Module: PYUS | Molga: 01 | Currency: USD | Group: Americas
Includes: Federal/State Income Tax | FICA (SS+Medicare) | 401(k) | W-2 | Year-End | 3 case studies
🧭 The Gross-to-Net Pipeline
Gross Pay (/101) → Pre-tax Deductions (401k/FSA) → FICA → Federal/State Tax → NET PAY (/560)
US payroll has both federal and state dimensions. Schema U000 calls sub-schemas in sequence: UIN0 (initialization), UBD0 (basic data), UT00 (gross/time), then tax block.
📌 US Payroll Anchors
- Social Security: 6.2% EE + 6.2% ER (wage base USD 168,600 for 2024)
- Medicare: 1.45% EE + 1.45% ER (no ceiling; +0.9% additional Medicare above USD 200K)
- Federal Income Tax (FIT): progressive 10–37% per W-4 and IRS tables
- State Income Tax (SIT): varies by state (0% in TX/FL/WA; 13.3% max in CA)
- 401(k): employee pre-tax deferral up to USD 23,000 (2024)
- FUTA/SUTA: ER unemployment taxes
- W-2: annual wage statement by January 31
- ACA: employer mandate for applicable large employers
👥 Case Studies
ㅤ | Case A: TX Engineer | Case B: CA Sales Rep | Case C: NY Manager |
Bi-weekly Gross | USD 3,846 | USD 2,885 | USD 9,615 |
State Tax | 0% (TX) | ~5.5% | ~6.5% |
401(k) | 6% | 5% | 10% |
Filing Status | Single | Married | Single |
🏗️ Step 1 — Salary Structure (USD Bi-weekly)
Component | WT | Bi-weekly (USD) | Notes |
Regular Pay | US01 | 3,846 | 80 hrs × USD 48.08 |
Overtime | US30 | — | 1.5× rate if applicable |
GROSS /101 | ㅤ | 3,846 | ㅤ |
🔢 Step 2 — Pre-tax Deductions (Case A)
- 401(k) 6%: USD 231 → reduces federal/state taxable base
- FSA: USD 100/month
- Federal taxable after pre-tax: USD 3,846 − USD 231 = USD 3,615
🔢 Step 3 — FICA (Case A)
Tax | Rate | Amount (USD) |
Social Security EE | 6.2% | 238.45 |
Medicare EE | 1.45% | 55.77 |
FICA EE | ㅤ | 294.22 |
🔢 Step 4 — Federal Income Tax
- Annual projection: USD 3,615 × 26 = USD 94,000
- FIT (Single, Std deduction USD 14,600): ~USD 13,600/year = USD 523/period
🔢 Step 5 — Net Pay Summary (Case A, TX)
ㅤ | USD |
Gross /101 | 3,846 |
401(k) EE | −231 |
Social Security | −238 |
Medicare | −56 |
Federal Tax | −523 |
State Tax (TX) | 0 |
Net /560 | ~2,798 |
⚙️ Schema U000 Touchpoints
COPY UIN0— initialization, load employee data
COPY UT00— gross compensation and time evaluation
COPY UAP0— additional payments and deductions
PIT USTAX— federal/state tax calculation
ADDWT /401— move tax to results table
🏷️ Key Wage Types
WT | Description | Payslip? |
US01 | Regular Pay | ✅ |
/411 | Social Security EE | ✅ |
/421 | Medicare EE | ✅ |
/401 | FIT | ✅ |
/501 | 401(k) EE | ✅ |
/560 | Net Pay | ✅ |
📅 Statutory Calendar (US)
Activity | Deadline |
941 Quarterly Filing | Last day of month after quarter |
W-2 to employees | January 31 |
W-2 to SSA | January 31 |
FUTA Form 940 | January 31 |
ACA Form 1095-C | March 31 |
SuccessLabs Academy | SAP ECP US Payroll (PYUS) | Gross-to-Net Playbook