I appreciate you for sharing the steps you've initially performed. Let's run the Payroll Detail Review report and manually calculate the Wage Base column with the Payroll Tax Rate.
Once completed, refresh the Payroll Detail report to get the correct tax amounts for each item with flat-rate. Multiply the amount in the Wage Base column with the Payroll Tax Rate. If the result matches your current YTD liability amount, this means that you're overpaid in your previous payroll. If this happens, QuickBooks automatically catch up and adjust your liability.
Lastly, you can the Payroll Checkup. This tool allows you to review employee records, payroll item set up and wage and tax amounts and suggests a solution for each discrepancy that it identifies.
If you've already verified the taxes setup on your employee's profile, please refer to this article for other steps in fixing wrong tax calculation:
Let me know if you have other questions about your employee's paycheck. I'll be on the lookout for your reply.
Hi there, @SSchreiber.
I hope you're having a good day so far. Let's take a new approach to the reason the payroll taxes didn't come out of the last paychecks. Let's go in and verify if the annual limit has is set incorrectly or reached. If your payroll has been calculating correctly in the past, then all the sudden stops, it's possible that there's a checkmark in the annual limit box. This will set a default limit, and the taxes will no longer get deducted. You can go in to check this setting with a few simple clicks:
1. On the top menu bar go to List, then Payroll Item List.
2. Locate the payroll item and right-click to make the change.
3. Click Next until you get to the limit type screen.
4. Make sure the limit located at the bottom is correct ( If this is not correct, update it to the exact amount).
5. Verify the Limit type is correct.
6. Hit Finish.
I hope this helps. Let me know if you have any additional questions. I'm here to help any way I can. Have a good day.
Thanks for the response, @Juju08.
I'm happy to hear that reverting the check resolved the issue!
If you have additional questions, don't hesitate and reach back out to the Community. We're always here to help. Wishing you and your company continued success!
I've tried reverifying my subscription and it does not sync automatically. I have already processed the direct deposit and it will be deducted from my bank account tomorrow. What can I do now to correct this?
Hello there, semo35.
When paychecks are already processed through direct deposit, we're unable to stop the process. I've got this article for more details: Cancel a Direct Deposit paycheck.
What you can do is wait for the money to be deposited into the employee's bank. Then, do an internal agreement with your employee to return the extra amount, or wait for QuickBooks to auto-correct the taxes next payday.
You can also reach out to our Customer Care Team for further assistance. Before doing so, please check this article to view our support hours: Support hours and types.
Feel free to get back to us if there's anything else you need. Thanks.
Hi there, @acooner.
Thank you for reaching out to the Community. Before diving in to automatically taxes deduction, we need to make sure that you have the latest payroll tax table update in QuickBooks Desktop.
We need to try do next is to revert your employee's paycheck, this is to freshen your payroll details and for the taxes to calculate.
However, if the issues persists, I recommend contacting our QuickBooks Support. They have the tools to pull up your account and perform another troubleshooting steps.
Please let me know how it goes by clicking the Reply button. I'm here to provide any additional assistance if needed. Have a good one.
Thank you for joining us here in the Community, @nana_10.
I can route you to the support you need to get back on track with running payroll in QuickBooks Desktop.
Since the solution above don't work and the issue persists, I suggest reaching out to one of our representatives by getting a callback or through messaging. This process is designed to be an easier and quicker way for customers to contact support.
Additionally, here are some helpful references that you can check out about the payroll taxes:
Thank you for your patience. Please know that I'm just a comment away if you need further assistance. Have a great day ahead.
I run bi-monthly payroll. My last payroll deductions were fine but when entering detail for my end of the month payroll, no deductions are calculating. This is on ALL payroll list items. My updates are current. My billing information is correct and payment is current (03/02). But I get a message saying QuickBooks account needs attention. I have tried Reactivate Account and Verify Account. Again, everything is up to date. I need to get this cleared up ASAP. I have read related messages without finding the answer.
When you get the Your QuickBooks Payroll account needs attention notification, this means that we're unable to process your payment for your payroll subscription. This is why the automatic calculation of taxes has been temporarily disabled.
Since you’ve already tried all the troubleshooting steps, I’d suggest reaching out to our Customer Support. They can check your account in a secured environment and further check why you’re still having an error.
You can check this article on how to reach them: Contact the QuickBooks Desktop Customer Support Team.
Here’s more on how to update or renew your subscription for QuickBooks Desktop: Update or renew your subscription.
Let me know if there’s anything that you need with your account. I’m always here to assist.
Thanks for looping in, @evelina1.
You can attempt to reset the update then revert the paychecks to ensure payroll taxes are taken out correctly.
Here's how to reset update:
Next, revert the paycheck to ensure taxes are calculated. You can check this link for the detailed steps: How to save or revert pending paychecks.
Please feel free to reply below if you have additional questions and concerns. I'm determined to ensure your success.
I can help you fix the error you're having, @4648.
To fix the error you’re having, you’ll just have to make sure that you have the latest QuickBooks Desktop release and the latest payroll tax table. This will ensure that you have the latest features and fixes and the newest payroll tax table.
Here’s also more information on how to correct a payroll item if it’s calculating incorrectly: Payroll items on paycheck are not calculating or are calculating incorrectly.
Let me know if there’s anything that I can help. I’m always here to assist.
I just printed the checks and the payroll taxes are not deducted. I have updated the payroll taxes before starting ...what do I do now? It looks $0 have been deducted.
Thanks for joining on this thread, @pankajgoel.
I'll help you fix this payroll concern to make sure your payroll taxes will be calculated in QuickBooks.
Before we start, can you tell us if you see any alerts in your Payroll Center? This can be the reason why your taxes are not calculating when creating paychecks.
If so, we can log in to your payroll account page and check the status of your subscription. Here's how:
Once done, let's delete the paycheck by following these steps:
I'm always here to help if you have any other payroll concerns or questions. Just tag my name in the comment section and I'll get back to you as soon as I can.