Will Federal and State income tax withholding taxes self-adjust?
Description
Cause
Resolution
▼ To adjust tax withholding

If there's no change in the tax tables, any difference in withholding will still impact your employees' tax liability at year-end. Either increasing or decreasing the amount they owe when filing.

▼ Manually adjust the first payroll processed after the tax tables are updated

Calculate the withholding difference

  1. Manually calculate the withholding difference for each employee. 
  2. Multiply by the number of payrolls processed.

Enter time cards

  1. Go to PR, Processing, Time Card Entry.
  2. Enter the time cards for the current payroll.

Calculate the time cards

  1. Go to PR, Processing, Automatic Payroll Calculation.
  2. Calculate the time cards.

Manually adjust the taxes in Manual Payroll Calculation

  1. Go to PR, Processing, Manual Payroll Calculation.
  2. Select the employee.
  3. Click Yes when prompted to use the calculated check as a basis.
  4. Click Fed/State taxes... button.
  5. Add or subtract the amount calculated in the FWT Employee field.
     NOTE: This is the amount from Step 1 above when you calculated the withholding difference. 
  6. See instructions for using manual Payroll calculations.

 

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