The Illinois Department of Employment Security (IDES) collects information from all employers in the state about the wages paid to employees. IDES allows districts to subtract Section 125 Cafeteria Plan deductions from gross wages.
Every payroll item has two options that are related to this:
- Section 125 Plan indicator
- SUTA subtotal
The Section 125 Plan checkbox is used for internal reporting purposes only, to see the total amount deducted in that category. Payroll items that have this option selected will show up under Section 125 in a Payroll Item Subtotals report. However, this field does not affect the IDES report.
The status of the SUTA subtotal affects the wages listed on IDES reports. If the school district subtracts any Section 125 Plan deductions from the wages reported to IDES, then the payroll item should subtract from the SUTA subtotal, i.e. the value should be a minus sign (-). If your district reports all gross wages to IDES, then Section 125 Plans should set the SUTA subtotal to “Does Not Contribute.”
To configure your Section 125 Plans so that they subtract from SUTA subtotals:
- Go to Financials Main > Payroll > District Payroll Items
- Edit each Section 125 Plan item
- Check "Section 125 Plan"
- Set the SUTA subtotal to a minus sign (-)
- Save & Mass Edit Employee Payroll Items
- Check the SUTA box
- Check all employees, templates, and draft payroll runs
- Save
Previously completed payroll runs will not be affected by this edit. If you need to change previous payroll runs, please inform financials@common-goal.com.