Adopted Children field is now the Number of Adopted Children field on the State tab.

• The Number of Adopted Children field was added to Multi-State Taxes and Local Taxes subtasks.

 

State Withholding (ESMSTATEWH)

• The Actual Number of Adopted Children field is now the Number of Adopted Children field on the home withholding state.

• The Number of Adopted Children field was added to the Other Withholding State(s) subtask.

Note: This update also applies to the State Withholding tab of the Life Events/New Hires screen.

 

Manage State Tax Withholding Adjustments (PRMSTAC)

• The Adopted Child Dependent Exemption option was added to the Type drop-down list.

• This release adds the Indiana’s Adopted Child Dependent Exemption record for ALL FILERS (All Filers, Married and Single) effective 01/01/2023 on the Manage State Tax Withholding Adjustments screen.

Wage Type	For Annualized Wage Over/ Wage Basis	Base Amount	Amount per Credit/ Exemption	Percent of Excess
Gross Wages	0.00	0.00	3,000.00	0.00%

 

Manage Local Taxes (PRMLTI)

The screen provides the following new field.

Field	Instruction
Exempt Amount Adopted Children	Enter the adopted child dependent exemption allowance (used as a deduction from income) for the employee's adopted children. The locality exemption allowance is used in the computation of the amount of locality income tax withheld from each employee paycheck.

The Local Tax History section now has a two-column format and the tab sequence is updated, based on the new layout.

 

Compute Payroll (PRPCPR)

The adopted child dependent exemption amount per adopted child is deducted when the application determines the annual state taxable wages and the annual local taxable wages.

If you have not yet run the Reduce Employee Number of Dependents for Indiana (EMPTOOLKITINDIANA) toolkit, you receive an error message.

 

Manage Payroll Records (PRMPTF)

• The adopted child dependent exemption amount per adopted child is deducted when the application determines the annual state taxable wages and the annual local taxable wages.

• The Number of Adopted Children field was added to the State Taxes and Local Taxes subtasks.

 

View Payroll Edit Table (PRQPTF)

The Number of Adopted Children field was added to the State Taxes and Local Taxes subtasks.

 

Manage Employee Earnings History (PRMERF)

The Number of Adopted Children field was added to the State Taxes and Local Taxes subtasks.

 

View Employee Earnings (PRQERF)

The Number of Adopted Children field was added to the State Taxes and Local Taxes subtasks.

 

Post Payroll Journal (PRPPPCLS)

The application includes the number of adopted children when you post payroll.

 

Print Soc Sec and Medicare Reconciliation Report (PRRFICA)

The number of adopted children is included in the dynamic/work table(s) of the application.

 

Print Quarterly Federal Payroll Tax Report (PRRFDTAX)

The number of adopted children is included in the dynamic/work table(s) of the application.

 

Recompute Taxable Wages (PRPRCOMP)

If you select Apply Employee’s Current Taxability checkboxes for the state, the adopted child dependent exemption is considered in recomputing taxable wages.

 

Void/Replace Posted Paychecks (PRPAVCK)

The application populates the Number of Adopted Children field on Manage Payroll Records for void and replacement checks (V and W records).

 

Print Data Dictionary Report (SYRDD)

The report now includes information for the following fields in applicable tables:

• Number of Adopted Children

• Number of Adopted Children

• Exempt Amount Adopted Children

 

This enhancement requires the following files:

• cp81_bundle_CYE2023_001.zip

• DeltekCostpointMaintenanceRelease_8.1.23.5001.exe

• DeltekCostpointMaintenanceRelease_8.1.22.5012.exe

Idaho 2023 Supplemental Tax

The tax rate for supplemental payments decreased from 6% to 5.8%.

To support the state requirements, this release updates the record of Idaho effective 01/01/2023 on the Manage State Taxes screen. 

Attention: For more information, see: https://tax.idaho.gov/taxes/income-tax/withholding/computing/

Note: This update requires patch dbc_810_11159.

North Dakota 2023 Tax Table Updates

North Dakota released an updated version of income tax withholding rates and instructions for wages paid in 2023.

• The bottom tax bracket tax rate is now 0%.

• The top four brackets are now combined into two brackets with reduced tax rates for taxable years beginning after 2022.

• The annual allowance value used in the percentage method for Forms W-4 before 2020 was unchanged from 2022.

To support the state requirements, this release updates the tax tables of North Dakota effective 01/01/2023 on the Manage State Tax Tables screen.

Note: This update requires patch dbc_810_11159.

Idaho 2023 Tax Table Updates

Idaho’s 2023 table for percentage computation method of withholding provides the following updates:

• The percentage method implements a flat rate of 5.8%.

• The zero-percent tax bracket’s upper threshold increases:

• From $12,950 to $13,850 for single employees and heads of households.

• From $25,900 to $27,700 for married employees.

• The value of the Idaho Child Tax Credit Allowance increases from $3,417 to $3,534 annually.

To support the state’s requirements, this Costpoint release adds/updates records on the following screens:

• Manage State Standard Deductions (PRMSSD)

• Manage State Tax Tables (PRMSTT)

• Manage State Tax Withholding Adjustments (PRMSTAC)

Attention: For more information, refer to:

• Tables: https://tax.idaho.gov/wp-content/uploads/pubs/EPB00744/EPB00744_05-08-2023.pdf

• ICTCAT: https://tax.idaho.gov/taxes/income-tax/withholding/computing/

Note: This update requires patch dbc_810_11147.

Washington State WACARES Deduction Type

Costpoint adds a new WACARE (Washington Cares Fund) deduction type on the Manage Deductions screen. This will allow you to indicate which deduction codes will be used to track employee contributions to the Washington Cares Fund.

Note: This update requires patch dbc_810_11148.

Michigan 2023 Tax Table Updates

Michigan’s 2023 withholding guide was updated to show a lower flat tax rate. The tax rate for 2023 decreases from 4.25% to 4.05%.

To support the state’s requirements, this Costpoint release updates records effective 01/01/2023 on the following screens:

• Manage State Tax Tables

• Manage State Taxes

Attention: For more information, refer to: 446 Michigan Income Tax Withholding Guide.

Note: This update requires patch dbc_810_11114.

Utah 2023 Tax Table Updates

Utah’s withholding guide was updated April 11 by the state tax commission, with the changes taking effect June 1, following a decrease to the state’s income tax rate. The updates are:

• The tax rate decreases from 4.85% to 4.65%.

• The base allowance used in the formulas increases from $390 to $415 for single employees and from $780 to $830 for married employees.

• The amounts subtracted from wages in the formulas increase from $7,774 to $8,371 for single employees and from $15,548 to $16,742 for married employees.

To support the state’s requirements, this Costpoint release adds/updates records on the following screens:

• Manage State Standard Deductions

• Manage State Tax Tables

• Manage State Tax Withholding Adjustments

• Manage State Taxes

Note: This update requires patch dbc_810_11116.

Colorado FAMLI Program Wage Reporting: Support Through Version 1.16

Colorado updated their electronic file specifications to Version 1.16, where they have removed the seasonal field for employees. This Costpoint release updates the Create Quarterly Family and Medical Leave File application to support the state’s specifications up to Version 1.16.

Florida Q2 2023 SUTA Electronic Filing

Costpoint's Software ID for Reemployment Tax XML has been updated to HN3THwvdM4 as of March 13, 2023. The current Software ID, GYaUXnCCLz, will remain active for six months. The Create Quarterly SUTA Tax File screen was updated to support this change.

West Virginia 2023 Tax Table Update

West Virginia’s withholding methods were updated.

• The state’s first update since 2007 retains a system of two percentage methods, one for two earners or multiple jobs and one for one earner or one job.

• The value of a state allowance is $2,000 annually, unchanged from the previous revision.

Despite its name, the two-earner/multiple job method should be used for all employees unless they select a checkbox on Form IT-104, West Virginia Employee’s Withholding Exemption Certificate. The Form IT-104 checkbox indicates that the employee is single, head of household, or married with a nonworking spouse and wishes to have tax withheld at a lower rate.

The two-earner/multiple job method has been adjusted to account for three months of withholding at the previous rates and for tax credits to take effect in 2024.

To support the state tax table updates, this release applies changes to the following screens:

• Manage State Tax Withholding Adjustments (PRMSTAC)

• Manage State Taxes (PRMSTI)

• Manage State Standard Deductions (PRMSSD)

• Manage State Tax Tables (PRMSTT)

Attention: For more information, refer to:

• Two Percentage Methods: https://tax.wv.gov/Documents/Withholding/it100.2a.pdf

• Form IT-104: https://tax.wv.gov/Documents/Withholding/it104.pdf

• Notice to Employers: https://tax.wv.gov/Documents/Withholding/it100.1a.pdf

Note: This update requires patch dbc_810_11104.

Colorado Paid Family and Medical Leave Insurance (FAMLI) Program Wage Reporting

Colorado voters approved Proposition 118 in November of 2020, paving the way for a state-run Paid Family and Medical Leave Insurance (FAMLI) program. The FAMLI program is a social insurance program with both employers and employees contributing to the fund that will eventually pay out benefits.

Colorado FAMLI program facts:

• While FAMLI benefits will not be available to employees until 2024, businesses must begin collecting premiums starting on January 1, 2023, through a simple payroll deduction. Most Colorado businesses will need to begin deducting FAMLI premiums from all employees on their payroll, including full-time, part-time, and seasonal employees.

• The premiums are set at 0.9% (through 2024) of the employee's wage, with 0.45% paid by the employer and 0.45% paid by the employee. Premiums are paid on wages up to the Federal Social Security Wage cap.

• Businesses with nine or fewer employees do not have to contribute to the program but do need to remit their employees' share (0.45%) of the premium on behalf of employees each quarter.

• Employees and employers are never required to pay more than 50% of the total premium. Employers may choose to cover their employees' portion and pay the full premium amount as an added benefit.

• Benefits will become available to workers starting in January 2024.

• Employers are required to remit the whole 0.9% premium to the Division once a quarter. Employers can choose to deduct up to 0.45% of that from employees and remit those deductions on behalf of their employees. Ultimately, employers will need to remit 0.9% of wages to the Division, whether they choose to cover the 0.45% for their employees or not.

Attention: For more information, refer to: https://famli.colorado.gov/EMPLOYERS.

Warning: Depending on your requirements, you can set up FAMLI deductions through either the Manage Deductions screen or on the Manage Local Taxes screen. You cannot set up FAMLI deductions on both screens even if the premiums are calculated using different pay periods. Otherwise, Costpoint will not be able to correctly calculate the premiums/contributions if the wages have already reached the annual ceiling. To set up the Colorado FAMLI deductions, refer to the setup instructions in the online help for the Create Quarterly Family and Medical Leave File screen.

 

Create Quarterly Family and Medical Leave File (LDPPFML)

The Create Quarterly Family and Medical Leave File screen features the following updates:

• From the State drop-down list, you can now select Colorado.

• A new File Data group box provides fields that are required for the Colorado FAMLI quarterly wage report.

Field	Description
Employer FAMLI ID	Enter the FAMLI system-generated ID for the employer. This will be used only if an employer does not have FEIN or Tax Payer ID. This field will be enabled and required if the State is Colorado and the Tax ID of the entered Taxable Entity is blank.
Settlement Date and Time	Enter the submission date and time in these fields. If you use Form View, the fields are unlabeled. Settlement Date: Enter, or click Calendar Lookup to select, the submission date of the file. This must be unique from any other submission by this taxable entity. This field is required and enabled for Colorado. Settlement Time: Enter the time of submission of the file. This must be unique from any other submission by this taxable entity. This field is required and enabled for Colorado. Note: The application will use 00:00:00 for the time part of Settlement Date in the wage file if you do not specify a time in the Settlement Date and Time fields.
Total Payment Amount	Enter the total amount paid for the contributions. On a full payment, contributions due is equal to payment amount. This field will be enabled only for Colorado.
Is this the final return?	Select this checkbox to indicate in the report that this is the final return for this taxable entity due to business closure. This field will be enabled only for Colorado.

• The application adds a wage report titled “State Paid Family & Medical Leave Report.”

• The application will generate the wage file in CSV format for Colorado.

Note: You must enter a file name with an extension of .CSV if you are creating a report for Colorado.

 

Manage Local Taxes (PRMLTI)

The Tax Based On field adds a new SUTA Subject Wages option. You can select this option to compute the local tax withholding based on the employee's SUTA subject wages.

The SUTA Wages option in the Tax Based On field was renamed to SUTA Taxable Wages. This option is not based on the SUTA subject wages because it is capped at the SUTA limit.

 

Compute Payroll (PRPCPR)

The Compute Payroll process adds the ability to calculate local tax based on SUTA Subject Wages.

 

Manage Payroll Records (PRMPTF)

The Manage Payroll Records screen adds the ability to calculate local tax based on SUTA Subject Wages.

West Virginia Q1 2023 SUTA Electronic Filing

According to the WorkForce West Virginia Magnetic Media Wage Reporting Specifications Manual, employers must report the SOC Code (or Employee Job Title) and County Name in the Quarterly Unemployment Insurance Wage Report.

Attention: For more information, refer to the Magnetic Media Wage Reporting Specifications Manual.

To support the state requirements, this release updates the Export Payroll Taxes screen. For the SUTA Tax reporting for West Virginia, the application adds the county name in Field 87 of the SUTA Tax record.

2023 SUTA Wage Base

This Costpoint release adds tax table records effective January 1, 2023 on the Manage State Taxes screen for states where the unemployment-taxable wage base has been updated for tax year 2023.

 

Delaware

The unemployment-taxable wage base decreases from $14,500 to $10,500.

 

Illinois

The unemployment-taxable wage base increases from $12,960 to $13,271.

 

North Carolina

The unemployment-taxable wage base increases from $28,000 to $29,600.

 

Virgin Islands

The unemployment-taxable wage base decreases from $30,800 to $30,200.

Note: This update requires patches dbc_810_11051 and dbc_810_11041.

Guam 2023 Tax Table Update

The tax tables of Guam were updated based on 2023 federal tax tables.

To support the state requirements, Costpoint adds updated records to the following screens:

• Manage State Standard Deductions

• Manage State Tax Tables

• Manage State Tax Withholding Adjustments

• Manage State Taxes

Attention: For more information, refer to https://www.irs.gov/forms-pubs/about-publication-15-t.

Note: This update requires patch dbc_810_11051.

Illinois 2023 Tax Table Updates

Illinois released the 2023 withholding methods. The value of a state allowance increases from $2,425 to $2,625.

To support the state changes, Costpoint adds updated records to the following screens:

• Manage State Standard Deductions

• Manage State Tax Tables

• Manage State Tax Withholding Adjustments

• Manage State Taxes

Attention: For more information, refer to: https://tax.illinois.gov/content/dam/soi/en/web/tax/forms/withholding/documents/currentyear/il-700-t.pdf.

Note: This update requires patch dbc_810_11045.

Maryland 2023 Tax Table Updates

Maryland released the 2023 withholding guide, which contains a withholding percentage method for one additional local tax rate compared to 2022.

• The minimum and maximum standard deduction increases to $1,700 and $2,550 annually, up from $1,600 and $2,400.

• A percentage method corresponding to a 2.75% local tax rate was added to the guide.

• Six Maryland counties made changes to their income tax rates for 2023, including two counties that introduced graduated rates.

To support the state changes, Costpoint adds updated records to the following screens:

• Manage State Standard Deductions

• Manage State Tax Tables

• Manage State Tax Withholding Adjustments

• Manage State Taxes

Attention: For more information, refer to:

• 2023 Withholding Guide: https://www.marylandtaxes.gov/forms/23_forms/Withholding_Guide.pdf

• 2023 Withholding Tax Facts: https://marylandtaxes.gov/forms/Tax_Publications/Tax_Facts/Withholding_Tax_Facts/Witholding_Tax_Facts_2023.pdf

Note: This update requires patches dbc_810_11041.

 

Anne Arundel County

Anne Arundel County introduced graduated tax brackets. Anne Arundel County, which used a tax rate of 2.81% in 2022, now uses that rate for taxable income of more than $50,000 in 2023 and uses a 2.7% rate for taxable income of up to $50,000.

Note: Maryland’s 2023 withholding guide added a percentage method corresponding to a 2.75% local tax rate, which means that Anne Arundel County will use the combination of 2.75% and 2.85% tables.

 

Frederick County

Frederick County introduced graduated tax brackets. Frederick County used a tax rate of 2.96% in 2022. In 2023, a 2.75% rate applies when an employee earns up to $100,000 and has a filing status of married filing jointly, head of household, or qualifying widow/widower with dependent child, or when an employee earns up to $50,000 and has a filing status of single, married filing separately, or dependent. Otherwise, the rate of 2.96% applies.

Note: Maryland’s 2023 withholding guide added a percentage method corresponding to a 2.75% local tax rate, which means that Frederick County will use the combination of 2.75% and 3.00% tables.

Michigan 2023 Tax Table Updates

The value of a state allowance is to be $5,400, up from $5,000, and the state’s flat tax rate is unchanged at 4.25%, according to the 2023 Michigan Income Tax Withholding Guide (Form 446) posted in their official website.

To support the state requirements, Costpoint adds updated records to the following screens:

• Manage State Standard Deductions

• Manage State Tax Tables

• Manage State Tax Withholding Adjustments

• Manage State Taxes

Attention: For more information, refer to the 2023 Michigan Income Tax Withholding Guide.

Note: This update requires patch dbc_810_11051.