(United States only) Use the HQ State Compliance form to set up state compliance information by country, state, and effective date.

1. Open the HQ State Compliance form (Headquarters > Programs > HQ State Compliance.
2. Use the Country and State fields to enter the country and state to which this compliance information applies.
3. In the Effective Date field, enter the effective date for the country/state compliance requirements.
4. Enter Department of Labor (DOL) requirements:
   1. In the Min Wage field, enter the minimum wage for the specified country/state.
      Note: If this minimum wage is higher than the federal minimum wage and the employee is subject to both federal and state minimum wage laws, the employee is entitled to the higher wage indicated here.
   2. From the OT Requirement dropdown, select one of the following:
      • F - Federal - Select this option to follow the Federal overtime rules (defined by the Fair Labor Standards Act).
      • S - State - Select this option to follow overtime rules based on OT schedules defined in PR Overtime Schedule (for the active PR company). Once selected, the OT Schedule field is enabled.
   3. If you selected the S-State overtime requirements option, use the OT Schedule field to enter the overtime schedule to use.
      Note: HQ State Compliance requirements are shared by all companies; however, overtime schedules are defined by Payroll company. Therefore, when you press F4, the list of overtime schedules will differ depending on the active HQ company.
5. Enter Department of Revenue (DOR) requirements:
   1. If the specified country/state accepts the federal withholding form for calculating state tax withholding, select the Fed Form Accepted checkbox. Otherwise, leave unselected.
      Note: Some states require that employees fill out a state-specific withholding form due to federal tax laws being different from the state's, making the federal withholding form less suitable for calculating state tax withholding.
   2. In the State Form field, enter the specified state's withholding certificate form (W-4).
   3. In the Supplemental Wage field, enter the supplemental wage rate for income tax withholding for the specified country/state. This rate applies to supplemental wages such as bonuses, commissions, back pay, etc., when paid separately from regular wages.
6. Enter Meal Break requirements:
   1. If the specified country/state has meal break requirements, select the Required checkbox.
      The remaining Meal Break Requirements fields are enabled.
   2. In the Meal Break Hrs Requirement field, enter the number of hours an employee must work to be entitled to a meal break.
   3. In the Meal Break Length (Hrs) field to enter the length of time required for meal breaks, in hours (for example, .50 for half an hour or 1.00 for one hour).
   4. If the specified country/state imposes penalties on employers who fail to provide required meal breaks, select the Meal Break Penalty checkbox.
   5. In the Meal Break Penalty Hrs field to enter meal break penalty in hours (for example, .50 for half an hour or 1.00 for one hour)
7. Select Save.