How to Collect Deferred Employee Social Security Taxes

Background:

If you deferred an employee’s Social Security taxes under the 2020 presidential executive order, you need to submit the deferred Social Security taxes by January 3, 2022.

The government has mandated the collection of deferred Social Security taxes must be done in “ratable” (or evenly proportioned) amounts unless the employee has agreed to a specific collection amount.

Collect deferred employee SS taxes

Go to Settings > Payroll Settings > Defer Employee Social Security Tax.

Scroll to the section that says “Collect Deferred Employee Social Security Tax.”

A table will display with the employee name and the social security tax amount deferred.

1. Confirm the amount of the employee Social Security tax that needs to be collected from your employee. Patriot will display the amount that was entered in the software.
   • If you are new to Patriot and have deferred Social Security taxes from previous payrolls not recorded in Patriot, enter the amounts in the software through payroll history. If needed, please contact Support to turn on payroll history in your software account.
2. Enter the amount to be recollected each payroll by clicking the edit icon.  You can figure this out by dividing the amount to be collected by the number of payrolls the employee has until December 28, 2021 if you’re Full Service. As payrolls are run and deferred Social Security taxes are collected from the employee, the chart will update to show the amount collected and the remaining Social Security tax amount. 

Any remaining deferred employee Social Security tax amounts will be collected from the employer’s tax account on December 28, 2021 if you are a Full Service customer. If you are a Basic customer, you are liable for the employee Social Security taxes, so be sure to remit the payments no later than the IRS deadline.