News about W-2s, exemptions, FICA and supplemental disability
Listed below are a number of important dates and reminders related to taxes and your 2016 benefits. Please note that some of these may require action on your part.
In December 2015, you should have received your Open Enrollment elections confirmation from UCPath.
If you selected the “Supplemental Disability “ benefit option, please note that the rate listed is based on your January 2015 salary. If you received a salary increase in 2015, your deduction amount will increase in 2016 as a result.
For biweekly employees, you will see the increase starting with your Jan. 13 paycheck. For monthly employees, this change will start with your Feb. 1 paycheck.
The Social Security Administration announced last fall that the 2016 Social Security taxable wage base will be $118,500, the same wage base as in 2015.
There is still no limit to the wages that can be subject to the Medicare tax, which equals 1.45 percent of all covered wages.
Same as in 2015, wages over $200,000 that are earned in 2016 will face an extra 0.9 percent Medicare tax, which will be withheld from employees’ wages only (employers are not responsible for this additional tax).
The FICA tax rate is a combination of the Social Security tax rate (6.2 percent) and Medicare tax rate (1.45 percent). For 2016, the FICA tax rate will be 7.65 percent, to the height of the Social Security wage base. This means the maximum Social Security tax for employees and employers in 2016 is $7,347. This is the same maximum as in 2015. For more information, visit the Social Security Administration website.
Sources: American Payroll Association & the Social Security Administration
You will receive two W-2s for 2015. One will be from the previous UCLA system for January through November 2015 paychecks, and the other will be from UCPath for December 2015 paychecks. Note: If your first UCOP paycheck was in December, you will only receive one W-2.
Previous System W-2:
To view your electronic W-2 from the previous UCLA system, please visit AYSO after mid-January. If you did not select electronic delivery, printed W-2s will be mailed by Jan. 31.
To view your electronic UCPath W-2, visit UCPath after mid-January. Click on “Income and Taxes” on the left hand side, then “View Online W-2/W2c.”
If you did not previously select electronic delivery, visit UCPath between Jan. 12 and Jan. 21, 2016 to update your record. Once on UCPath, click on “Income and Taxes” on the left hand side, then select “Enroll to Receive Online W-2.” The deadline to make this selection is Jan. 21, 2016. Printed W-2 statements will be mailed by Jan. 31, 2016.
CLAIMING EXEMPTION ON YOUR W-4
If you are claiming exemption, you will need to review and submit your W-4 and DE-4 tax exemption preferences prior to Feb. 15, 2016.