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lovina-lktech-or
Level 1

How do I de-activate deduction for social security and medicare from paycheck for my children under 18 years?

 
3 Comments 3
JamesDuanT
Moderator

How do I de-activate deduction for social security and medicare from paycheck for my children under 18 years?

Let's set up your children's profiles in QuickBooks Online, lovina-lktech-or.

 

According to the IRS, "Payments for the services of a child under age 18 who works for his or her parent in a trade or business are not subject to social security and Medicare taxes if the trade or business is a sole proprietorship or a partnership in which each partner is a parent of the child." More details about this are discussed here: Family Help.

 

We can set up their profiles as Exempted from taxes. Here how to do it:

  1. Select Workers in the left menu and go to the Employees tab.
  2. Click Add an employee if you haven't created their profiles. Or you can click their names if their profile already existed.
  3. Click the Edit Employee button for the existing profiles. You can go to Step 4 if you're still setting up their information.
  4. Remove the check mark in the Ask this employee to enter their personal, tax (2020 W-4).... box. and go to the What are this employee's withholdings? section.
  5. Under the Federal filing status, select Exempt.
  6. Go to the Tax exemptions and mark the Social Security and Medicare box.
    Mark other boxes if necessary.
  7. Enter other information and click Done.

You can use his link for reference: Employee payroll tax exemptions.

 

You might also find these links helpful which are related to payroll setup and hiring under 18 workers:

You can always get back to us if you have additional question in setting up the worker profiles.

lovina-lktech-or
Level 1

How do I de-activate deduction for social security and medicare from paycheck for my children under 18 years?

Thank you. 

Unfortunately, I just see this option that says please contact support.

 

Kristine Mae
QuickBooks Team

How do I de-activate deduction for social security and medicare from paycheck for my children under 18 years?

It looks like you're subscribed to the Full Service payroll, Lovina-lktech-or. Let me route you to the right department.

 

Making some changes to your payroll settings will be done by an agent. I suggest reaching out to our payroll support so an agent can exempt the employees from taxes. Here's how:

  1. Click Help inside QuickBooks Online.
  2. Select Talk to a human.
  3. Enter "Exempt employees from Medicare and Social security taxes" in the Type something field.
  4. Click I still need a human.
  5. Select Contact us.
  6. Choose either Messaging or Callback

Let me add the list of articles for Full Service payroll as a future reference: QuickBooks Online Payroll Full Service Hub.

 

You're always welcome to post in the Community. We're available 24/7 to help you. Take care!​​​​​​​

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