Issue/Symptom/Question

We have employees who are temporarily traveling from other states to help on some CO jobs. The time for these employees is being charged to the OU that is located in CO. Penta is giving us an error when we try to process payroll for our OU. Penta is requiring us to setup for this OU under the CO-FML tax rule. Our attorney has instructed us that “If an employee lives and works in a different state, and only works incidentally in Colorado, they are not subject to Colorado’s FAMLI requirements. The key is that the work in their home state must NOT be incidental, temporary or transitory.” We don’t want to charge the employee or ourselves for employees working temporarily in CO. How can we make Penta allow us to account for this correctly?

Applies To

Penta for Windows

Payroll > Employees > Employee Payroll Information > Federal W/H or State W/H tabs

Resolution/Fix/Answer

To set up the CO-FML, please review this article: Setting Up CO-FML

If you need to exempt your employees from this tax, add this tax to the employees' Tax Exempt Status > STATE record. Add a Starting and, if applicable, and Ending date.