The workplace is changing. More employees work from home, or work remotely in other states.
Where your employees live and work determines the state payroll taxes you and your employees are subject to. Your state taxes may include State Withholding, State Unemployment Insurance, local taxes, State Disability Insurance, or Paid Family Leave.
If you have an employee in a new state, here are the steps to get the new state added to your payroll product.
Step 1: Find out which state taxes apply and get the info
Figuring out the correct state and local taxes can get tricky. Every situation and state is different.
It’s best to contact the state withholding and unemployment insurance agencies, and any applicable local tax agencies where your employees live and work. The agencies can tell you which taxes apply to your situation. And they’ll help you register for the account numbers you’ll need to pay the taxes and file the forms.
Depending on the state taxes that apply, you’ll need to have the following info to set up the new state in your payroll product:
- Account number(s)
- How often you’re required to pay the tax (deposit frequency)
- Tax rates
Step 2: Set up or make changes to your employees
Once you determine the state or local taxes to pay and file, you can add your new employee. Or make changes to an existing employee that moved to a new state.
Select your product below.
|Note: Not sure which payroll service you have? Here's how to find your payroll service.
Step 3: Set up your new state taxes
It’s important to complete the state tax setup if you want us to make your tax payments and file your forms electronically.
You can set up state taxes without your account numbers. You’ll need to pay the taxes and file the forms manually until you add the account numbers.
Step 4: Sign new state authorization forms
Depending on your payroll service, you may need to sign authorization forms so we can pay your state taxes and file your forms.