The state of Oregon has instituted the PFML tax policy for businesses that are processing payroll.
- For all businesses, the PFML tax amount is .6% of Associate's gross payroll amount.
For businesses that exceed 25 employees, there is an additional .4% employer tax.
- Businesses do have the option of opting out of the tax - but doing so is the sole responsibility of the business owner and will need to be handled without any assistance from FINSYNC.
FINSYNC's Policy and Procedures
For those clients affected by the new tax, FINSYNC will follow the below outlined procedure for handling this tax item for you:
Setting Up Associate Deductions:
1. FINSYNC payroll support will assist in setting up the correct deductions and amounts on the Associate Records in the FINSYNC profile. Doing so is to ensure the Associates are being paid the correct amount.
2. FINSYNC will NOT be debiting the tax amount in "real time" when payroll is being processed at whatever the pay frequency may be.
- What this means - the tax amount will need to be treated as if in "escrow" until the end of the quarter when FINSYNC will be filing the taxes on your behalf.
3. FINSYNC payroll support specialist will be reaching out around quarter's end to inform you of the following:
- Amount owed and thus to be debited (calculated from the gross of the quarterly payroll totals).
- When the amount will be debited from your account.
4. FINSYNC payroll support specialist will be filing the taxes on your behalf.
Note: The above process will repeat each quarter after quarter. If you ever have any questions or concerns about the amounts, the timing of the filings and any other payroll related items - you can contact us at firstname.lastname@example.org