California, Wisconsin and Indiana locals have new tax tables that need to be applied in October.
Updated SSN database also available.

You can apply these patches yourself by going to Utilities/ Apply SQL Patches and select Internet /Check for SQL Patches. It should download at the minimum these four patches. Read the description and see which ones apply to your situation and then check off those and apply to all companies. If you need help wit this feel free to call support 9-5 EST.

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validSSN_Oct012009.sql

Updated SSN database as of Oct 1 2009
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Oct312009_tax_CA.sql

10% tax increase in the state of California.
Tables should be used for the months of November and December
So expect new tables again at the beginning of the year!

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Oct012009_tax_WI.sql

New witholding tables for WI to be used no later than Oct 1,2009.
New upper level tax bracket (200K+) and increases across the board.

Based on Method B

http://www.dor.state.wi.us/pubs/pb166h.pdf

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Oct012009_taxIN.sql

New local tax rates for the state of Indiana effective Oct 1 2009
10 Countries updated:
Bartholomew, Carroll, Grant, Hancock, Lawrence, Monroe, Parke, Posey, St Joseph, Wabash

Based on Method B
http://www.dor.state.wi.us/pubs/pb166h.pdf

Oct012009_tax_WI.sql is available now for updating.

New tax tables will be available once the official tables are released…

More info on this increase

CA.gov EDD page

This is the second time this year that CA has issued tax tables and increased withholding.

Of course, the states do not make it easy. Only 12 states including Texas, Indiana, Idaho, Maryland, North Carolina, North Dakota, Oklahoma, South Dakota, Virginia, Montana, Nebraska and Utah will increase the state minimum wage on July 24, 2009 when the new federal rate of $7.25 per hour is introduced. Most of these states have legislation that ties the state minimum wage to the federal rate.

On July 1 2009, ILLINOIS will increase to $8.00 and again next year Jul. 1, 2010 to $8.25.
Also on July 1 2009, KENTUCKY will increase to $7.25, ahead of the feds.

Be sure to Update your Division settings first and then you can use the Mass Assign Raises to get all your sub-minimum and minimum wage employees in compliance.

More states are available here or please consult your local DOL for the most updated news.

A new tax law raises California’s personal income tax rates by .25 percent.  The law also reduces the dependent exemption credit to the same amount of the personal exemption credit—a $210 difference per dependent using 2008 amounts. Some taxpayers may need to increase their wage withholding now to avoid owing taxes next April.

The Employment Development Department (EDD) made new withholding tables available to employers in April, but taxpayers may be under withheld at least from January through April 2009.

The updated tax tables were issued to Paymaster users in April but you still may be underwitheld as the increase was retro active.

The new withholding tables factor in the changes for the tax rate increase only, so taxpayers claiming dependent exemption credits may still need to modify their wage withholding on Form DE 4, Employee’s Withholding Allowance Certificate, to make any needed changes to the number of allowances they claim.

As of April 20th , these tax tables are available to all Paymaster customers through the Apply SQL Patch menu itm in the program. The new tax tables are easily installed, directly from the PayMaster program by going to Utilities / Apply SQL Patches and selecting Internet/Check for SQL updates. The program should then download a file called 2009-taxCA.sql, 2009-taxNY.sql and 2009-taxAZ.sql. Select the appropriate file for your withholding states and apply to all active companies by checking them off.  Of course if you have any questions or concerns feel free to call the support line.

10%, will increase to 11.5% from May 1, 2009 to EOY (10.7% in 2010)
19%, will increase to 21.9% from May 1, 2009 to EOY (20.3% in 2010)
23%, will increase to 26.5% from May 1, 2009 to EOY (24.5% in 2010)
25%, will increase to 28.8% from May 1, 2009 to EOY (26.7% in 2010)
31%, will increase to 35.7% from May 1, 2009 to EOY (33.1% in 2010)
37%, will increase to 42.6% from May 1, 2009 to EOY (39.5% in 2010)

An update to Paymaster for the 2009 tax year will be available momentarily.

Look for more states to follow. Another part of the stimulus package involved the gov’t boosting up each state’s unemployment coffers but each state had to promise to ‘modernize’ their wage data collection infrastructure.  PayMaster currently handles 38 state’s SUTA electronic formats and RS records for the year end MMREF format. Be sure to stay current to support these everchanging state specific formats.

California,Colorado,Connecticut,District of Columbia,Kentucky,Maine,Michigan,Minnesota,Missouri,New Mexico,North Dakota,Ohio,Oklahoma,Rhode Island,Vermont.

Note: OH and MO were NOT included in the 2009 tax table update due to late releases and must be downloaded separately. If you do payroll in these two states be sure to apply the state specific patch soon to ensure proper withholding.