Tax

Rate Update
The Tax Rate Update will include information that may impact your payroll calculations. You will be notified on the Tax home page of any new information added to the Tax Rate Update. If you wish to claim exempt status, a new W4 must be completed and sent to payroll each year. The deadline if you are currently claiming exempt to renew the status for this year is February 15, 2013.

Social Security and Medicare (FICA) Tax Change

The Social Security rate for employees is 6.2%. The Social Security base has increased to $113,700 for 2013. For further details on the legislation, please visit www.irs.gov. The tax amount for Social Security and Medicare will total 7.65% of earnings up to $113,700. The Medicare portion of 1.45% will continue to be withheld from all earnings with no limit. In addition to withholding Medicare tax at 1.45% there is an additional 0.9% Medicare Tax on wages in excess of $200,000.

Federal Income Tax Changes

Recent Tax Changes Implemented ... Review your tax withholding elections The IRS has released the percentage method withholding tables for 2013 which incorporates the 39.6% income tax for wages in excess of $400,000. GE has implemented these changes in compliance with Federal guidelines. You should review your income tax withholding elections and, if necessary, revise your elections by clicking on Payroll, then Taxes, and then Federal & State Tax Elections from the left navigation toolbar. For more information, visit www.irs.gov.

Withholding from Supplemental Wage Payments

The Federal Withholding rate used for supplemental wage payments (bonuses, commissions, awards, etc.) will be 25% for 2013. ( top )