After identifying an S Corp's owners in Zenefits on the Company settings page, choose whether to have Zenefits manage benefits costs for certain insurance premiums (medical, dental, vision, or disability) and HSA contributions for each of these owners in the current calendar year.
- Select Yes before the 28th of the month to have Zenefits begin managing benefits costs for these owners on the 1st of the following month.
- If you sync payroll, Zenefits will begin pushing these costs to payroll as taxable S Corp income using a provider-specific earnings code.
- If you have (or will be on) Zenefits Payroll, these costs will be automatically added to payroll.
- If you use Payroll Reports or File Sync to update payroll, the Deductions report will include S Corp Income amounts.
- If you don't use Zenefits to help manage payroll at all, Zenefits will include taxable S Corp Income amounts in the monthly update emails. Contact your payroll provider to determine the proper S Corp earnings code in payroll, and add the S Corp Income amounts provided by Zenefits to payroll using this code.
- Select No to manage these costs yourself.
- Zenefits will not push costs to synced payroll or provide S Corp Income amounts in update emails.
- Administrators should work with an accountant to manage these costs in payroll.