The knowledgebase is very limited on how to set up third party sick pay. We fully fund the ISM long and short term disabilty for our employees and ISM is not an agent according to IRS rules but they have transferred liability to us , the employer, for our share of FICA and Medicare taxes. This is the first occurrance of sick pay for us since installing Blackbaud. Can anyone lead me through the proper setup in Payroll 6 so that our tax liability is correct and the W-2 is correctly printed at years end? Thanks, Steve Harris The de Pauls School

We had one employee for whom we had to pay tax. We accomplished this by setting up the information on this employee in the employee history. We manually marked the W'2 as third party sick pay, Otherwise the system worked well. In the instruction manuals, there is instruction for different sceneros that you might encounter at the end of the year. Good luck, I hope this helps you.