An employee that needs to have more taxes withheld from their paycheck. QB is only taking about 8% but it needs to be 20%. His W-4 is correct. Can I manually change it?

Hello there, leeann. Ensuring your employees are accurately taxed is crucial, and I'm happy to assist you in resolving any tax discrepancies on your employee paychecks within QuickBooks Online Payroll.

When there are discrepancies in the amount of taxes withheld from employees, adjustments must be made to rectify the situation. We can modify the amount from the Other Adjustment section under the Tax Withholding tab.

Following the steps below:

1. Go to the Payroll menu and select Employees.
2. Click the name of the employee, then tap the Edit button from the 

   Tax withholding tab.

3. Choose either the 2019 or earlier Form w-4 or the 2020 or later Form W-4.
4. Change the amount in the Extra Withholding field.
5. Click Save.

Once done, the adjustment will apply to your employee's next paycheck.

Additionally, here's an article that will help you manage whether your employee-paid taxes are over or under-collected: Handle over-withheld or under-withheld employee-paid taxes.

We remain available to provide guidance on employee deductions or address any concerns you may have regarding payroll reports. Rest assured, we're committed to offering the best solutions to assist you. Wishing you a fantastic day ahead.

The added withholding would make it take taxes on the complete amount, correct?  He only needs to adjust his federal withholding.  Is it possible to adjust it to 20% and not a dollar amount on just the federal portion?

 That's correct, Leeann.

The extra withholding amount is calculated and added to the employee's Federal Income Tax (FIT). However, it's not possible to withhold an additional amount by percentage. Instead, the system is designed to allow for fixed dollar amounts rather than percentage-based withholding. 

 If you want to withhold a specific percentage, you can simply calculate the amount manually and add it as an extra withholding. This ensures that the correct amount is withheld based on the percentage you require.

In addition, I've included some articles that are useful when processing your taxes:
 

• Pay and file payroll taxes and forms electronically in QuickBooks Online Payroll
• Record tax payments made outside of QuickBooks Online Payroll

Don't hesitate to revisit this page if you have other payroll concerns. I'm just around to help. 

I've followed all the steps, but there is no extra withholding coming out of the next paycheck or when I preview the following month, what else can I try to make sure the extra witholding is actually held per the w4 entry?

Hello there, RLCTreasurer.

Thanks for joining the thread and following the instructions for adjusting an employee's paycheck.

Typically, when an additional withholding is applied to a paycheck, the adjustment should reflect on the employee's next paycheck. However, since it's not appearing on the next paycheck, I suggest contacting our Payroll Support Team. They have the necessary tools to access your account securely and identify the root cause of the issue.

To reach them, click the ? Help button at the top-right corner and select Contact Us to talk with a live agent. Ensure to review their support hours to know when agents are available.

In the future, if you'd like to generate payroll reports to gain valuable insights about your business and employees, you can refer to this article for detailed instructions: Run payroll reports.

If you have any other payroll concerns or questions, please let me know in the comment section, RLCTreasurer. I'm here to assist you further. Have a wonderful day!