Employee parking deductions to be withheld on post-tax basis effective August 1, 2018
On December 22, 2017, the Tax Cuts and Jobs Act (TCJA) was signed into law and included several provisions impacting qualified transportation fringe benefits. One provision eliminated employers’ ability to offer parking deductions on a pre-tax basis. Consequently, all employee parking deductions will be withheld on a post-tax basis effective with the first pay received after July 31, 2018.
Employees are encouraged to refer to the “Benefits, Deductions, and Taxes” section of their pay stub for details of their withholdings. The pay stub is accessible from MyUNM by clicking on the “Staff” tab, then clicking the Pay Stub link on the “My Pay” tile.
New Mexico Tax Withholding Rate Changes
The New Mexico Taxation and Revenue Department recently released revised tax withholding rates for 2018, in order to align with the revised 2018 Internal Revenue Service tax withholding rate changes.
These rate changes will be applied beginning with employees’ paychecks after July 31, 2018.
The amount of New Mexico tax withholding will vary for every employee. All employees are encouraged to refer to the “Benefits, Deductions, and Taxes” section of their pay stub for details of their withholdings. The pay stub is accessible from MyUNM by clicking on the “Staff” tab, then clicking the Pay Stub link on the “My Pay” tile.
Employees can also utilize the Payroll Calculator resource on the “My Pay” tile. The revised New Mexico tax withholding rates will be included in the Payroll Calculator beginning in August, allowing individuals to estimate their August paycheck.
While the Payroll Department is not able to calculate the impact for individual employees, they can refer to the New Mexico Taxation and Revenue notification FYI-104 at this link regarding these changes.
If you have any questions, contact the Payroll Office at 505-277-2353. The Payroll office cannot give tax advice to employees, but may be able to address general questions regarding payroll taxes.