Payroll Reports
What is the difference between Gross Earnings, Gross Taxable Earnings, and Subject Earnings?
Gross earnings are the total amount paid to an employee regardless of taxability. Subject earnings are the total taxable earnings paid to an employee up to the maximum. Gross taxable earnings are the total taxable earnings paid to an employee without regard to the maximum. For example, you could have an employee who was paid $10,000 in gross earnings, had $9,000 in gross taxable earnings, and only $7,000 in subject earnings. This would indicate that only $9,000 of the wages paid was taxable, and that there was a maximum of $7,000 for subject earnings for this tax type. The earning code balance reflects the gross earnings in the system's reporting and the tax reports display the subject and gross taxable earnings.