Penta 2024 End of Year Bulletin 3 of 4

One of the benefits of your annual license is receiving the modifications Penta Software makes to your ERP for compliance items, including:

• General U.S. federal payroll regulations
• General state payroll regulations
• Updates of U.S. federal and state payroll tax tables
• 1099-MISC and 1099-NEC regulations

We assemble these modifications into a kit and then install them on your system at a prescheduled time. Please be sure to schedule your installation by completing the reservation form below.

Remember that the 2024 End of Year Information Knowledge Base article will have this information as well as links to other bulletins, guides and details of tax kits.

Tax Kit Changes

As of the delivery of this email, the complete tax kit installation includes the following:

1. Federal and State Payroll Tax changes issued prior to December 13, 2024. These changes are date-sensitive and affect tax calculations on the appropriate date.
2. W-2 program changes:
   1. PostScript laser form layouts compatible with 2024 requirements (PENTA only supports PostScript laser forms for printing W-2s)
   2. EFW2 electronic filing format changes compatible with 2024 federal requirements.
   3. Electronic/magnetic media formats compatible with 2024 state requirements.
   4. Electronic filing format changes compatible with 2024 requirements of supported local taxing authorities.

3. 1099-MISC and 1099-NEC program changes:

   1. PostScript laser form layout compatible with 2024 requirements (PENTA only supports PostScript laser forms for printing 1099's)

   2. Electronic Filing format compatible with 2024 requirements

      1. The 1099-MISC includes Combined Federal/State Filing

      2. The 1099-NEC includes Combined Federal/State Filing

Our End of Year Knowledge Base article provides the most up to date information.

At this time, the End-of-Year Kit requires updates to PENTA programs, tax tables and PENTA client executables. Additional software changes may be needed as government agencies announce additional changes.

We are scheduling time December 17-20 to connect to your server to install the complete kit into production databases.

During installation, you cannot perform W-2 generation, 1099 generation or payroll processing (including timecard entry).

We are scheduling installations in half-hour blocks, but it can take up to two hours so that the installer has sufficient time. Please complete the reservation form via the link below to schedule the installation. We take reservations in the order received and will confirm your scheduled time according to the information provided on the reservation form. After the installation, we will confirm that it is complete with your designated contacts.

Installation of the complete End of Year Kit requires the following steps:

1. We connect to your server and upload the programs and tax table files prior to installation. This does not affect current programs or tax tables. This step is lengthy, and we do it in the background to minimize disruption to your business. If you have any concerns please contact us.
2. We email the location of the client patch file to the contacts you list on the reservation form.
3. We connect to your server and install the end of year programs and tax table changes in your production database at your reserved installation time.
4. You install the PENTA client-patch file. If client executables are installed on individual workstations, the update, at a minimum, must be applied on all workstations where users perform W-2 and 1099 generation.
   1. Penta completes this step for you if you are a hosted customer.