Purpose of Gross Earnings Report
The BA-11
,
Gross Earnings Report, is used to obtain the actual gross earnings of a sample
group of covered employees. The data collected in the gross earnings is used to
estimate future tax income and to compute taxes owed for the financial
interchange between the Railroad Retirement and Social Security/Medicare
programs.
Gross earnings amounts consist of all earnings taxable under the hospital
insurance portion of the Tier I tax rate. This includes earnings above the
taxable limit, sick pay and miscellaneous compensation.
Detailed instructions for completing Form BA-11 are located on the form.
Reporting Requirements
Each employer is required by law to report the gross earnings for each employee
on the payroll whose social security number ends with the digits “30”. See
Section 7(b)(6) of the Railroad Retirement Act and the Railroad Retirement
Board’s Regulations (20 CFR 209.13).
This information is an integral part of the data needed to compute taxes owed in
the financial interchange with the Social Security Administration and the
Centers for Medicare & Medicaid Services (CMS), and to estimate future tax
income.
Due Date and Frequency of Reports
Gross earnings are to be reported for the same time periods as used in
determining the employer's annual report of creditable service and compensation
(Form BA-3
). The gross earnings report for the preceding calendar year is due
the last day of February of the following year. Gross earnings reports must be accompanied by
Form
G-440
, Report Specifications Sheet.
All employers are to submit their reports annually with monthly, quarterly, or
annual breakdowns. Employers with 5,000 or more employees on their payroll
during the year are required to provide a monthly or quarterly breakdown of the
year's earnings. Employers with fewer than 5,000 employees may submit only an
annual amount, although a monthly or quarterly breakdown is preferable.
Employers with No Employees with SSN Ending
in '30'
Form BA-11
is not required if you have no employees with social security numbers ending
with the digits “30.” Instead, check the appropriate box on the
Form
G-440
submitted with your Form BA-3
,
Annual Report of Creditable Compensation.
Report Media Options
Employers have the option of reporting by one of the following methods:
- 3480 or 3490 compatible cartridge (preferable);
- CD ROM in ASCII format;
- 31/2 floppy diskette in ASCII format;
- Paper Form BA-11, Report of Gross Earnings
- Secure E-mail; or
- File Transfer Protocol (FTP)
Please See Part V, Chapter 1 for more information on
filing options.
Employers who are not able to submit their reports on a tape cartridge, or who
have few employees to report, may submit a paper
Form BA-11
.
However, we encourage the use of the RRB’s Employer Reporting PC Program
released by the Quality Reporting Service Center (QRSC). If you need the latest
version contact QRSC:
Quality Reporting Service Center
Railroad Retirement Board
844 North Rush Street
Chicago, Illinois 60611-2092
Common Errors to Avoid
Below are some helpful hints on how to avoid errors we frequently have found on
the Form-BA11.
- Do not limit the amounts in the gross earnings report to the annual Tier I
or Tier II creditable maximum amounts for the year.
- Ensure that the gross earnings amount reported for an employee is not less
than the Tier I amount reported for the employee for the same year.
- Gross earnings reported on Form BA-11 and creditable compensation reported
on Form BA-3a must both be reported on the same basis, either "paid" or
"earned."
- Be sure to include in the gross earnings report any new employees hired in
a year with a "30" social security number.
- Be sure to list all subsidiary BA numbers included in the gross earnings
report on Form G-440, even if one or more BA numbers have no employees with a
"30" social security number.
Help with Gross Earnings Reports
Employers who have difficulty with any of the reporting instructions for gross
earnings reports should contact:
Bureau of The Actuary
Division of Benefit and Employment Analysis
Railroad Retirement Board
844 North Rush Street
Chicago, Illinois 60611-2092
for assistance. See the
Jurisdiction Referral Guide.
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