AboutShirley McAllister, CPP, PHR Expertise I can answer payroll questions, payroll tax questions, 401K questions. No stock option questions please and I have some knowledge of other pensions but am most familiar with the 401K pension.
I can answer U.S.and Canada payroll questions proficiently and have a good general knowledge of UK and South Africa and some knowledge of Australia and New Zealand Payroll procedures.
Please do not ask me homework questions I do not have time to answer them.
Experience 25 years with an international company in the Human Resources, Payroll and Payroll Tax areas.
Organizations SHRM, APA, I.O.M.A.
Publications I.O.M.A. and BNA
Education/Credentials P.H.R., C.P.P., Canadian Payroll Administrator, Successfully passed APA class on UK Payroll Administration.
Boise State University Human Resource Certification
Awards and Honors APA Hotline Citation of Merit for last 8 years.
Expert: Shirley McAllister, CPP, PHR Date: 3/19/2008 Subject: Payback of retention bonuses earned in previous year
Question QUESTION: Hi,
I have to pay back the gross amt of a retention bonus since I am leaving my company. I received these bonuses in full in 2007. Since the amt I actually received was less than the amount I have to pay back(because of taxes), should I require the employer to issue me a W2c to correctly show my 2007 wages since my current W2 is overstated? Also, should I only pay back the gross amt - FICA since I believe I will not recover that amt?
ANSWER: If you are to pay back the Gross amount than you will definately have to receive a W-2C from the company so you can file your taxes with the correct income and tax withholdings. You will have to also file for overpayment on Fica to receive the fica back.
The company cannot get back from the government the Fica that they withheld and paid in for your portion of the Fica.
Shirley
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QUESTION: Thank you. What documentation will I need to file for the overpayment of FICA? Should it be represented on the W2c?
Answer It will be on the W-2c. If your employer decides to request the refund of Fica and Medicare for both your portion and his portion he may subtract it from the amount you owe. He would then have to have you sign an IRS Certification that you will not request refund from the IRS. It than takes him 6 months to a year to get it refunded and a lot of red tape. It is easier if he just puts it on the W-2c and it is refunded to you by the IRS.
