Setting up ME-FML Tax Type

Owned by Dale Parker
Last updated: 10 30, 2024
2 min read

Issue/Symptom/Question

How do I set up Maine Paid Family and Medical Leave (ME-FML)?

Applies To

PENTA for Windows

Payroll > Setup > Taxes > Payroll Tax Maintenance

Resolution/Fix/Answer

This new tax type will be available with the 2024 EOY Tax Kit.

Maine Paid Family and Medical Leave is a state mandated tax on employers and employees. For details please visit MDOL: Paid Family and Medical Leave

In order for PENTA to calculate the tax correctly and not have any errors during payroll processing, the ME-FML tax needs to be set up:

  • Navigate to the Payroll Tax Maintenance window and query ME-FML

  • Review the General tab according to the tax regulation - see below:

image-20241030-201308.png

  • Update the Rates tab

    • State/Province will be ME

    • Rates must be set. You need to look up the rates and set appropriately. PENTA does not maintain the rates. 

image-20241030-201609.png

  • Update the Accrual and Expense Accounts tab with the appropriate information.

  • Optionally, in the following windows set up taxability rules for Tax Type ME-FML:

    • Direct Burden Rules

    • Master Deductions

    • Master Reimbursements

    • Other Compensation Information

    • Payroll Classes

    • Employee Payroll Information 

For ME-FML reporting use this report:

  • OTHSTTAXEMPEMR (generates Other State Taxes - Emp / Emr report)