This tutorial shows how to set up California Employment Training Tax (ETT) inside Payroll Mate® software.
Note: As of this writing employers subject to ETT pay one-tenth of 0.1 percent (.001) on the first $7,000 in wages paid to each employee in a calendar year. The tax rate is set by statute at 0.1 percent (.001) of UI taxable wages for the employers with positive UI reserve account balances and employers subject to Section 977(c) of the California Unemployment Insurance Code. The maximum tax is $7 per employee, per year ($7,000 x .001). ETT is an employer-paid tax.
Summary of Steps
This is just a summary; please click “Download Tutorial” for detailed instructions with screenshots.
Make sure you have the correct Company open inside Payroll Mate
- Click → Company from shortcuts
- Click → Tax Categories
- Click → Add
- Enter Title
- Select Percentage for calculation method
- Enter each quarterly rate
- Enter Wagebase
- Select Employer for Paid by
- Enter W2 Options as needed
- Click → OK
To update employees to apply the new tax
- Click → Employees from shortcuts
- Select the employee to edit
- Click → Edit
- The Modify Employee Wizard will open, Click → Next until you reach the Taxes page
- Checkmark the new tax to be applied to this employee
- Click → Next until you reach the last page
- Click → Finish