Primepoint’s Solution for Families First Act Tax Credits

The Families First Coronavirus Response Act has provisions to ease employers’ burdens through tax credits.

Primepoint has taken immediate action and has programmed a solution into our system that enables our customers to take advantage of these tax credits.

We have created three new earning types in our system: COVID-19 Paid Sick Leave, COVID-19 Child Care (2 wk), and COVID-19 Child Care (10 wk). You will be able to use these earnings to record pay for employees on qualified leave and take advantage of the tax credit.

These earnings will be made available on a dedicated worksheet and will create a separate check. This must be done so that the employer FICA taxes can be calculated and credited separately from other earnings. Even if you have already started using your own COVID-19 earnings, you will still need to contact your service team to set up the new earnings. When set up properly by your service team, our system will calculate the available tax credits and will reduce your federal tax liabilities accordingly.

Click Here for IRS Information and Details About the Act