Thanks for dropping by the Community, @ohiovalleyhomeim.
I have some information about how federal tax is calculated. In QBO, there are factors that you'll need to consider when calculating taxes. Below are the following.
- Taxable wages
- Number of allowances/dependents
- Pay frequency
- Filing status
In your case, you'll want to review your employee's payroll information to verify its taxable wages. Here's how:
- Go to Payroll, then select Employees.
- Look for the employee in question, then tap Edit employee.
- Tick the pencil icon in Step 2: What are [employee name] withholdings?
- Take note and review the info, click Done.
After that, you can manually calculate one of the employee's paychecks to check to see if it matches QuickBooks. To help figure out the exact withholding amount, please go through IRS 2018 Publication 15. QBO uses the Percentage Method.
Additionally, here's a link that covers all the tasks you can do when using the payroll feature.
Let me know if you still have questions or concerns with payroll taxes. I'll be around for you. Take care and have a good one.
