IR&C Business Requirements Document SR W-2 Changes Created on: 08/04/2011 Last Modified on: 11/21/2011

Transcription

1 IR&C Business Requirements Document 2011 W-2 Changes Created on: 08/04/2011 Last Modified on: 11/21/2011 Page 1 of 59

2 Table of Contents 1 Business Need Section Objective: Issue Tracker Reference Project Type: System Requested by: Implementation Deadline: Urgency Deadline Information Statement of Business Need: Current Process: Proposed Process: Proposed process from a functional perspective Proposed changes to system inputs and outputs Scope and Estimate Section Scope Assumptions Overview of Changes Estimate Time Dependencies Scope and Estimate Approval Approval by IR&C QA Manager Approval by IR&C Programming Manager Approval by Hosted Applications Manager Approval by Requesting Department Manager Functional Requirements Section Overview of Modifications Control Table Updates Interface Files Corporate Interface Files Government Interface Files Other Tax Processing Reporting and Notification Page 2 of 59

3 3.5.1 W-2 Reporting Printed W-2 Mockup File Layout: W-2 Interface File to the SSA RE Record changes File Layout: W-2 Interface File to the SSA RW Record changes File Layout: W-2 Interface File to the SSA RT Record changes File Layout: W-2 Interface File to the SSA RO record changes: File Layout: W-2 Interface File to the SSA RU record changes: File Layout: OW2 - W-2 Interface File Detail Record Changes: File Layout: OW2 - W-2 Interface File Trailer Record Changes: Report Mockups Functional Requirements Approval Revision History Page 3 of 59

4 1 Business Need Section 1.1 Objective: Modify the SSA and IRS W-2 process for tax year Issue Tracker Reference Corresponding Issue Tracker Number, if applicable: Project Type: Enhancement Components of the W-2 tax process will be impacted. 1.4 System PPS Additional System Information: 1.5 Requested by: Marcia Johnson 1.6 Implementation Deadline: Urgency Date Mandated These modifications affect the W-2s for the 2011 tax year: Deadline Information These changes must be implemented in time for campuses to install prior to tax reporting for calendar year Page 4 of 59

5 1.7 Statement of Business Need: Changes in the printed Form W-2 and in the SSA electronic file are needed each year to satisfy IRS and SSA requirements. The following PPS processes require modifications for the 2011 tax year: Electronic SSA File Online W-2 Interface File (OW2) Printed Form W-2 W-2 Reports Additional Background: Code DD was added to Box 12 of the 2011 Form W-2 to report the cost of employer-sponsored health coverage. This reporting is not mandatory for UC will begin reporting the cost of health coverage on the 2012 W-2 form. The request to add DD to Box 12 will be included in the W-2 requirements for the 2012 tax year. SR83411 addresses the need to begin capturing 2012 data in preparation for reporting this amount on the 2012 Form W-2. For now, a placeholder should be set up in the W-2 interface file to SSA but no data should be sent. The Hiring Incentives to Restore Employment (HIRE) Act has been eliminated for tax year Code CC is no longer a valid code and HIRE Act wages will not be reported in Box 12. There may be data in the EDB from 2010, if it was not manually cleared by the campuses. The SSA has left this field in their file layout for The Advanced Earned Income Credit Payment has been eliminated for tax year This was previously reported on the W-2 in Box 9. Box 9 should be grayed out on the printed Form W-2. The SSA has left this field in their file layout for Employee contributions to the UC Retirement Plan (UCRP) began in April The UCRP contributions for 2010 were not reported on the 2010 W-2. The 2011 employee contribution will be reported in Box 14 of the 2011 W-2. Under the 2009 Health FSA Plan (formerly HCRA), employees could set aside a portion of their income on a pre-tax basis for qualifying medical expenses. Employees use a special debit card to charge medical expenses, which would then be verified as qualifying by the third party administrator, CONEXIS. The University paid all debit card charges to CONEXIS. Unsubstantiated Health FSA Plan claims are regarded as debts owed to the University and, in accordance with IRC Section 61, debts forgiven by the University become income to the employee in the year the debt is forgiven. Health FSA unsubstantiated claims for 2009 must be included on the 2011 W-2 and are reported in Box 14. The label HCRA should be changed to HFSA. The SSA has added a new field called Designated Roth Contribution Under a Governmental Section 457(b) Plan to their file layout for the 2011 tax year. This field does not apply to UC; we should add the field but not send any data on the interface file. There are changes to the country codes for Page 5 of 59

6 1.8 Current Process: Tax Year Tax year is HIRE Act HIRE Act wages are reported in Box 12 of the printed W-2 using Code CC. HIRE Act wages are reported in the W-2 interface file to the SSA in positions of the RO record and positions of the RU record. HIRE Act wages are sent in the Online W-2 interface file (Employee Detail and Trailer record types). HIRE Act appears on the PPP6007, 6008, 6009, 6011, 6014, 6017, 6021, and 6102 W-2 reports. Advance Earned Income Credit The Advanced Earned Income Credit is reported in Box 9 of the printed Form W-2. Advance Earned Income Credit is currently being sent in positions of the RW record and the RT total record of the W-2 interface file to the SSA. Advance Earned Income Credit is being sent in the Online W-2 interface file (Employee Detail, pos , and Trailer records) The W-2 Reports include EIC UCRP Contributions UCRP is not currently being reported in Box 14 of the Form W-2. UCRP is not currently being sent in the W-2 interface file to the SSA UCRP is not currently being sent in the OW2 interface file UCRP is not currently included on the W-2 reports Health FSA Imputed Income 2008 HCRA Unsubstantiated Claims were reported in Box 14 on the Form W-2 for the 2010 tax year with the label HCRA. Health FSA Imputed Income is currently being sent in the OW2 interface file Health FSA Imputed Income is currently being included in the W-2 reports as HCRA Income Kind of Employer Kind of Employer does not currently appear in the W-2 interface file to the SSA (new field) Cost of Employer Sponsored Health Coverage Page 6 of 59

7 Not currently included in the W-2 interface file to the SSA Designated Roth Contribution under a Governmental Section 457(b) plan Not currently included in the W-2 interface file to the SSA Country Codes Country Codes do not currently include Curaco and Sint Maarten. East Timor and Netherlands Antilles are in the Country Code table. Country code CF is overridden by country code CG. 1.9 Proposed Process: Proposed process from a functional perspective Tax Year Change the tax year to 2011 on the printed Form W-2. HIRE Act The Hiring Incentives to Restore Employment (HIRE) Act has been eliminated for tax year 2011 going forward. It was previously reported in Box 12 using code CC. Code CC in Box 12 of the printed W-2 is no longer a valid code and should be removed. HIRE Act ( CC ) should be removed from the Online W-2 (OW2) interface file Employee Detail Box 12 area and Trailer record positions On the SSA Interface file, since the HIRE Act does not apply to 2011, but there may still be related data in the EDB, the HIRE Act field should be filled with zeros and the references to the EDB data element in the file layout should be removed. HIRE Act fields are in positions of the RO record and positions of the RU record. Hire Act should be removed from the W-2 reports. Advance Earned Income Credit The Advance Earned Income Credit payment has been eliminated for the 2011 tax year. This was previously reported on the W-2 in Box 9. Box 9 will no longer be used so it should be grayed out on the printed Form W-2. Advanced Earned Income in positions of the OW2 Employee Detail Record and positions of the Trailer record should be changed to Filler. This data will no longer be transmitted in the OW2 interface file. On the SSA Interface file, this field should be filled with zeros to avoid sending any data that may have been collected in the beginning of 2011 prior to R1978. Any data element references for this field should be removed. Page 7 of 59

8 Advance EIC should be removed from the W-2 reports, but may be left as is for this tax year UCRP Employee Contributions Beginning in April of 2010, employees began contributing to the UC Retirement Plan (UCRP). The 2011 employee contribution must be reported at the top of Box 14 of the W-2. The label should read UCRP. The GTN s that must be captured for the UCRP employee contribution are 005, 006, 351, 352, 353, 354, and 355. UCRP should be added at the top of the Box 14 information sent in the Online W-2 interface file. Box 14 data is in positions UCRP should also be added to the Trailer record. UCRP does not impact the SSA Interface file. UCRP employee contribution should be added to the W-2 reports Health FSA Unsubstantiated Claims Health FSA Unsubstantiated Claims for 2009 must be reported on the 2011 W-2 in Box 14. The label HCRA should be changed to HFSA. On the OW2 file, the label HCRA should be changed to HFSA (see positions of the Employee Detail Record and positions of the Trailer Record. The SSA Interface File does not carry this data, so no changes are needed. The label HCRA should be changed to HFSA on the W-2 reports. Kind of Employer Kind of Employer is a new field that should be added to the SSA interface file (position 174 of the RE record). This 1-character field should be filled with the value: Y Designated Roth Contribution Under a Governmental Section 457(b) Plan This is a new field on the SSA file (positions of the RO record, and positions of the RU record). A description should be added to the layout, but since it is not applicable to UC, the field should be zero filled. Cost of Employer-Sponsored Health Coverage This is a new field on the SSA interface file (positions of the RW record and of the RT record). A description should be added to the layout, but since UC will not report it until the 2012 tax year, the field should be zero filled for the 2011 tax year. Country Codes Add Curaco (UC) to the FCT Add Sint Maarten (NN) to the FCT Page 8 of 59

9 East Timor (TT) should be renamed as Timore-Leste (TT) on the FCT Netherlands Antilles (NT) should be retained until no longer used for 1042-S processing. Campuses should review any use of NT (for country or residency or foreign address) to be sure it s correct. There are two codes for Congo for the SSA and FCT. These codes are CF (Congo /Republic of Brazzaville) and CG (Congo/Democratic Republic of Zaire/Kinshasa). There is an override in the CPWSXTRC for CF (overrides to CG). This override should be removed Proposed changes to system inputs and outputs Changes to the W-2 reports, printed Form W-2, and OW2 and SSA interface files will be needed. See the Functional Requirements section for details. Processing Considerations: There will be impact to the AYSO application. AYSO receives the OW2 interface file and uses it to create the Online W-2. 2 Scope and Estimate Section 2.1 Scope Small Additional Scope Information: 2.2 Assumptions AYSO requirements are to be included in a separate request. Changes appear to be similar to previous W-2 changes 2.3 Overview of Changes Changes are expected to involve the standard tax processing objects (PPP600 and its subprograms and copy files, PPP610). 2.4 Estimate Task Estimated Work Hours Based on Business Needs Working Days* New Estimate Based on Functional Requirements? (Enter new New Estimate Based on Technical Spec? (Enter new estimates Actuals After completion Page 9 of 59

10 Requirements Gathering Technical Specification Preparation Mainframe 18 hours 3 days 240 hours 40 days Development Web Development N/A N/A QA 104 hours 12 days User Acceptance Testing Release Preparation Installation in Production 18 hours 3 days 92 hours 7 days Total 472 hours 65 days Costing: 18 $84/hr = $1, $69/hr = $31,326 Total: $32,838 estimates if applicable) if applicable) * Estimate Notes: QA: 16 days, with 4 days of overlap with development. 12 days recorded on table. Working days may take into account productivity adjustments, overlap between phases, and multiple resources working on a phase at the same time. Working days do not include weekends. Requirements Gathering elapsed time allows time for document approval. Costs associated with estimated work hours are figured using an hourly cost of $69 if a PAIII is assigned the task and $84 if a PAIV is assigned. 2.5 Time Dependencies Final requirements needed: lead time of 13 weeks 2.6 Scope and Estimate Approval Approval by IR&C QA Manager Version Date Name /17/11 Mary Ann Gohl Approval by IR&C Programming Manager Version Date Name /17/11 Bob Franks Page 10 of 59

11 2.6.3 Approval by Hosted Applications Manager Version Date Name /10/11 Christopher Scott Approval by Requesting Department Manager Version Date Name /17/11 John Barrett 3 Functional Requirements Section 3.1 Overview of Modifications Modifications will be needed in the areas of the printed Form W-2, the OWA interface file, SSA interface file and the W-2 reports. Control Table Updates: Foreign Country Table EDB Maintenance: None History (HDB, CDB) Process: None Compute Process: None Distribution of Expense: None Consolidated Billing and Self-Billing: None Merit/Range/ATB Processes: None Other Processes: None One-time Processes: None Interface Files: Changes to OW2 and SSA Interface Files Other Tax Processing: Changes to printed Form W-2 and Country Code changes CICS Screen/Web Page Modifications: None Online Help Modifications: None Reporting and Notification: Changes to W-2 reports Forms: None 3.2 Control Table Updates Req. ID R0001 Requirement Type/Category Foreign Country Table Requirement Description Add Curaco (UC) to the FCT Add Sint Maarten (NN) to the FCT Page 11 of 59 East Timor (TT) should be renamed as Timore-Leste (TT) on the

12 Req. ID Requirement Type/Category Requirement Description FCT 3.3 Interface Files Corporate Interface Files Modifications to the Online W-2 interface file (OW2) are needed. See attached layout. Req. ID Requirement Type/Category Requirement Description R0002 Interface File Employee contributions to the UC Retirement Plan (UCRP) for 2011 will be reported at the top of Box 14. The UCRP employee contributions should be added to the OW2 interface file (employee detail record and trailer record). The AYSO requirements will include a request to increase the size of Box 14 to accommodate this new amount. The GTNs that must be captured for the UCRP employee contribution are 005, 006, 351, 352, 353, 354, and 355. R0003 Interface File Box 9 is no longer used. Positions and Trailer positions should be changed to filler on this interface file. The AYSO requirements will include a request to grey out Box 9. R0004 Interface File The HIRE Act data should be removed from the detail record (Box 12 area) and trailer record positions It is not applicable to the 2011 tax year. R0005 Interface File The label HCRA should be changed to HFSA (comments/label for positions of the Employee Detail Record and description for positions of the Trailer Record) Government Interface Files Modifications to the SSA Interface File are required. See attached layout. Req. ID Requirement Type/Category Requirement Description R0006 Interface File RE Record Page 12 of 59 Add a new field in Position 174 Field Name = Kind of Employer Length = 1

13 Req. ID Requirement Type/Category Requirement Description Value = Y Specifications o o o This is a required field Enter the appropriate kind of employer F = Federal Government S = State and Local Governmental Employer T = Tax Exempt Employer Y = State and Local Tax Exempt Employer N = None Apply Does Not Apply to Puerto Rico R0007 Interface File RW Record R0008 Interface File RW Record Advance EIC (positions ) should be filled with zeros on the RW record. The reference to the data element should be removed from the file layout. Social Security Number, Position 3-11 specifications appear to have changed for this field. Research should be done to make sure UC is in compliance with the specifications. Field Name = Social Security Number (SSN) Length = 9 Specifications o o Enter the employee's SSN as shown on the original/replacement SSN card issued by SSA. >Enter only numeric characters. >Omit hyphens. >May not begin with 666, 9 or 000. >May not have 00 for the middle two digits, or 0000 for the last four digits o If no SSN is available, enter all zeros (0). Page 13 of 59

14 Req. ID Requirement Type/Category Requirement Description R0009 Interface File RW Record Position ( ) Optional for 2011 UC will begin reporting in 2012 Field Name = Cost of Employer Sponsored Health Coverage Length = 11 Value zeros for 2011 tax year Specifications o o o No negative amounts Right justify and zero fill Does not apply to Puerto Rico or Northern Mariana Islands employees R0010 Interface File RO Record Position Field Name = Designated Roth Contribution Under a Governmental Section 457(b) Plan Length = 11 Value zeros; does not apply to UC. Specifications o o o No negative amounts Right justify and zero fill Does not apply to Puerto Rico or Northern Mariana Islands employees R0011 Interface File HIRE Act should be filled with zeros in the RO record positions (it does not apply to 2011). R0012 Interface File RT Record Position ( ) - Optional for 2011 UC will begin reporting in 2012 Field Name = Cost of Employer Sponsored Health Coverage Length = 15 Page 14 of 59

15 Req. ID Requirement Type/Category Requirement Description Value zeros for 2011 tax year. Specifications o o o Enter the total for all Employee Records (RW)reported since the last Employer Record (RE) Right justify and zero fill Does not apply to Puerto Rico or Northern Mariana Islands employees R0013 Interface File Zeros should be sent for Advance EIC on the RT record. R0014 Interface File RU Record Position Field Name = Designated Roth Contribution Under a Governmental Section 457(b) Plan Length = 15 Value zeros; does not apply to UC Specifications o o o Enter the total for all Employee Records (RW) reported since the last Employer Record (RE) Right justify and zero fill Does not apply to Puerto Rico or Northern Mariana Islands employees R0015 Interface File HIRE Act should be filled with zeros in the RU record positions ; it does not apply to Other Tax Processing Changes to the Printed Form W-2 are needed. Req. ID Requirement Type/Category Requirement Description R0016 Tax Processing The tax year on the printed W-2 should be changed from 2010 to 2011 Page 15 of 59

16 Req. ID Requirement Type/Category Requirement Description R0017 Tax Processing The Advanced Earned Income Credit ed in Box 9 has been eliminated. Box 9 should be grayed out on the printed W-2. R0018 Tax Processing HIRE Act should not be reported in Box 12 of the printed W-2. R0019 Tax Processing Employee contributions to the UC Retirement Plan (UCRP) for 2011 will be reported in Box 14 of the printed W-2. A determination will be made as to the space available in Box 14 for the UCRP amount. R0020 Tax Processing Unsubstantiated Health FSA Plan Claims for 2009 should be reported in Box 14 of the printed W-2. The label HCRA should be changed to HFSA. R0021 Tax Processing 3.5 Reporting and Notification Changes to the W-2 Reports are needed W-2 Reporting Req. ID Requirement Type/Category Remove W-2 override of country code CF. Requirement Description R0022 Reporting W-2 Reports Changes are needed to the following PPP reports: PPP6007, 6008, 6009, 6011, 6014, 6017, 6019, 6020, 6021 and 6102 to remove the HIRE Act and add the UCRP Employee Contributions, and to change the HCRA label to HFSA. R0023 Reporting PPP6010 Error and Warning Messages Report The processing for PPP6010 Error And Warning Messages Report should be modified as follows: If any UCRP deduction amount is negative, issue a warning message (TAX EXTRACT: EMPLOYEE HAS NEGATIVE UCRP BALANCE) If the total UCRP deduction amount is negative, issue a warning message (TAX EXTRACT: EMPLOYEE HAS NET NEGATIVE UCRP BALANCE) Page 16 of 59

17 3.6 Printed W-2 Mockup Page 17 of 59

18 3.7 File Layout: W-2 Interface File to the SSA RE Record changes Federal Tape (W-2) to SSA/ IRS (PPP600) 2011 W-2 Changes RE Record Identifier Employer Record Position Length/ Field Description Data Comments Format Element # Record identifier RE Tax year Tax year for this report 7 1 Agent indicator code Blank Employer/agent employer Campus EIN (location specific) identification # (EIN) Agent for EIN Fill with blanks 26 1 Terminating business 0 (zero) indicator Establishment # Fill with blanks Other EIN Fill with blanks Employer name Campus name; left justify and fill with blanks Location address Campus address (attention, suite, room no., etc.); left justify and fill with blanks (location specific) Delivery address Campus street address; left justify and fill with blanks (location specific) City Campus city; left justify and fill with blanks (location specific) State abbreviation CA Zip code Campus zip code (location specific) Zip code extension Campus zip code extension; if not applicable, fill with blanks (location specific) Kind of Employer Value Y (State and Local Tax exempt Employer). Does not apply to Puerto Rico Blank Fill with blanks, reserved for SSA Foreign state/province Fill with blanks Foreign postal code Fill with blanks Country code Fill with blanks Employment code R (Regular) = EDB 0122 (H,B,U,1,P,S,O, blank); Q (Medicare Qualified Government Employment = EDB 0122 (F) Tax jurisdiction code Fill with blanks Third-party sick pay 0 (zero) indicator Blank Fill with blanks; reserved for SSA Page 18 of 59

19 3.8 File Layout: W-2 Interface File to the SSA RW Record changes Federal Tape (W-2) to SSA/ IRS (PPP600) 2011 W-2 Changes Page 19 of 59 RW Record Identifier Employee Wage Record Position Length/ Field Description Data Comments Format Element # Record identifier RW Social Security Number (SSN) EDB0111 Employee s SSN; May not begin with 666 or 9; if none or invalid; enter all zeroes Employee first name EDB0250 Employee s first name; left justify and fill with blanks; if no first name, fill with blanks Employee middle name or initial EDB0251 If applicable, enter employee middle name or initial; left justify and fill with blanks; otherwise fill with blanks Employee last name EDB0252 Employee s last name; left justify and fill with blanks Name Suffix EDB Employee Address Line 1 EDB0204 Employee s permanent address line 1; left justify and fill with blanks Employee Address Line 2 EDB0205 Employee s permanent address line 2; left justify and fill with blanks City EDB0206 Employee s address permanent city; left justify and fill with blanks State abbreviation EDB0207 Employee s address permanent state; if foreign address code = F, fill with blanks Zip code EDB0208 Employee s address permanent zip; if foreign address code = F, fill with blanks Zip code extension Fill with blanks Blank Fill with blanks; reserved for SSA Foreign state/province EDB1120 If foreign address code = F; otherwise, fill with blanks Foreign postal code EDB1119 If foreign address code = F; otherwise fill with blanks Country code EDB1118 If foreign address code = F; otherwise fill with blanks Wages, tips and other compensation EDB5502 FWT gross year-to-date (YTD); right justify and zero fill Federal income tax withheld EDB6014Y Federal tax withheld; right justify and zero fill Social security wages EDB5503 OASDI gross; Social Security tax withheld EDB6013Y OASDI tax withheld; right justify and zero fill Medicare wages and tips EDB5510 Medicare gross (YTD); right justify and zero fill Medicare tax withheld EDB6009Y Medicare tax withheld (YTD); right

20 Position Length/ Format Page 20 of 59 Federal Tape (W-2) to SSA/ IRS (PPP600) 2011 W-2 Changes RW Record Identifier Employee Wage Record Field Description Social Security tips Data Element # Comments justify and zero fill Zero fill Advance earned income credit Not applicable for 2011 Tax Year. Zeroes. Dependent care benefits EDB6227Y Employee Depcare YTD balance; right justify and zero fill Deferred compensation Zero fill contributions to Section 401(k) Deferred compensation GTN Set Employee 403(b) contributions YTD contributions to Section Ind = 1 balance; 403(b) Deferred compensation Zero fill contributions Deferred compensation contributions to Section 457(b) Deferred compensation contributions to Section 501(c)18)(D) Military employees basic quarters subsistence and combat pay Non-qualified plan Section 457 distributions or contributions GTN Set Ind = 6 and/or 7 Employee 457(b) contributions YTD balance; Zero fill Zero fill 5557 No negative amounts. Right justify and zero fill Blank Fill with blanks; reserved for SSA Non-qualified plan not Zero fill Section 457 distributions or contributions Non-tax combat pay Employer Contribution to Health Savings Account Employer cost of premiums for group term life insurance over $50,000 Income from the exercise of nonstatutory stock options Deferrals under a Section 409A Non-qualified Deferred Compensation Plan EDB5518 EDB5559 Executive life insurance imputed income-ytd Zero fill No negative amounts. Right justify and zero fill. Does not apply to Puerto Rico or Northern Mariana Islands employees.

21 Federal Tape (W-2) to SSA/ IRS (PPP600) 2011 W-2 Changes RW Record Identifier Employee Wage Record Position Length/ Format Field Description Designated Roth Contributions to a Section 401(k) Designated Roth Contributions to a Section 403(b) Salary Reduction Agreement Cost of Employersponsored Health coverage Data Element # Comments Zero fill Zero fill No negative amounts. Right justify and zero fill. Does not apply to Puerto Rico or Northern Mariana Islands employees. Value zeroes for 2011 tax year Blank Fill with blanks; reserved for SSA Statutory employee 0 (zero) indicator Blank Fill with blank; reserved for SSA Retirement plan indicator 1 = yes 0 = no See footnote below: Third-party sick pay 0 (zero) indicator Blank Fill with blanks; reserved for SSA 1 Note: set to 1 if: 403(b) gross (EDB 6008Y) > 0; or Safe Harbor gross (EDB 5544) > 0; or Retirement gross (EDB 5505) > 0; or Retirement Code (EDB 0122) = U,B,P,1,F,S, or O; Otherwise, set to 0 (zero). The value should not be set to 1 if Retirement Code (EDB 0122) = U,B,P,1,F,S, or O and the HFSA amount in Box 14 is the only amount reported in Box 1. Page 21 of 59

22 3.9 File Layout: W-2 Interface File to the SSA RT Record changes Federal Tape (W-2) to SSA/ IRS (PPP600) 2011 W-2 Changes Page 22 of 59 RT Record Identifier Total Record Position Length/ Field Description Data Comments Format Element # Record identifier RT Number of RW records Enter total number of RW records reported; Wages, tips and other compensation Enter total dollar amount in positions for all RW employee records, Federal income tax withheld Social security wages Social security tax withheld Medicare wages and tips Medicare tax withheld Social security tips Advance earned income credit Dependent care benefits Deferred compensation contributions to Section 401(k) Deferred compensation contributions to Section 403(b) Deferred compensation contributions to Section 408(k)(6) Deferred compensation contributions to Section 457(b) Deferred compensation contributions to Section 501 (18)(D) Enter total dollar amount in positions of RW code for all employee records Enter total dollar amount in positions of RW code for all employee records; Enter total dollar amount in positions of RW code for all employee records; Enter total dollar amount in positions of RW code for all employee records; Enter total dollar amount in positions of RW code for all employee records; Non applicable; fill with zeroes Value zeroes. Does not apply to tax year 2011 and later. Enter total dollar amount in positions of RW code for all employee records; Not applicable; fill with zeroes Enter total dollar amount in positions of RW code for all employee records; Not applicable; fill with zeroes Not applicable; fill with zeroes Not applicable; fill with zeroes

23 Position Length/ Format Federal Tape (W-2) to SSA/ IRS (PPP600) 2011 W-2 Changes RT Record Identifier Total Record Field Description Military employees basic quarters, subsistence and combat pay Non-qualified plan Section 457 distributions or contributions Data Element # Comments Not applicable; fill with zeroes Enter total dollar amount in positions of RW code for all employee records; Blank Fill with blanks; reserved for SSA Non-qualified plan not Section 457 distributions or contributions Non-tax combat pay Cost of Employer sponsored Health coverage Employer cost of premiums for group term life insurance over $50,000 Income tax withheld by third-party payer Income from the exercise of nonstatutory stock options Deferrals under a Section 409A Non-qualified Deferred Compensation Plan Designated Roth Contributions to a Section 401(k) Designated Roth Contributions to a Section 403(b) Salary Reduction Agreement EDB5559 Not applicable; fill with zeroes Value zeroes for tax year Specifications: -Enter the total for all Employee Records (RW) reported since the last Employer Record RE). - - Does not apply to Puerto Rico or Northern Mariana Islands employees. Enter total dollar amount in positions of RW code for all employee records; Zero fill Zero fill Enter the total for all Employee records (RW) reported since the last Employer Record (RE). Does not apply to Puerto Rico or Northern Mariana Islands employees. Zero fill Zero fill Blank Fill with blanks; reserved for SSA Page 23 of 59

24 3.10 File Layout: W-2 Interface File to the SSA RO record changes: Federal Tape (W-2) to SSA/ IRS (PPP600) 2011 W-2 Changes RO Record Identifier Employee Wage Record Position Length/ Field Description Data Comments Format Element # Record identifier RO Blank Fill with blanks. Reserved for SSA use Allocated Tips No negative amounts. Does not apply to Puerto Rico, Virgin Islands, American Samoa, Guam or Northern Mariana Islands employees Uncollected Employee Tax on Tips Combine the uncollected Social Security tax and the uncollected Medicare tax in this field. No negative amounts Medical Savings Account Simple Retirement Account Qualified Adoption Expenses Uncollected Social Security or RRTA Tax on Cost of Group Term Life Insurance Over $50, Uncollected Medicare Tax on Cost of Group Term Life Insurance Over $50, Income Under Section 409A on a Non-qualified Deferred Compensation Plan HIRE Exempt Wages and Tips Page 24 of 59 EDB5560 No negative amounts. Does not apply to Puerto Rico or Northern Mariana Islands employees. No negative amounts. Does not apply to Puerto Rico employees. No negative amounts. Does not apply to Puerto Rico or Northern Mariana Islands employees. No negative amounts. Does not apply to Puerto Rico employees. No negative amounts. Does not apply to Puerto Rico employees. No negative amounts. Does not apply to Puerto Rico or Northern Mariana Islands employees. Valid for tax year 2010 only.

25 Position Length/ Format Designated Roth contribution under a governmental section 457(b) plan Page 25 of 59 Federal Tape (W-2) to SSA/ IRS (PPP600) 2011 W-2 Changes RO Record Identifier Employee Wage Record Field Description Data Comments Element # Send zeroes for tax year 2011 and later. Value zeroes. Does not apply to UC Blank Fill with blanks. Reserved for SSA use Wages Subject to Puerto Rico Tax No negative amounts. For Puerto Rico employees only Commissions Subject to Puerto Rico Tax Allowances Subject to Puerto Rico Tax Tips Subject to Puerto Rico Tax Total Wages, Commissions, Tips and Allowances Subject to Puerto Rico Tax Puerto Rico Tax Withheld Retirement Fund Annual Contributions No negative amounts. For Puerto Rico employees only. No negative amounts. For Puerto Rico employees only. No negative amounts. For Puerto Rico employees only. No negative amounts. For Puerto Rico employees only. No negative amounts. For Puerto Rico employees only. No negative amounts. For Puerto Rico employees only Blank Fill with blanks. Reserved for SSA use Total Wages, Tips and Other Compensation Subject to Virgin Islands, Guam, American Samoa or No negative amounts. For Virgin Islands, American Samoa, Guam or Northern Mariana Islands employees only. Northern Mariana Islands Income Tax Virgin Islands, Guam, American Samoa or Northern Mariana Islands Income Tax Withheld No negative amounts. For Virgin Islands, American Samoa, Guam or Northern Mariana Islands employees only Blank Fill with blanks. Reserved for SSA use.

26 3.11 File Layout: W-2 Interface File to the SSA RU record changes: Federal Tape (W-2) to SSA/ IRS (PPP600) 2011 W-2 Changes RU Record Identifier Total Record Position Length/ Field Description Data Comments Format Element # Record identifier Constant RU Number of RO Records Enter the total number of RO records reported since the last Employer Record (RE). Does not apply to Puerto Rico, Virgin Islands, American Samoa, Guam or Northern Mariana Islands employees Allocated Tips Enter the total for all Employee Records (RO) reported since the last Employer Record (RE). Does not apply to Puerto Rico, Virgin Islands, American Samoa, Guam or Northern Mariana Islands employees Uncollected Employee Tax on Tips Enter the total for all Employee Records (RO) reported since the last Employer Record (RE) Medical Savings Account Simple Retirement Account Qualified Adoption Expenses Uncollected Social Security or RRTA Enter the total for all Employee Records (RO) reported since the last Employer Record (RE). Does not apply to Puerto Rico or Northern Mariana Islands employees. Enter the total for all Employee Records (RO) reported since the last Employer Record (RE). Does not apply to Puerto Rico employees. Enter the total for all Employee Records (RO) reported since the last Employer Record (RE). Does not apply to Puerto Rico or Northern Mariana Islands employees. Enter the total for all Employee Records (RO) reported since the last Page 26 of 59

27 Position Length/ Format Federal Tape (W-2) to SSA/ IRS (PPP600) 2011 W-2 Changes RU Record Identifier Total Record Field Description Data Comments Element # Tax on Cost of Group Employer Record (RE). Term Life Insurance Over $50,000 Does not apply to Puerto Rico employees Uncollected Medicare Tax on Cost of Group Term Life Insurance Over $50, Income Under Section 409A on a Non-qualified Deferred Compensation Plan EDB5560 Enter the total for all Employee Records (RO) reported since the last Employer Record (RE). Does not apply to Puerto Rico employees. Enter the total for all Employee Records (RO) reported since the last Employer Record (RE). Does not apply to Puerto Rico or Northern Mariana Islands employees. Value zeroes. Does not apply to tax year 2011 and later. Value zeroes. Does not apply to UC HIRE Exempt Wages and Tips Designated Roth contribution under a governmental section 457(b) plan Blank Fill with blanks. Reserved for SSA use Wages Subject to Puerto Rico Tax Enter the total for all Employee Records (RO) reported since the last Employer Record (RE) Commissions Subject to Puerto Rico Tax Allowances Subject to Puerto Rico Tax Tips Subject to Puerto Rico Tax Page 27 of 59 For Puerto Rico employees only.. Enter the total for all Employee Records (RO) reported since the last Employer Record (RE). For Puerto Rico employees only. Enter the total for all Employee Records (RO) reported since the last Employer Record (RE). For Puerto Rico employees only. Enter the total for all Employee Records (RO) reported since the last Employer Record (RE). For Puerto Rico employees only.

28 Position Length/ Format Total Wages, Commissions, Tips and Allowances Subject to Puerto Rico Tax Puerto Rico Tax Withheld Federal Tape (W-2) to SSA/ IRS (PPP600) 2011 W-2 Changes RU Record Identifier Total Record Field Description Data Comments Element # Enter the total for all Employee Records (RO) reported since the last Employer Record (RE). For Puerto Rico employees only. Enter the total for all Employee Records (RO) reported since the last Employer Record (RE) Retirement Fund Annual Contributions For Puerto Rico employees only. Enter the total for all Employee Records (RO) reported since the last Employer Record (RE) Total Wages, Tips and Other Compensation Subject to Virgin Islands, Guam, American Samoa or Northern Mariana Islands Income Tax Virgin Islands, Guam, American Samoa or Northern Mariana Islands Income Tax Withheld For Puerto Rico employees only. Enter the total for all Employee Records (RO) reported since the last Employer Record (RE). For Virgin Islands, American Samoa, Guam or Northern Mariana Islands employees only. Enter the total for all Employee Records (RO) reported since the last Employer Record (RE). For Virgin Islands, American Samoa, Guam or Northern Mariana Islands employees only Blank Fill with blanks. Reserved for SSA use. Page 28 of 59

29 3.12 File Layout: OW2 - W-2 Interface File Detail Record Changes: OW2 Interface Record Layout (PPP600) 2011 W-2 Changes Position Length/ Format Employee Detail Record Field Description Data Element # Comments Employer Detail Record Section Record Type Value DR 3 1 Filler Value spaces Employer ID Filler Value Filler Value spaces 28 1 Filler Value Filler Value spaces Employer Name Campus name; left justify and fill with blanks (location specific) Employer Address Extra Value spaces Employer Address 2 Value spaces Employer Address 1 Campus address used for W- 2 print; left justify and fill with blanks (location specific) Employer City Campus city, left justify and fill with blanks (location specific) Employer State Ca Employer ZIP Code Campus zip code (location specific) Filler Value spaces Employer ZIP Code Extra Campus 4 digit extension of zip code; if not applicable, fill with blanks (location specific) Filler Value spaces Employment Type Value R Filler Value space Filler Value Filler Value spaces Page 29 of 59 Employee Detail Record Section Employee SSN EDB0111 Employee s SSN; if invalid do not fill with zeros; if no SSN enter all zeroes Employee Name EDB0250 Employee s first name; left justify and fill with blanks; if no first name, fill with blanks Employee Middle Name EDB0251 If applicable, enter employee middle name or initial; left

30 Page 30 of 59 OW2 Interface Record Layout (PPP600) 2011 W-2 Changes Employee Detail Record Position Length/ Format Field Description Data Element # Comments justify and fill with blanks; otherwise fill with blanks Employee Last Name EDB0252 Employee s last name; left justify and fill with blanks Filler Value spaces Employee Suffix EDB Employee Address Line 2 EDB0205 Employee s permanent address line 2; left justify and fill with blanks Employee Address Line 1 EDB0204 Employee s permanent address line 1; left justify and fill with blanks Employee Address City EDB0206 Employee s address permanent city; left justify and fill with blanks Employee Address State EDB0207 Employee s address permanent state; if foreign address code = F, fill with blanks Employee Address ZIP Code EDB0208 Employee s address permanent zip; if foreign address code = F, fill with blanks Filler Value spaces Employee Foreign Address - Province EDB1120 If Foreign Address Indicator = F, otherwise fill with blanks Employee Foreign Address Postal Code EDB1119 If Foreign Address Indicator = F, otherwise fill with blanks Employee Foreign Address Obtained from FCT Table Country Name Employee Foreign Address Country Code EDB1118 If Foreign Address Indicator = F, otherwise fill with blanks Filler Value spaces Additional W-2 Record A, if additional DR record required, otherwise fill with blank Employee Foreign Address Indicator EDB0291 If Foreign Address Indicator = F, fill with 2, otherwise fill with blanks Filler Value spaces Employee Federal Withholding Wages EDB5502 FWT gross year-to-date (YTD); right justify and zero fill Filler Value spaces Employee Federal Withholding Tax GTN014Y Federal tax withheld; right justify and zero fill

31 Page 31 of 59 OW2 Interface Record Layout (PPP600) 2011 W-2 Changes Employee Detail Record Position Length/ Format Field Description Data Element # Comments Filler Value spaces Employee OASDI Wages EDB5503 OASDI gross; right justify and zero fill Filler Value spaces Employee OASDI Tax GTN013Y OASDI tax withheld; right justify and zero fill Filler Value spaces Employee Medicare Wages EDB5510 Medicare gross (YTD); right justify and zero fill Filler Value spaces Employee Medicare Tax GTN009Y Medicare tax withheld (YTD); Filler Value spaces Employee TIP Income EDB5556 TIP Income, right justify, zero fill Filler Value spaces Employee Depcare Amount GTN227Y Employee Depcare YTD balance; right justify and zero fill Filler Value spaces Filler Value O Filler Value spaces Filler Value O Filler Value spaces Employee Defined Compensation 403(b) GTN Set Ind = 1 Employee 403(b) contributions YTD balance; Filler Value spaces Filler Value O Filler Value spaces Employee Define Compensation 457(b) GTN Set Ind = 6 and/or 7 Employee 457(b) contributions YTD balance; Filler Value spaces Filler Value O Filler Value spaces Employee Non-Qualified Plans (W-2 Box 11) EDB5558 Employee Non-Qualified Plans, right justify, zero fill Filler Value spaces Non-qualified plan Section 457 distributions or contributions EDB5557 No negative amounts. Right justify and zero fill.

32 OW2 Interface Record Layout (PPP600) 2011 W-2 Changes Employee Detail Record Position Length/ Format Field Description Data Element # Comments Filler Value spaces Filler Value O Filler Value spaces Employer cost of premiums for group term life insurance over $50,000 EDB5518 Executive life insurance imputed income-ytd right justify and zero fill Filler Value spaces Filler Value O Box 12 Code Line 1 EDB5518 GTN Set Ind = 1 GTN Set Ind = 6 and/or 7 EDB5546 EDB5559 EDB5560 C" = Cost of group-term life insurance over $50,000 (included in boxes 1, 3 (up to social security wage base), and 5). ********************* "E" = Elective deferrals under a section 403(b) salary reduction agreement. ********************* "G" = Elective deferrals and employer contributions (including nonelective deferrals) to a section 457(b) deferred compensation plan. ********************** "P" = Excludable moving expense reimbursements paid directly to employee (not included in boxes 1, 3, or 5). ********************** Y = Deferrals under an IRC 409A Plan ********************** Z = Income under an IRC 409A Plan Box 12 Amount Line 1 The amount that is represented by the code in Line Box 12 Code Line 2 E, G, P, Y, or Z if present Page 32 of 59 Box 12 Amount Line 2 The amount that is represented by the code in Line Box 12 Code Line 3 G, P, Y, or Z if present Box 12 Amount Line 3 The amount that is

33 Position Length/ Format OW2 Interface Record Layout (PPP600) 2011 W-2 Changes Employee Detail Record Field Description Data Element # Comments represented by the code in Line Box 12 Code Line 4 P, Y, or Z if present Box 12 Amount Line 4 The amount that is represented by the code in Line Box 12 Code Line 5 Y or Z if present Box 12 Amount Line Box 14 Title Line 1 See below Box 14 Amount Line 1 GTN6734Y GTN6733Y GTN735Y EDB5519 EDB5504 EDB5535 EDB5561 The amount that is represented by the code in Line 5 UCRP = UCRP Employee Contribution DCP-CAS = DCP Casual *************** DCP-REG = DCP Regular ************** OTHER INCOME ************** INTEREST = Interest Income ************** FRINGES = Fringe Income ************** HFSA Unsubstantiated Claims The amount that is represented by the title in Line Box 14 Title Line 2 One of the 7 titles listed above Box 14 Amount Line 2 The amount that is represented by the title in Line Box 14 Title Line 3 One of the 7 titles listed above Box 14 Amount Line 3 The amount that is represented by the title in Line Box 14 Title Line 4 One of the 7 titles listed above Box 14 Amount Line 4 The amount that is represented by the title in Line 4 2 UCRP GTNs include 005, 006, 351, 352, 353, 354, and 355. Page 33 of 59

34 NO CHANGES AFTER THIS ROW OF THE LAYOUT 3.13 File Layout: OW2 - W-2 Interface File Trailer Record Changes: OW2 Interface Record Layout (PPP600) 2011 W-2 Changes Trailer Record Position Length/ Field Description Data Comments Format Element # Trailer Record Code Value TR Employee Record Count Number of employees on the file Page 34 of 59 FWT Wages FWT Tax OASDI Wages OASDI Tax Medicare Wages Medicare Tax Filler Value spaces Depcare State Wages State Tax Local Wages Local Tax Exec Life Income Enter total dollar amount for all DR employee records, Enter total dollar amount for all DR employee records, Enter total dollar amount for all DR employee records, Enter total dollar amount for all DR employee records, Enter total dollar amount for all DR employee records, Enter total dollar amount for all DR employee records, Enter total dollar amount for all DR employee records, Enter total dollar amount for all DR employee records, Enter total dollar amount for all DR employee records, Enter total dollar amount for all DR employee records, Enter total dollar amount for all DR employee records, Enter total dollar amount for all DR employee records, Interest Income Enter total dollar amount for

35 OW2 Interface Record Layout (PPP600) 2011 W-2 Changes Trailer Record Position Length/ Field Description Data Comments Format Element # all DR employee records, Deferred Compensation 403b Enter total dollar amount for all DR employee records, Deferred Compensation 457 Enter total dollar amount for all DR employee records, NQ Plans W2 Box 11 Enter total dollar amount for all DR employee records, NQ 457 DIS CON Enter total dollar amount for all DR employee records, Move EXP Income Enter total dollar amount for all DR employee records, DCP Casual Enter total dollar amount for all DR employee records, DCP Regular Enter total dollar amount for all DR employee records, Other Income Enter total dollar amount for all DR employee records, Non-Cash Fringe Enter total dollar amount for all DR employee records, A - Deferred Enter total dollar amount for all DR employee records, A - Income Enter total dollar amount for all DR employee records, HFSA - Income Enter total dollar amount for all DR employee records, UCRP Enter total dollar amount for all DR employee records, Filler Value spaces Page 35 of 59