Michigan Payroll Instructions

To enter withholding information for an employee in your Goldenseal company file, follow these steps:

1. Choose Employees from the Accounts menu.
2. Locate the employee record.
3. Click the Payroll Setup button.
4. Enter the employee's marital status into the Marital Status field (see note below).
5. Choose the correct Tax package for the employee, depending on their place of residence.
6. Enter the number of federal dependents into the Federal Exemptions field.
7. Enter the number of Michigan dependents into the State Exemptions field.
8. If the employee qualifies for any special exemptions, report the number of special exemptions in the Other Exemptions field.
9. Click OK.

If the employee resides (resident) or works (non-resident) in Saginaw, Detroit, Highland Park or an increasing number of other cities, you'll need to set up additional Tax Packages, so they will get withholding for local taxes.

To create Tax Packages, follow these steps:

1. Choose Payroll Setup from the Costs menu, and choose Tax Packages from the submenu.
2. Click on one of the standard packages, then click Duplicate.
3. Enter a descriptive name for the package (e.g. Saginaw Non-Resident).
4. Go through the list of Tax Items, and select any local taxes that apply.
5. Click OK.
6. Repeat steps 2 to 5 for each locality where you need to collect taxes.

After you have set up additional Tax Packages, apply them to your employees:

1. Choose Employees from the Accounts menu.
2. Use the browser controls at upper left, to locate an employee.
3. Click the Payroll Setup button.
4. Enter the Tax Package that applies.
5. Click OK.
6. Repeat steps 2 to 5 for each employee that needs local withholding.