Service Release 1 for the Q4 2011 Product Update is now available on the web. This applies to versions 7.9, 9.0, and 9.1. Here is a summary of all the content included in this update.

Tax updates supplementing the Q4 Product Update:

• Social Security Employee Withholding Rate Remains at 4.2% until 2/29/2012 due to Payroll Tax Holiday Extension
• FSOC Limit set to $110,100
• Railroad Tier I Employee Withholding Rate Remains at 4.2% until 2/29/2012 due to Payroll Tax Holiday Extension
• Railroad Tier I, Tier II and UI Wage Base for 2012
• State Withholding Tax Changes, Effective January 1, 2012 for the following:
  • Delaware
  • Hawaii
  • Massachusetts
  • Missouri
  • Oklahoma
  • Rhode Island
  • Vermont
• Tax Changes Effective January 1, 2012:
  • Hawaii Employment Training
  • Michigan Unemployment Taxable Wage Base Change
  • New Jersey Family Leave Insurance Employee Withholding Rate Change
  • New York State and Yonkers Withholding
  • Ohio Miami East 5504 SD, Ohio Earned Income Tax Based
  • Ohio Local Income
• Montana Administrative Fund Tax Wage set to $27,000
• Ohio Locals Municipality Code for Annual W2 Reporting to RITA for Tax Year 2011
• PA Local LST taxes updated to correct rate.
• Address field added. Versions 9.0 and 9.1 capture the address for each employment PSD NR code. (Sage Abra Suite version 7.x does not contain PA ACT32 mandated changes. Handle the reporting requirements manually by creating a multi-record custom detail to track the information.)

Electronic File Changes: (Apply the SR1 prior to creating the electronic file.)

· 1099 Electronic File Changes for Tax Year 2011

· Massachusetts W2 File Spec Changes for 2011

· Indiana EFW2 File Changes for Tax Year 2011

· Wisconsin EFW2 File Changes for Tax Year 2011

To download your Sage HRMS product update

1. Visit the Sage Customer Portal

2. Enter your Logon Id and Password (or sign up for a portal logon)

3. Select Payroll Tax Updates on the home page

4. Select the Product Update download specific to your Sage Abra Suite version

5. Right click and Save Target As to the appropriate file location

6. Unzip the files into a new directory

Note: It is necessary to access Abra Suite and run the 'Apply Legislative Update' from within System Tax Tables in order for Service Release 1 changes to take effect.

Please call Sage HRMS Support at 800-829-0170 for further assistance.