Fiscally Fit…News from the Controller
January 2006
Payroll News
State Withholding Changes for 2006
The State of Oklahoma has announced recent changes to their state income tax withholding tables. The two most significant changes are (1) the supplemental flat tax rate has been reduced from 6.65% to 6.25%; and (2) the married with both spouses working (option 4 on our W-4 form) has been eliminated. The first change will reduce the State tax liability for some employees. The second change could change the amount withheld from some employees’ payroll checks.
The elimination of the married with both spouses working option will affect approximately 1500 OSU employees. The following email was sent to those employees explaining their options.
Dear Employee,
The State of Oklahoma has announced recent changes to their State income tax withholding tables. The two most significant changes are (1) the supplemental flat tax rate has been reduced from 6.65% to 6.25%; and (2) the married with both spouses working (option 4 on our W-4 form) has been eliminated. This email is being sent to you since you have elected the married with both spouses working option. You have the following options in regard to that election:
1. Do nothing and OSU will automatically switch you to the Oklahoma single rate per instructions listed in the Oklahoma Income Tax Withholding Tables instructions, or
2. Send a W-4 form to Payroll Services at 409 WH in order to change to the regular married withholding rate. Additional amounts can be withheld if necessary. The W-4 form is located on the Payroll Services website at http://www.vpaf.okstate.edu/PayrollServices/DownloadGuidsAndForms.htm.
The new rates will become effective February 1, 2006. If you wish to complete a new W-4 in order to withhold at the regular married rates, Payroll Services will need your new W-4 form by January 27, 2006 for biweekly employees and by February 10, 2006 for monthly employees in order to take effect on February payrolls.
The reason the State withholding instructions state that you should be switched to the single rate is because the previous married with both spouses working option was defined as married, but withheld at the higher single rate.
The following link is to an Income Tax Withholding Calculator located on the Payroll Services website at http://www.vpaf.okstate.edu/PayrollServices/TaxCalculator.htm. You can click on either the Tax Calculator Workbook or How to Use the Tax Calculator. Payroll Services is not qualified to give tax advice. If you feel you need tax advice, please contact your tax preparer for help.
If you have any questions regarding this message, please contact Karen McCombs in Payroll Services at 405 744-6380.
Direct Deposit Forms Processing for New Employees
In the past, Payroll Services has had to wait until an employee was paid at least once before a direct deposit form could be input into the State’s direct deposit system. As a result of enhancements at the State, it is now possible to input the direct deposit form as soon as it is received. This enhancement should significantly reduce the number of paper checks issued to new employees mandated to direct deposit.
If you or any of your employees have questions concerning direct deposit, please contact Retta Gayle Meigs in Payroll Services at 405 744-7294.
Bursar News
· First bursar billing statement for the spring semester will be generated February 1, 2006.
· 1098-T and 1098-E statements to be mailed by January 31, 2005.
· Purge occurred for all transaction records with an effective date older than December 31, 2005 that were fully paid/applied and billed.
· Collection efforts will begin during the last week in January, after the add/add date, for non-student bursar accounts.
ATTENTION OSU EMPLOYEES!
MAIN CAMPUS
Bursar bills exclusively online
BEGINNING FEBRUARY 1!
No more paper cuts!
Benefits: Convenient, 24/7 availability internet access, historical information.
Your electronic billing statement is redesigned to make transactions easier to understand and provide historical monthly billing information. Online payments are easy, fast, and secure. Pay online at http://prodosu.okstate.edu, or continue to mail payments to P.O. Box 1583, Stillwater, OK 74076.
Bursar E-Billing Notification: You will receive an e-mail notification when your most recent billing statement is available to view online.
Register or login at: https://bursar.okstate.edu/login.asp
Purchasing News
Notes:
· Purchasing Department Relocation:
The Purchasing Department will be relocating to 1224 N. Boomer Road in mid to late February. You will be notified of the specific date when it becomes available. It is anticipated that there will be daily courier service between the Accounting and Purchasing Departments. The Blue bus route services this location.
Important Dates:
1. Board Dates:
· Requisitions requiring Board of Regents approval (greater than $150,000) were due in Purchasing: January 4, 2006 for the January 27, 2006 Board Meeting.
· Requisitions requiring Board of Regents approval (greater than $150,000) are due in Purchasing: February 8, 2006 for the March 3, 2006 Board Meeting
2. P/card Training – February 14, 2006, 2:00 PM, 412 Student Union.
· To register for this training session contact Human Resources at 744-5374.
3. Purchasing Policies and Procedures Seminar – February 15, 2006, 9:00 AM, 412 Student Union.
· To register for this training session, contact Human Resources at 744-5374.
· The Purchasing Department is available to conduct purchasing training on an as-needed basis to departments and colleges. Please contact Purchasing at 744-5984 to schedule a date.
Accounting News
Master Lease Program Schedule:
University Accounting has received the Master Lease program schedule for calendar year 2006. The program allows University departments to finance the acquisition of equipment. Any department interested in the Master Lease program can contact Susan Rackley at 744-5881 for more details.