New Iowa W-4

Funny to see someone else is testing the poorly labeled system, too.  

I, too, tried entering 0 vs 1 'Allowances' and $0 vs $40 'Total Allowance Amt' ... no difference.

AND, my understanding is the 'Allowances' would NOT be an option, for Iowa, as a 'number', it is now to be an $AMOUNT...$0 or $40 and up.

So, I have new W-4's filled out, and NO CLUE how to update Quickbooks, because it doesn't seem Quickbooks has updated how this new data is to be entered....and if 'Miscellaneous Data (Depends on State Selected)' is Quickbooks version of 'update', they have not sent emails to tell us to ignore 'Allowances' and fill in 'Total Allowance Amt' with new info.

SOOOO, until we know FOR SURE this is Quickbooks idea of this change, I have been leaving everyone's previous info alone (leaving Allowances as a NUMBER)

Thanks for reaching out here in the Community space, @iowaclerks. We'll share information to help you get through this and complete your W-4 inside QuickBooks Desktop (QBDT).

Please know you'll want to ensure the QBDT version you're using runs the latest release and has the updated tax table. This way, changes will flow into your system and help modify your current setup. We'll write down the steps to get you going:

1. Select Update available then select Install now to install the update.
2. Sit back and relax while the update is getting installed. It might take a while for the update to be installed.
3. Open QuickBooks once the update is installed.

See this article for further guidelines: Update QuickBooks Desktop to the latest release.

Once done, enter the allowances, total allowance amount and ensure to save your changes to keep them from reverting back to the default amount. To see the changes, you'll want to create a dummy or sample paycheck and verify the details inside it.If issue persists, can you tell us which part is not working for you? This way, we can provide a specific troubleshooting to address your concern so you can complete your W-4.

Moreover, here are some articles to help you manage W-4 and ensure everything is on point inside your company:

• Enter federal Form W-4 in QuickBooks Payroll.
• Year-end checklist for QuickBooks Desktop Payroll.

If you need further assistance managing employees and tax forms inside QuickBooks, we'll help you again. Keep safe.

Understand, THIS is NOT a FEDERAL update we are needing.

Mine is particularly for Iowa - cannot post a pic here, so will do my best to create a sample:

______________________________________________________

TAB FROM Federal to State:

STATE WORKED

State  IA <drop-down menu     [check mark] SUI (Company Paid)  

STATE SUBJECT TO WITHHOLDING

State   IA  <w/drop-down menu        Filing Status  Single <w/drop-down menu

Allowances  1 <box to be filled in                     Extra Withholding  0.00 <box to be filled in

MISCELLANEOUS DATA (DEPENDS ON STATE SELECTED)

                    6. Total Allowance Amt  0.00  <box to be filled in

______________________________________________________

As HMGC replied, this is not related to the federal W-4. This relates to the new Iowa W-4.  I have created multiple dummy paychecks and compared them manually to the tax tables and it is not working as it should.  My payroll is updated and the latest release indicated a new tax table for Iowa was installed, but the calculations are not based on the new IOWA W-4.

Hi there, @HMGC.

I understand the importance of properly setting up your state tax, particularly for Iowa. Rest assured, I'm here to guide you where you can get the best help for this issue. I recommend contacting our QuickBooks Desktop Payroll support so they can investigate this further and apply a solution.

Here's how:

1. Head to this link: Contact Us.
2. Select QuickBooks Desktop Payroll product and click Continue.
3. Select Contact Us and choose a way to connect with us:

• Start a chat with a support expert.
• Get a callback from the next available expert.

In addition, I would like to share some helpful articles that can guide you in effectively managing W-4 forms and ensuring they are accurately filled out within your organization:

• Enter federal Form W-4 in QuickBooks Payroll.
• Year-end checklist for QuickBooks Desktop Payroll.

Keep us updated with setting up your state tax concerns. I'm always here to assist you.

Quickbooks, you are NOT 'listening' to this issue, continuously referring to the federal W-4 when this issue is regarding the change in the IOWA INCOME TAX and the IOWA W-4 filled out by employees to state their new payroll deductions and how bookkeepers are to update quickbooks payroll data with this new IOWA W-4 data regarding the "$40 as the total allowance amount" ... see previous post for display of what the data entry section looks like.

We are well into January, and were told:

This is not related to the federal W-4 form.  This is regarding the new state of Iowa W-4.

Well, after phone call with Quickbooks, I have been told NOPE - Quickbooks has NOT been able to update the new Iowa 'Total Allowance Amt' information, allowing those of us with Iowa payroll to process Iowa income tax properly. So, tick-tock-tick-tock, I shall continue dealing with employees asking me when their paychecks will reflect this new tax.

**I suppose the email from Quickbooks did state "will likely have the updated tables applied later in January 2024".....which doesn't say it WILL be done, just LIKELY, and 'later in January' could still apply in the next 7 days....which may not be effective before the next payroll needs processed    just remain in wait-&-see mode.

Any update on this?  I have not seen a new updated version to download come through and it is now February!

Hello there, @Zbar.

I understand the importance of properly setting up your state tax, particularly for Iowa using QuickBooks Desktop (QBDT) Payroll.

Currently, there's still no latest update for the tax table of Iowa state. We sincerely appreciate your patience regarding this matter. We will keep you informed and updated as soon as the new release regarding the setup of state tax in Iowa is made available.

Furthermore, I'm adding this article as your reference for finalizing this year's payroll using QBDT Payroll: Year-end checklist for QuickBooks Desktop Payroll.

Return to this post if you have other concerns about setting up your state tax in QuickBooks Desktop Payroll. I'll be here to lend a hand.

I am thinking it is one of am sure many reasons why this has not been updated....or if it will.

Maybe this change is not an easy change for Intuit to figure out, and they are still working on it.

Maybe since I am a quickbooks desktop customer vs the online version, the update to my program will take longer than other customers.

Maybe the slight little note of an addition to the tax entry section for each employee, under the State tab, under the title MISCELLANEOUS DATA (DEPENDS ON STATE SELECTED) then has 6. Total Allowance Amt 0.00 .... is this quickbooks version of updating....leaving the STATE SUBJECT TO WITHHOLDING area with the option of Allowances box .... that I know I am not the only one to try making different entries in this area to see if it makes the paycheck any different...it doesn't (can see previous message)

Either way, NO NOTIFICATION has been given to update those of us STILL WAITING, whether this update has just not been figured out or whether the #6 verbiage is what we are to use, even though it doesn't seem to do a thing.

Thank you for letting me know I am not the only one WAITING past 2 pay periods and still NO UPDATE OR NOTIFICATION OF WHAT IS GOING ON.

I use Quickbooks Online and have not seen this change happen yet.  I had our employees will out new W-4s in early January as requested and still nothing has changed that I have seen.  Quickbooks, do you have any update for us????  Going to be March real soon here.  

Thanks for joining the thread, Trisha. I'm here to help.

As of posting, the Iowa state W-4 form in QuickBooks Online (QBO) Payroll is still yet to be updated following the Iowa Department of Revenue issuing updated income tax withholding formulas and tables for 2024. While QBO still uses the 2023 form, I recommend contacting our Payroll Support team for the next steps while waiting for the form to be updated. Here's how:

1. Sign in to your QBO account.
2. Go to Help (?).
3. Select Contact Us.
4. Enter your concern, then select Let's talk.
5. Choose a way to connect with us:

• Start a chat with a support expert.
• Get a callback from the next available expert.

If you want to initiate a call, you can find their contact number through this link: Payroll Support.

For additional reference, let me add this article about updating your employees' info in QBO Payroll: Edit or change employee info in payroll.

We'll be here if you have follow-up questions about payroll forms in QBO. We'll do our best to assist. Take care.

Has there been a resolution to this? The IDR is requiring employers to do modifications if we do not have 2024 W-4 forms. All of our employees have provided new forms, but the update hasn’t been done. 

It’s now May and there still hasn’t been an update. When can we expect one?

Let me share some updates about the new state of IOWA W-4, Kenzie. 

Please know that, as of the moment, we haven't received an update yet. With this, I suggest contacting our QuickBooks Desktop Support to receive a timely update.

Here's how: 

1. Open QuickBooks.
2. Go to Help, then select QuickBooks Desktop Help/Contact Us.
3. Choose Contact Us.
4. Provide a brief description of your issue and select Continue.
5. Sign in to your Intuit account and select Continue.
6. You’ll receive a single-use code via email. Enter the code and select Continue.
7. If you have multiple accounts, choose the one you want to use and then select either chat with us or have us call you.

If you need prompt assistance, you can contact them directly through their contact number: Contact QuickBooks Desktop support.

Additionally, I also suggest updating your QuickBooks Desktop and Tax Table. You can check these articles for guidance: 

• Get the latest payroll news and updates in QuickBooks Desktop Payroll
• Update QuickBooks Desktop to the latest release
• Get the latest tax table update in QuickBooks Desktop Payroll

I'll be around if you need additional assistance with your Payroll or have any QuickBooks-related concerns. Keep safe. 

So, Quickbooks is not in compliance with Iowa requirements? The employee's W-4 information cannot be entered correctly without an update.

Have you heard back from Quickbooks on this? No one can give me answers and I have dozens of new W-4 forms to enter for employees and there still hasn't been an update.

Just contact Desktop Support and after a TWO hour chat, it was finally decided that they would be in a request to software engineers for it to change to reflect the DOLLAR amount rather than a NUMBER of dependents (allowances).  I am disappointed to know that this update has been asked for 5 months and nothing has been made to make it possible for Iowa employers to accurately enter tax information for their employees.  

The agent I chatted with was given all the information--a screenshot of the tax box under the IA state tab, and a copy of the new Iowa W-4 and I asked them to accurately put in the information....and they said it isn't possible.  

Their earlier solution was that would just reflect the Federal tab--but I had to remind them that Federal and State do not have to match, an employee might claim different $$ amts.  

Please go and spend some time on chat or put in requests so we can hopefully get this changed!!!!

I spent two hours on chat and the most I got was that they will send it to their engineering department.....but at least the chat agent agreed with me that it no longer is accurate and we cannot put the correct information into the space we have been provided.  

I also spent over an hour on the chat and couldn't get any answers. There is also the problem with not having a box to check for the new item on if an employee has a spouse that has earned income or not! It clearly has not been updated at all! The agent was supposed to be calling me after the chat and I still haven't heard anything!

I appreciate your efforts in contacting our support team, @McKenzieBieker. It's crucial to be able to view this checkbox to ensure that you are entering the correct employee tax details. Let me redirect you to the team that can assist with this issue.

When setting up your employee's W-4 in QuickBooks Desktop (QBDT), you have the option to tick the checkbox. Since you're unable to do so, we can troubleshoot this by updating your company file.

Let's ensure that your QBDT is updated to the latest version so that you'll receive the most critical security patches and resolve any issues while using it. Keeping your software up-to-date is a best practice that can help you make the most of QBDT features and capabilities.

Please know that our experts are getting a high volume of customer inquiries, which causes delays. Rest assured that we're dedicated to helping you with your concerns and issues related to our product. In the meantime, I suggest contacting them for updates on this matter. They have the necessary tools and expertise to thoroughly investigate the root cause of this issue.

You can check out this article for guidance on managing your employee's pay schedule: Set up and manage payroll schedules.

I'll always have your back if you still have any questions about your managing your worker's W-4 forms. Just tag me or reply to this post.

Has there been any updates on this.  We are into 1/2 a year without complying with Iowa's withholding law.  We need some answers.

Has anything be resolved?  We are half way through the year over charging our employees taxes, not to mention not being in compliance with the state of Iowa.