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I only have one employee and this employees's paycheck doesn't show any federal taxes being withheld. Has anyone else experienced this?

 
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I only have one employee and this employees's paycheck doesn't show any federal taxes being withheld. Has anyone else experienced this?

Let's review on why the federal withholding is not calculating, BWPC1.

 

QuickBooks calculates the federal withholding based on the factors:

  • Taxable wages
  • Number of allowances/dependents
  • Pay frequency
  • Filing status

I'd recommend reviewing the employee's profile. This is to see if they are set up correctly:

  1. Select Workers on the left menu and go to the Employees tab.
  2. Select the employee profile and click the Edit employee button.
  3. Review the employee's information and ensure that they set up the factors above.
  4. Click Done.

You can also try calculating one of the employee's paychecks manually to see if it matches QuickBooks. Please go through this link to help figure out the exact withholding amount: IRS 2018 Publication 15.

 

You can use the Percentage Method (Pages 44-45). It's the same method used by QuickBooks to calculate federal withholding.

 

You can tag me if you have more questions. I'll help you in any way I can. 

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