**NOTE** WE ORIGINALLY PUBLISHED THE ISSUE AS HAVING STARTED ON 10/8/26. HOWEVER, WE HAVE SINCE DISCOVERED A FEW CASES WHERE THE WAGES WERE CATEGORIZED AS W2 WAGES BETWEEN 9/30-10/8.**
Audit 1099 Wages processed between 9/30/26-10/21/26
There was an inadvertent change in the Vertex Code set to 1099NEC wages and tips Earnings when the TTOC codes were set up this month. The actual date that the issue began was 9/30/26.
We are asking you to review any 1099 wages that were run between 9/30/26-10/21/26 to make sure that the wages are included in both the Federal and State NEC reporting.
Between 9/30/26-10/8/26 we have found that the wages were being added to W2 WAGES instead of 1099NEC wages.
Between 10/8/26-10/21/26 the wages were not accumulating at all.
Here are instructions on how to identify which of your clients were affected by this issue and how to include a Wage/Tax adjustment on the next Regular payroll for these employees:
- Production Utilities>Service Bureau Reports>Client Pay Item Listing
- Run this report with today’s As of Date
- Production Dashboard – Pull all clients that were processed between 9/30/26 and 10/22/2026
- Production Utilities>Production Dashboard>Status
- Processing Tab – set dates from 9/30-10/21, choose Completed
- Add a column for Processed By if you would like to filter by Processor
- Export to Excel
- Use AI to merge the 2 reports and identify which clients to check. Here is the query that was entered into Claude:
- Use Wage/Tax Adjustment screen to fix any EE’s that have incorrect wages
- Error was contained to Q4, so the fix can be done with their next regularly scheduled payroll.
- Verify that the YTD info is correct, and SAVE
