I would think you'd need to VOID the check from last payroll and re-enter it with the new state info.  Hopefully the net amount remains the same and has no effect on the employee.  If the net did change, you'd need to include a MISC deduction or pay to get the new check to match the old check, and then reverse that out with another check for that difference.  I just went through this with Sage support.

It was a direct deposit...so i don't think i can void it.

Can I do......

sequence 1 check with the wrong state and negative pay/taxes/fringes/etc

sequence 2 check with correct state, I'll adjust the tax amount to match what was really withheld and have a zero check

sequence 3 correct check state and amount for this week.

End result....only sequence 3 check will be "added" to year to date totals.

Thoughts?

Thank you

Guybor -

You can VOID Direct Deposits the same way you void checks.  The recommended workflow to correct this would be to VOID the original check and update the data.  In the enter check screen, you can adjust taxes, deductions, fringes to match the original check as necessary.  A separate adjustment check with MISC deductions or pays is not required.

Hope this helps.

Cheers,

John McLagan
Sage Consultant
Johnny on the Spot

State taxes as a general rule need to calculate in the work state.  Therefore if the emplyoyee is "working from home" you may need to void and reprocess the check after changing the work state on the time. If only the employee's resident location changed, and place of work did not it may not be necessary to do anything other than change the resident state on the setup of the employee unless there is a reciprocal tax agreement between the two states (resident state/work state)

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Denise Paulus  We are right on the Iowa/Illinois border.  In our case, state withholding is based on residence location.

Thank you....I will give this a shot.

So do you have reciprocal agreements setup in Payroll in order to calculate the taxes in the resident state?

The process will be very similar to what John McLagan stated.  If there is reciprocity setup and you have already changed the resident state on the setup of the employee you may only need to void, retain as new, process the check that is in the new file, and adjust the amount of the tax withheld to match what was withheld on the original check.

Yes we have reciprocity.  I will be giving this an attempt this weekend.  Thank you

Denise...this worked out for me.

Thank you to you and the others for the help.