The Payroll department will conduct three Q&A sessions for foreign nationals receiving payment from Berkeley Lab, and who will be filing “nonresident” status on their 2012 tax returns. The sessions will be in Building 971 – Aspen Conference Room (6401 Hollis Street in Emeryville). Sessions are scheduled for:
Tuesday, Feb. 26, 10 a.m. to noon
Tuesday, March 12, 10 a.m. to noon
Wednesday, March 20, 1 to 3 p.m
Seating is limited. Send e-mail here to reserve a space.
Employee W2 for 2012 will be sent to home mailing address no later than January 31. Those who have had an address change should send the updated information to payroll@lbl.gov as soon as possible.
As announced late last year, employee paychecks for 2013 reflect two recent tax changes. The Social Security, or OASDI, tax “holiday” that was in effect for the prior two calendar years expired, returning the OASDI rate to 6.2 percent from 4.2 percent. Also, the 2010 Affordable Care Act included a provision that effective in January 2013 imposes an additional 0.9 percent medicare tax on individual earnings exceeding $200,000 ($250,000 for married couples filing jointly). These tax increases are unrelated to the fiscal cliff deal recently reached.
The result of ongoing negotiations between Congress and the Obama Administration concerning 2013 federal income tax rates could affect your paycheck. Because UC processes early January payroll payments for many employees prior to the holiday break, the existing 2012 federal tax rate schedule will be used. When an agreement is reached and the IRS publishes official guidance, the university will begin withholding at the new tax rates. January paychecks will reflect two tax changes: the employee share of OASDI (Social Security) will increase from 4.2 percent to 6.2 percent tax rate, and new tax rates resulting from the passage of Proposition 30. More>
Go here to learn more about the December pay periods for monthly and biweekly employees, the policy regarding work during the Lab’s holiday shutdown period (Dec. 24 to Jan. 1), and planned changes to payroll taxes and Medicare withholding for 2013. For more information, send e-mail to payroll@lbl.gov.
Friday, March 30, is Cesar Chavez Day. Eligible employees have the option of using that day as a paid holiday if they have approval from their supervisor, and are not planning to take Veterans’ Day, Monday, November 12, 2012, as a paid holiday. Those who will take Cesar Chavez Day or Veterans’ Day as a holiday must use a vacation day or take a leave of absence without pay on Wednesday, December 26, 2012. Go to the Limited Floating Holiday Implementation Guidance webpage for information on eligibility and time-entry procedures. Laboratory policy concerning holidays is in the Regulations and Procedures Manual, Section 2.10. Go here to view the Laboratory’s holiday schedule.
The Senate passed a bill last Friday to keep the Social Security payroll tax at its lower 4.2 percent rate through the rest of the year. The Senate’s decision was not made in a timely enough manner to match of all the Lab’s payroll cycles. As a result all monthly employees will be paid one day in advance on Wednesday, Feb. 29, instead of March 1.
Many faculty and staff have kept an ear tuned to the current debate in Washington D.C. about the “Payroll Tax.” Last year’s Tax Relief Act of 2010 reduced the employee OASDI rate for 2011 from 6.2% to 4.2%. The rate is scheduled to go back to 6.2% starting January 1, 2012. Currently, the debate in Congress pertains to whether to keep the employee share of the OASDI at the 4.2% rate for either a portion of or all of calendar year 2012. As of yesterday, no legislation has passed extending the rate of 4.2%. More>
Following our normal pay schedule, monthly employees will paid for the month of December on Tuesday, Jan. 3. Bi-weekly-paid employees will be paid on Friday, Dec. 30. Bi-weekly employees who receive an actual check can pick them up from 9 to 11 a.m. on Dec. 30 in Building 69R0102 (Mail Room). The Social Security (OASDI) tax will revert back to 6.2% from 4.2% unless Congress extends the legislation keeping the reduction in place. Updates will be posted in TABL.
Contribution rates for most UC Retirement Plan (UCRP) members will increase to 3.5% of pay, up from the current 2% of pay. The new contribution rates, approved last fall by the UC Board of Regents as part of a plan to address UCRP’s unfunded liability, affect only active UCRP members and are subject to collective bargaining for represented employees. UCRP members will see the increased contributions reflected in their regular paychecks for July earnings. Bi-Weekly-paid employees will see the increase on their July 15 check. Monthly-paid employees will see the increase on their August 1 check. Learn more about UCRP and the Regents actions to reduce the plan’s unfunded liability at the Future of UC Retirement Plan website.
