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<p class="MsoNormal"><b>From:</b> Speelman Wendy E [<a href="mailto:Wendy.E.Speelman@irs.gov">mailto:Wendy.E.Speelman@irs.gov</a>]
<br>
<b>Sent:</b> Wednesday, December 17, 2014 12:08 PM<br>
<b>To:</b> Deb Dinnen<br>
<b>Subject:</b> supplemental wages<o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Arial","sans-serif";color:#0070C0">I would like to clear up some confusion over supplemental pay and to actually explain how it works.<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Arial","sans-serif";color:#0070C0"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Arial","sans-serif";color:#0070C0">I have included examples in with the supplemental slides to make it easier to understand..<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Arial","sans-serif";color:#0070C0"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Arial","sans-serif";color:#0070C0">In example 3 the calculation that is used will result in the same amount as example 1. The reason for this calculation is to allow the same amount of Federal
Income tax to be withheld when the payments are separate as the amount would be if they were combined. If paying in separate checks and do not want to do the calculation in Ex. 3 then you can withhold at the flat 25%.
<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Arial","sans-serif";color:#0070C0"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Arial","sans-serif";color:#0070C0">Please send out to everyone.<o:p></o:p></span></p>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"><span style="font-size:10.0pt;font-family:"Arial","sans-serif";color:#17365D">This is not "official written guidance". It is only a response to your question and may not be relied
upon. Only "official written guidance" may be relied upon. "Official written guidance" may be obtained through the Private Letter Ruling or Technical Advice Memorandum process, for which there is a fee.</span><span style="font-size:12.0pt;font-family:"Arial","sans-serif";color:#17365D">
<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-family:"Californian FB","serif";color:#0070C0">Wendy Speelman</span><span style="color:#0070C0"><o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-family:"Californian FB","serif";color:#0070C0">Federal, State, & Local Government Specialist</span><span style="color:#0070C0"><o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial","sans-serif";color:#0070C0">P. O. Box 846</span><span style="color:#0070C0"><o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial","sans-serif";color:#0070C0">Mansfield, Ohio 44901</span><span style="color:#0070C0"><o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial","sans-serif";color:#0070C0">E-Fax 1-855-243-4023 Cell 419-512-1809
</span><span style="color:#0070C0"><o:p></o:p></span></p>
<p class="MsoNormal"><span style="color:#0070C0"><a href="http://www.irs.gov/Government-Entities/Federal,-State-&-Local-Governments"><span style="font-size:10.0pt;font-family:"Arial","sans-serif";color:blue">http://www.irs.gov/Government-Entities/Federal,-State-&-Local-Governments</span></a><o:p></o:p></span></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Lucida Calligraphy";color:#C00000">Karen Wilson<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Lucida Calligraphy";color:#538135">EMIS Support Specialist<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Lucida Calligraphy";color:#C00000">Miami Valley Educational Computer Association<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Lucida Calligraphy";color:#538135">330 E. Enon Rd., Yellow Springs, Ohio 45387<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Lucida Calligraphy";color:#C00000">937-767-1468 ex 3115<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Lucida Calligraphy";color:#538135">Fax 937-767-1793</span><span style="font-family:"Lucida Calligraphy";color:#538135"><o:p></o:p></span></p>
<p class="MsoNormal"><span style="color:#1F497D"><img border="0" width="91" height="29" id="Picture_x0020_1" src="cid:image001.png@01D01A0C.0B449C80" alt="Description: Description: C:\Users\reineke\Pictures\MVECA New logo.png"></span><span style="color:blue">
</span><img border="0" width="43" height="28" id="Picture_x0020_2" src="cid:image002.jpg@01D01A0C.0B449C80" alt="bells2-150"><o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
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