UKG payroll tax reconciliation, pay date by pay date
Every pay date, the tax your payrolls calculated is reconciled to the tax that was collected, by company and tax code, down to the employee when a difference needs explaining.
Liability reconciled to collections every pay date, not once a quarter.
By company and tax code, down to the employee when a code does not tie.
Pay dates with missing collection detail listed separately.
Payroll tax is reconciled too late in most organizations. Liability is calculated every pay date, collected by the tax filing service, and reported quarterly, but the three are usually compared only when the quarter closes or when an agency notice arrives. By then a small mapping or setup issue has repeated for weeks.
PCLnXAI reconciles payroll tax continuously. For each pay date, the liability on the payroll register is compared with the collections recorded for that date, by company and tax code. Pay dates that tie are confirmed. Differences are traced to the runs, codes, and employees behind them.
What gets reconciled
A useful tax reconciliation works at more than one level, because each level answers a different question:
- Pay date. Does the liability from every payroll run on this date match what was collected for it?
- Company and tax code. Which entity and which tax account the difference sits in.
- Employee. Which employees' taxes make up the difference, when a code does not tie.
- Quarter. Do the pay dates add up to what the quarterly reports show? See QVR reconciliation.
Why liability and collections drift apart
The causes repeat across employers, which is why they can be checked for every pay date:
- A run left out of a pay date's collection, such as a taxes-only or off-cycle run.
- Tax codes that map differently in payroll and in filing, such as resident and local codes, or sub-accounts reported inside a parent code.
- Taxes withheld in payroll but filed outside the tax filing service.
- Items that exist only in filing, such as credits or quarter-end adjustments.
- Reversals and voids processed in one period and collected in another.
Pay dates with missing evidence
Some pay dates cannot be reconciled because the collection detail has not arrived or has been loaded only in part. They are listed separately, with what is missing, so the team asks for the right file rather than chasing a false difference.
Open questions, in plain language
The reconciliation produces a short brief for the payroll tax team: which pay dates tie, which do not, how much is open, and the questions that need an answer from payroll, filing, or finance. It replaces the spreadsheet that is rebuilt every quarter.
- 1Intake
- 2Validation
- 3Reconciliation
- 4Exceptions
- 5Approval
- 6Close
How PCLnXAI handles tax reconciliation
Tax reconciliation runs in your environment on the registers and collection detail you already receive from UKG Pro. Filing, payments, and amendments stay with your payroll tax process; we make sure the numbers behind them agree, and explain them when they do not.
Frequently asked questions
Does this replace UKG's tax filing service?
No. Filing and payments stay with UKG and your tax team. We reconcile what payroll calculated with what was collected and filed.
How often is tax reconciled?
Every pay date, as the collection detail arrives, rather than once a quarter.
Can differences be traced to employees?
Yes. When a tax code does not tie for a pay date, the difference is broken down to the employees and runs behind it.
What if collection files are missing?
Those pay dates are listed separately with what is missing, so they are not reported as differences.
Does it work for multiple companies and FEINs?
Yes. Reconciliation runs by company and tax code, then rolls up.