Running the First Payroll of a New Year in RFMS

Use this guide to prepare and process your first payroll of a new year in RFMS. These steps apply to all tax years unless otherwise noted.

Use this guide after you’ve completed year-end reconciliation and the steps in Preparing Payroll and Supplier Data for Year End in RFMS, and before you begin generating W-2s, 1099s, T4, or T5018 forms.

Note: You can run payroll for the new year before the HR update is released, but you must have the updated installed before generating or filing year-end forms.

Before You Begin

• Make sure you're on the latest RFMS version.
• Back up your company data.
• The HR Update installs  automatically when available and includes:
  • Updated tax tables and form formats
  • Electronic filing features
  • Canadian tax from updates
• If you haven't completed year-end accounting close, see Year-End Closing and Reconciliation in RFMS.

Verify the HR Update

1. Go to Human Resources > File > Percentage Tax Rates.
2. Check the Tax Year field shows the current year.
3. Review and update rates or limits as needed.

About the HR Update

The HR Update applies new tax tables, form layouts and compliance changes including:

• Updated federal and state withholding tables
• Refreshed W-2, W-3, and 1099 formats
• Updated Canadian payroll tables and forms
• Creation of required CSV files for e-filing

Get Update Notifications

1. Visit Cyncly.com 
2. Click My Account > Log In > Select Notify Me.
   Note: Multiple users per company can subscribe.

Run the First Payroll

1. Open Human Resources
   Go to Accounting > File > Human Resources.
2. Prepare Payroll
   Select File > Prepare Pay, then click OK.
3. Reset Year-to-Date Totals
   When prompted, select Yes to update the tax year and reset YTD totals
   Note: Selecting No prevents vacation and sick pay from updating.
4. Verify Totals Cleared
   • Go to Human Resources > File > Worker Information.
   • Click the Year-to-Date icon.
   • Confirm YTD totals show zero for all employees.
5. Process Payroll Normally
   Continue payroll as usual for the new year.

Notice of Compliance Requirements

These rules remain in effect each year:

• Electronic Filing: If you file 10 or more information returns (W-2s, 1099s, etc.), e-filing is mandatory.
• W-2 Extension Requests: Must be submitted using IRS Form 15397, faxed directly to the IRS (replaces prior letter-based requests).

Related Articles

• Processing W-2s and 1099s in RFMS
• Electronic Filing W-2s and 1099s in RFMS
• Canadian Year-End Processing