MA EMAC is an employer contribution when an employer reaches 5 or more employees in a calendar quarter. in 2023, the rate is .034% on an employees first $15,000 of gross earnings after the employer hits the 5 employee mark. If the employer goes under 5 employees in a particular quarter, no EMAC contributions are due.
This is a problem for QB. We had 3 MA employees in Q1 and have had more than 5 in Q2 and Q3. Fortunately, MADUA calculated the correct contribution amounts in Q2 and I was able to create payroll liability adjustments for each affected employee. I subsequently set up MA DUA contributions with the help of payroll support, however the withholdings continue to be calculated in Q3 despite several employees reaching the earnings limit of $15,000 and employer contributions of $51 (.034% * $15,000) in Q2. All but one employee has achieved $15,000 in earnings between Q2 and Q3, but the EMAC contribution continues to show up on my payroll reports on pay over $15,000.
How do I instruct QB to calculate this additional employer contribution only when there are more than 5 MA ee's in a quarter (i.e. what would happen if on Jan 1 24 I start with 6 ee's, but have only 3 on March 31? All of those contributions need to be adjusted because they will not be paid. Similarly, how does the program know to consider earnings only in those quarters where there are more than 5 massachusetts employees? And how can I get the program to stop calculating an employer liability for contributions after the employee reaches $15,000 of earnings in those quarters where there were 5 or more MA employees?
I've spent hours on the telephone with QB payroll support and keep knocking my head on the wall in frustration because no one seems to understand my dilemma and no one accepts that this might be a programming issue that needs to be addressed.
I'd like to get this escalated and fixed. Can anyone please help?
