We made an important update to how our system handles prior Quarter adjustments, particularly for wage base calculations such as SUTA. This change improves accuracy and visibility when corrections are made, that span Quarters.
What’s changing
Previously, when a prior Quarter adjustment was processed, the changes were often applied entirely within the original Quarter.
Going forward, adjustments now do two things:
- Update the prior Quarter totals to reflect the corrected information.
- Display the impact of that change in the current Quarter where the adjustment was processed.
This means that if you make a correction in an earlier Quarter you may now see prior Quarter totals appearing in your current Quarter reports. This is expected and reflects the correction being applied properly.
Example scenario
Original check (Q1):
- Earnings: $500
- Subject wages: $500
- Q1 total subject wages: $500
Adjustment Made in Q2:
- Adjustment to Q1: -$100
- Corrected Q1 subject wages: $400
- Difference shown in Q2: -$100
In this example, the prior Quarter (Q1) is updated to reflect the corrected total ($400), and a -$100 adjustment appears in Q2 where the change was processed.
Why this matters
This enhancement ensures that:
- Your prior Quarter totals accurately reflect any corrections.
- Reports clearly show when and where adjustments are made, improving auditability and compliance.
- Wage base calculations for items like SUTA remain correct, even when changes occur after the original Quarter has closed.
What you may notice
As a result of this update, it’s normal to see prior Quarter wage adjustments reflected in your current Quarter reports. These represent corrections that cross Quarters and do not indicate an error.
We’re here to help
If you have any questions about how these adjustments appear in your reports or how they affect your wage calculations, reach out to our Support team for assistance.